Can I make multiple 0% transfers to a new CC?

Mr.Boy

We're in a position where cash-flow is an issue for only for a short period - we have bought a larger house with a maxed out mortgage and other set-up costs which are hitting the CC hard. Meanwhile we are in advanced stages selling two properties both mortgage-free. This means that we're right at the bottom of savings (not counting ISAs which I'm loath to touch).

It seems some sort of bridging loan would be great so I'm wondering about a CC balance transfer. But while transferring the current CC balance is great, what would be even better is if we could then shift next month, and the month after... maximise the window we can get our spending into the 0% period.

Is this something I can do, or do I get one shot at it only? I've done a transfer before to stooze but not in quite the same way as this.

TheShape

You can make multiple transfers to a BT card. Just be sure to check the terms of the card re minimum transfer amounts and fees. You may have a limited period in which to transfer at your promotional rate.

However, if your ISAs are Cash ISAs with potentially poor interest rates you should check whether you'd be better of using your savings rather than Balance Transfers. This will all depend on what fees you will pay for Balance Transfers. Ideally you'll get a fee-free card.

Mr.Boy

Some ISAs are cash, though still in a less awful rate from a couple of years ago. However my main issue with ISA funds is once I get them out I can't put them back and that's our retirement planning, tax-free allowance we can't get back. That said, the increased ISA allowances makes something of a mockery of this - I can't possibly max out both of our ISAs! Although, once we sell the houses we'll be sitting on a large cash-pile in which case I would want to max out the ISAs for a couple of years most likely.

Ho hum.

If I can get a fee-free BT that seems a bit of a no-brainer as long as we are financially savvy - generally we are very cautious, this is the kind of situation I always try to avoid but "The House" came along.

I could also ask for an interest-only period on my mortgage I suppose?

eskbanker

d000hg wrote: »

Some ISAs are cash, though still in a less awful rate from a couple of years ago. However my main issue with ISA funds is once I get them out I can't put them back and that's our retirement planning, tax-free allowance we can't get back.

It really isn't sensible to use cash ISAs for retirement planning, when they're practically guaranteed to lose value given poor rates and inflation (although if you have S&S as well you probably realise this!).

d000hg wrote: »

That said, the increased ISA allowances makes something of a mockery of this - I can't possibly max out both of our ISAs! Although, once we sell the houses we'll be sitting on a large cash-pile in which case I would want to max out the ISAs for a couple of years most likely.

In your scenario I'd use money from cash ISAs just now and look to make more suitable long-term arrangements once you get the money back, but you obviously know the figures involved and we don't!

Mr.Boy

I meant the ISA vehicle in general is our retirement - we're moving the cash into S&S generally and I have interest in Zopa. I generally just feel keeping ISA as deposit-only is good practice but maybe a special case is not such a big deal.

Is there any reason why a 0% zero-fee CT would be a BAD idea, alongside everything else? Other than the obvious one that in 2-3 years I suddenly have to pay it off, of course

bigadaj

d000hg wrote: »

I meant the ISA vehicle in general is our retirement - we're moving the cash into S&S generally and I have interest in Zopa. I generally just feel keeping ISA as deposit-only is good practice but maybe a special case is not such a big deal.

Is there any reason why a 0% zero-fee CT would be a BAD idea, alongside everything else? Other than the obvious one that in 2-3 years I suddenly have to pay it off, of course

I wouldn't be using zopa. poor rates with higher risk but that's personal choice.


I don't think there's any issue with the 0% CC BT apart from that you know of already, less flexibility if the unexpected comes along, the need to repay, no guarantee of extending or renewing etc

Vortigern

d000hg wrote: »

However my main issue with ISA funds is once I get them out I can't put them back

If you are really desperate to preserve your previous years' ISA allowances AND you are able to return the cash to your ISA before the end of the current tax year, you could move your cash ISA now to a flexible ISA, withdraw the cash and repay it later.

MallyGirl

are you really needing a balance transfer, or a money transfer? Is it for immediate funds or just that you are ramping up the balances on CC which have no promotional fees so are at 18+% APR?
Tesco do a fee free BT and a low fee (0.65%) which runs for longer - they aren't the most generous with credit limits (for me) though.

Most promotions require BTs in the first 90 days of the card being open so you can't keep doing it month on month

redux

MallyGirl wrote: »

Most promotions require BTs in the first 90 days of the card being open so you can't keep doing it month on month

No, but you can do it for those 3 months, thus transferring up to nearly 5 months of spending on one or more cards.

Mr.Boy

Yeah my thinking exactly. 90 days would be quite a useful window.