1.9% MT offer and debt dilemma

unphased Posts: 102 Forumite
edited 29 December 2013 at 2:59PM in Credit cards
I have an offer from Barclaycard to do a money transfer to a bank account at 1.9% which is better than a BT rate of 2.9%. The BT offer is longer, 0% until 1 November 2014 whereas the MT offer is 0% only until 1 July 2014. The offer expires on 31 January 2014.

I have two BT 0% cards which will reach their end of period soon. I can pay neither of them off by the end of the 0% period.

I have a Barclaycard Platinum with a £4k balance and the 17 month 0% period ends on 1 May 2014. The credit limit is £8.2k.

I have an MBNA (formerly Virgin) Card with a £4.5k balance and the 12 month 0% period ends 24 April 2014. The credit limit is £14.7k.

My personal account has a £2k overdraft which I will start to pay £2 a day on when I go over £2k, is £1 a day between £300 and £1.999K and £3 a day if I go over £3k. The o/d limit is £5.95k.

So the dilemma is how to avoid costs on the credit cards and increased o/d charges.

I am tempted to use the 1.9% MT offer to pay a wedge in to my bank account to pay off the o/d and then some, and pay off the full balance on my MBNA card. They will probably offer me another deal when its at zero balance which hopefully will enable me to then do a BT on to pay off the Barclaycard in full and give me a lengthy 0% perod again. Does this seem like a plan?

I am self-employed and so my income can be anything from month to month, it varies greatly. My immediate concern is the o/d followed by the looming end of 0% periods.

What are my options? :think:

Thank you for all advice received.

EDIT: I have tarted the cards. Bank of Scotland BT 24 months 1.5% fee. Pay off both 0% cards . Sorted.


    CLAPTON Posts: 41,865 Forumite
    Combo Breaker First Post
    how much are you paying off your debts each month; net after any additional spending of course?
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