Balance transfer question - shift then shift back?

mjrs85

Hi All,

Just after a bit of advice.

I've just been offered a 0% on balance transfers for 18 months deal on my existing Virgin credit card, for any transfers I make in the next 2 months. I have roughly £5k of debt on this card already, none of it currently on 0% :-(

I also have a Capital One card open with a £2k limit, but this is currently empty.

I'm sure you can see where this is going....I'm hoping I'll be able to shift some of my debt to the Capital One card, then straight back onto the Virgin card at 0%, and repeat that process a couple of more times until all my debt is back on the Virgin card, now at 0% :-) Even with fee's considered, that would make quite a difference!

Is what I'm hoping to do realistic / achievable? Or is it possible the transfers could be stopped by one of my cards once they clock onto what's happening? And I'm also guessing that each time I make a transfer to the Capital One card, it takes my most expensive debt from Virgin first, so will leave my 0% debt alone the 2nd and 3rd times I do this? (Sorry if that's a silly question, not too card savvy!)

Thanks in advance for any advice

briclegg

no you cant do it.it will be classed as fraud

knack92

Your statement will explain how they allocate payments, but yes I expect the any amount paid by Virgin will be allocated to the most expensive debt first.

Why would this be fraudulent, briclegg?

[Deleted User]

Yes, you can do it. There's a small chance the Virgin could reduce your limit once you clear a chunk off it, leaving the balance stuck on the Cap 1 card, but it's a fairly small risk.

And no, it's not fraud.

mjrs85

Thanks for your replies so far!

Also interested to know how this could possibly be classed as fraudulent? I don't believe that to be the case as shifting debt away and then back is even suggested as an advanced tip on mse website! I was simply worried the cards are more likely to stop the payments at the risk of losing profit from me if I was doing this several times in a short time period?

Fruit_and_Nut_Case

briclegg wrote: »

no you cant do it.it will be classed as fraud

Care to expand on that?

Shelldean

Just remember each time you make a transfer you'll get hit with a transfer fee.

mjrs85

Thanks Shell :-) Yep I have taken that into account, it's still looking well worth it, and I'm not near the limit on my Virgin card so I have enough spare credit to cover all the transfer fees, both ways.

Based on responses so far I think I'm gonna give this a go over the next month. I shall report back if I get done for fraud to warn others off doing the same ;-) If you don't hear back from me, just assume I'm enjoying paying off more of my debt rather than just interest!

Thanks all.

[Deleted User]

If we don't hear back from you, we'll assume you've been thrown in prison for fraud.

codeX

OP, just curious. Couldn't you get another Balance Transfer card from a different card provider (say BarclayCard) and save the double BT fee?

mjrs85

They still allow you 1 phone call from prison right? Surely in this day and age that could be 1 forum post? If so I'll come back to you

codeX - very sensible suggestion, but I hadn't explained my full situation. I do already have another card open with some debt at 0% on it, as of a couple of months ago (which is why I'm not at the limit on my Virgin account, I was previously!) I think applying for another card right now would probably be a bit soon? So I'll try and work with what I have / am given!