Transfer none card loan to 0% card

Andy06

Hi All,

I've been looking at the pre-approved 0% cards mentioned in the recent MSE email.
I have been pre-approved which is great but my question is as follows:

I have a £6960 loan which is not on a credit card, can this loan still be moved to a card?

Thanks

[Deleted User]

You'll need a money transfer option.

Westie983

Yes if you apply for a money transfer card which pays money into your current account then use the money to pay off the loan.

Not the same as a balance transfer card which you can only use existing credit card balances, the new card pays off the old one.

Westie983

Chrysalis

A second option is to get 2 cards, pay loan off with the first card, then transfer balance to second card.

But some loan companies wont allow payments from credit cards as they claim its irresponsible (which it isnt if you shifting debt to cheaper lender).

Ben8282

Your loan CANNOT be moved to a credit card as a balance transfer. The only option would be a money transfer so you will need to apply for a card which offers money transfers then, assuming the credit limit is sufficient, transfer money to your bank account by money transfer and repay the loan.

Chrysalis wrote: »

A second option is to get 2 cards, pay loan off with the first card, then transfer balance to second card.

But some loan companies wont allow payments from credit cards as they claim its irresponsible (which it isnt if you shifting debt to cheaper lender).

Bad advice. I don't think there are any credit cards which will allow a balance transfer to a loan account. If you know differently, please advise which card permits this.

Chrysalis

I said pay off the loan with the card, not a balance transfer. Pay off as in a visa/mastercard purchase transaction.

All cards have no interest if paid by end of next statement, so the card to pay the loan can be any credit card that has a high enough limit.

Then transfer the balance to a 0% card.

Ben8282

Chrysalis wrote: »

I said pay off the loan with the card, not a balance transfer. Pay off as in a visa/mastercard purchase transaction.

All cards have no interest if paid by end of next statement, so the card to pay the loan can be any credit card that has a high enough limit.

Then transfer the balance to a 0% card.

OK. Accepted. Assuming the OP has 2 credit cards both with over £7k available credit, the loan company accepts payments by credit card and the credit card issuer is happy to treat such payments as purchases, then it would work.

SHill

First off you need to find out from your the company you took the loan out if you can settle early how much you will need to pay.

Do that.. you then need card one to get a money transfer & check how long you have to pay off.

You will need to check the maths...

What is current % interest rate on the loan

The % interest rate on the money transfer and note how long you would have pay this off.

Remember too what you ask for as credit limit you might may not get either for the money transfer. So you may need more than one card.

Chrysalis

Ben8282 wrote: »

OK. Accepted. Assuming the OP has 2 credit cards both with over £7k available credit, the loan company accepts payments by credit card and the credit card issuer is happy to treat such payments as purchases, then it would work.

yep thats what I meant

jonesMUFCforever

Andy what is your APR on the loan.
If you are on a single digit loan rate then this might be more expensive in the long run as how many money/balance transfer fees will you have to pay before it is paid off?

It could be cheaper to see if the loan provider accepts overpayments without charge.