Use overdraft to pay off credit card?

angrybarry

I currently have an overdraft facility at 9.6% APR on my current account and would like to use it to make a dent in my Egg credit card at 21.9% APR.

Has anyone else used their overdraft to pay off/minimize their credit card amount?

Also, how would this effect my credit score, given that I'll be in my overdraft for longer periods?

What are the obvious pitfalls? (i.e. bank cancels my overdraft)

Any info would be much appreciated.

Thanks
Barry

YorkshireBoy

Sounds like an excellent plan to me.

If you can clear the Egg Card even better. It may prompt them to offer you a special promotion which, if less than 9.6%, you can then use to shift your overdraft back to the card.

joanna_c

Paying off your card will improve your credit score.
Likewise, using your overdraft, paying it off, then using it again.
When banks see big swings in your balance they interpret it to mean that you are competent with money and want to lend you more.:j