MBNA Card, is it possible to ask to transfer in Credit balance to a current A/C ?

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  • unda_vybe
    unda_vybe Posts: 20
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    Never had a credit card in my life.

    Is there a way of taking a transfer and balance card which is interest-free and then popping the cash in a savings bond for 12months before repaying the card and cancelling it?

    Basically... I dunno pick a bank... so I call up HSBC. I get a credit card with 10k limit, no interest for 15months. Pop it in a bond. Get the 10k plus interest. Give HSBC the 10k back and not pay them a penny in charges within the 15months. Keep the interest for my good self...

    Is that possible?
  • Herbalus
    Herbalus Posts: 2,634
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    unda_vybe wrote: »
    Never had a credit card in my life.

    Is there a way of taking a transfer and balance card which is interest-free and then popping the cash in a savings bond for 12months before repaying the card and cancelling it?

    Basically... I dunno pick a bank... so I call up HSBC. I get a credit card with 10k limit, no interest for 15months. Pop it in a bond. Get the 10k plus interest. Give HSBC the 10k back and not pay them a penny in charges within the 15months. Keep the interest for my good self...

    Is that possible?

    Not quite that straightforward. If you've never had a credit card, good luck getting a £10k limit at first attempt.

    And you need a mechanism of getting the money from the credit card into your bank account. Some cards won't let you, others will charge more than what you'd get in your bond. There are ways around it, but it's not straightforward.
  • Candyapple
    Candyapple Posts: 3,384
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    faddy wrote: »
    Even if it's not at a promotional rate?

    But why would anyone do a money transfer if it's not at a promo rate? :huh: You may as well withdraw the cash from an ATM as you'd probably be charged the same rate.

    Or are you mixing up 'credit balance refund' with 'money transfer'?
    I'm a Board Guide on the Credit Cards, Loans, Credit Files & Ratings boards. I'm a volunteer to help the boards run smoothly, and I can move and merge threads there. Any views are mine and not the official line of moneysavingexpert.com
  • unda_vybe
    unda_vybe Posts: 20
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    Herbalus wrote: »
    Not quite that straightforward. If you've never had a credit card, good luck getting a £10k limit at first attempt.

    And you need a mechanism of getting the money from the credit card into your bank account. Some cards won't let you, others will charge more than what you'd get in your bond. There are ways around it, but it's not straightforward.

    ... and by the time I have got around the charges it is hardly worth it?
  • YorkshireBoy
    YorkshireBoy Posts: 31,541
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    unda_vybe wrote: »
    ... and by the time I have got around the charges it is hardly worth it?
    Its not necessary to incur "charges". I obtained the thick end of £30K fee free (and interest free for 13-23 months) earlier this year.

    You just need a good credit history (which it doesn't sound like you have, at least not with credit cards) and some knowledge. The latter is available on this website and also at https://www.stoozing.com but for the former no-one can give you that quickly.
  • unda_vybe
    unda_vybe Posts: 20
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    edited 31 July 2015 at 5:34PM
    Its not necessary to incur "charges". I obtained the thick end of £30K fee free (and interest free for 13-23 months) earlier this year.

    You just need a good credit history (which it doesn't sound like you have, at least not with credit cards) and some knowledge. The latter is available on this website and also at but for the former no-one can give you that quickly.

    Which bank/bs offered you that card and conditions?
    I don't have a student loan, mortgage, car, etc...

    Never missed a bill payment. Have almost 50k in savings. Will be interesting to see what they make of me!
  • YorkshireBoy
    YorkshireBoy Posts: 31,541
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    unda_vybe wrote: »
    Which bank/bs offered you that card
    Several*...Sainsbury's, Halifax, Santander, Lloyds, & Tesco.
    and conditions?
    I BTd a fictitious debt from another of my cards (one that's not overly bothered about large credit balances), and then asked them to put the resultant cash value into my current account...which they were only too happy to do. :D




    * In addition to the five I used above, TSB and BoS also had fee-free BT deals running at the same time.
  • unda_vybe
    unda_vybe Posts: 20
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    I see. Thanks for the advice!
  • Westie983
    Westie983 Posts: 5,213
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    both halifax and B/Card have transferred credit balances from my credit cards into my current account, by just asking them.
    I’m a Forum Ambassador and I support the Forum Team on the Banking & Borrowing, and Reduce Debt & Boost Income boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing [email protected]. All views are my own and not the official line of MoneySaving Expert.
    Save 12k in 2023 #58 Total (£4500.00) £2500.00/£5000 = 50.00%
    Sealed Pot Challenge ~17 #24 Total (£55.00) £0.00/£500 = 0.00%
    Xmas 2023 £1 a Day #13 Total (£85.00) £344.00/£365 = 94.24%
    Virtual Sealed Pot #1 Total (£500) £550.00/£500 = 110.00%
    £2 Savers Club 2023 #17 Total (£25.00) £45/£300 = 15.00%
    The 365 1p Challenge 2023 #7 Total £656.19/£667.95 = 98.23%
    Total £4095.19/£7332.95 = 55.84%
  • faddy
    faddy Posts: 508 Forumite
    edited 9 August 2015 at 5:16PM
    Candyapple wrote: »
    But why would anyone do a money transfer if it's not at a promo rate? :huh: You may as well withdraw the cash from an ATM as you'd probably be charged the same rate.

    Or are you mixing up 'credit balance refund' with 'money transfer'?

    Further up the thread the MBNA Low Rate card was discussed as a vehicle for getting a BT into a bank account, and it's stated that no interest would be charged if you "money transfer" a positive balance. But since the card doesn't appear to offer a promotional rate my concern is that it would appear on a credit report as a standard rate (in this case 6.5%) money transfer. MSE cautions against ever taking cash advances because of the effect on your credit scoring and I'd imagine a money transfer at standard rate might be interpreted in the same way by a potential lender.

    Edited to add: Doh! Just realised a transfer of a +ve balance isn't going to show on a credit report...
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