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0% Credit Card To Pay Off Personal Loan

I have a little over 3K left on my personal loan and was wondering if its possible to apply for a 0% credit card to pay off my personal loan early in hope of saving a little bit of money.

If yes, what's the best way to go about it?

- Nathan
«1

Comments

  • https://apply.mbna.co.uk/UKNeoCCapp/entry?sc=1OCMCPLIAC004DN&mc=OCACPL005SP

    24 months at 0% on money transfers to your current account, which you can use to pay off the loan. 1.94% fee.

    Best to check that the saving will be greater than the 1.94% fee and the early repayment charge (if any), but it almost certainly will be.
  • grumbler
    grumbler Posts: 58,629 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    0% money transfer cards

    Alternatively you can 'shift' your spending to a Spending 0% Card and direct the 'saved' money to the loan.
  • Do I firstly ask my bank for a early settlement figure before deciding to apply for these type of credit cards?
  • Do I firstly ask my bank for a early settlement figure before deciding to apply for these type of credit cards?

    You can do, but it doesn't really matter. The card company doesn't ask for it, but it'll help if you want to know how much of a transfer to ask for (although it'll be something in the region of the outstanding balance, obviously!).
  • so my best bet is to look for a credit card that offers 0% money transfer and move the 3K from that credit card to my personal loan account to pay it off and start making the repayments on the 0% credit card, is that right?
  • YorkshireBoy
    YorkshireBoy Posts: 31,541 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 31 January 2015 at 1:03AM
    so my best bet is to look for a credit card that offers 0% money transfer and move the 3K from that credit card to my personal loan account to pay it off and start making the repayments on the 0% credit card, is that right?
    The credit card provider (ie MBNA) will send the funds to your current account, from where you can settle the loan.


    EDIT: If you'd read the first article linked to in grumbler's post #3 above you'd have known this. ;)
  • how much money can I expect to save going down this route of money transfer using the 0% credit card?
  • YorkshireBoy
    YorkshireBoy Posts: 31,541 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    how much money can I expect to save going down this route of money transfer using the 0% credit card?
    Could be a good bit. Maybe even more.
  • have any of you applied for a money transfer using a 0% credit card in the past, if yes, do you find them worthwhile?
  • grumbler
    grumbler Posts: 58,629 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 31 January 2015 at 1:41AM
    Are you for real?
    Instead of keeping asking pointless questions get your calculator out and start using it and reading.

    You can use this one and make an adjustment for the early settlement fee (if any): Balance Transfer Calc
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