Using credit card offers to reduce mortgage

Pupaduck

Currently have one account with RBS...would it be cost saving to take advantage of credit card promo Eg. 0% interest for 12 months on money transfers to pay lump sum off mortgage? In 12 months would pay £12k in monthly payments but @ 40% would be interest therefore only reduced balance by 8k. Would it save any money to deposit £12k from cc and pay that off over 12 months?

smifffy1989

Interesting concept, I did think of this myself but I think it only makes sense in certain circumstances.

Would this finish off your mortgage or just pay a chunk off?

Are you looking to remortage in the near future? It may effect credit rating.

Can you raise £12k on a credit card, and how will you pay £12k off your mortgage? I would have thought mortgage companies do not take credit card, unless you can transfer the cash into your bank account.

If your mortgage is £12k then yes you are looking at saving £4k by doing this.

Coveredinbees!!!!

We had 0% spend cards and used the money we would have spent on shopping to offset the mortgage but you have to be disciplined and not blow the money. You can do a BT at the end of the term to another card for up to 3 years at the moment. Good luck.