Can i do this? Money transfer to one card then balance transfer to another.

JKen_2

Hi MSE Forums!


I have just been accepted for a great new 0% Barclaycard and have moved around £2300 of debt from a MBNA card I had which I accidently went slight over my credit limit and was moved to a 20% rate. I also have a Bank overdraft of £1300 which is at around 19% and I would love to move this onto my new card which has a £5000 limit


The new Barclaycard does not have the option for a money transfer but my MBNA one does with a 5% fee which will be around £65. Can I do this and then balance transfer the amount to my Barclay card (0% fee for balance transfers within 60 days of opening).


Can anyone advise if this is possible and a good idea, I'm paying around 30 pound in interest and bank fees a month on my overdraft the £65 fee to transfer would be made back in 2 months.

Candyapple

The answer is yes it's possible and it's also a good idea.

JKen_2

Awesome, another thought I have a TV and phone on finance at 17 & 18% can I pay them off with my MBNA card and transfer them over? Or if I cant pay the balance with a credit card I can pay them with my overdraft and do another Money transfer to balance transfer.


I don't know if I'm thinking logically but the 5000 limit Barclays have given me has seemed to open up some options to save money.

Candyapple

The answer is yes you can. Barclaycard regularly offer money transfers to existing customers on a monthly basis so there is always that option too. Just log into your Barclaycard online account and check.

https://forums.moneysavingexpert.com/discussion/5656094

Mogley

Barclaycard let me balance transfer 90% of my limit. Make sure you don't money transfer more than the balance transfer limit otherwise your back to paying 20% interest on MBNA for the difference. Make sure you have a plan to pay off the barclaycard within the promotional period (pay off more than the minimum). It becomes very easy to think you have suddenly got lots of available cash when in reality you have to eventually pay it back.

JKen_2

I have now transferred most of my debt other than my car and TV finance. Now I'm unsure if I should close my old MBNA card or keep it open as it has the handy money transfer option?


Also before I transfer my TV finance over I wanted to ask if its going to hurt my credit rating to pay it early, its a 4 year financing deal with around 3 years left. Is it worth continuing to pay monthly as its a relatively long agreement and I am aware longer agreements can help a credit file, I would only be saving around £80 over 3 years if I pay it off early.

Candyapple

Keep the MBNA card open as it is always good to have a second card as a back-up, also MBNA often give their existing customers good deals on 0% balance transfers/money transfers.

I would personally pay off the TV, rather £80 in your pocket than the company's.

molerat

Keep the MBNA. They often have 0% fee money transfers with 5% interest. MTd to bank account then BTd straight away to 3 different cards. Ended up paying no interest as I timed it right.