0% money transfer CC refused.. options..

Gunsh0tglitt3r

Hi,

Just wondering if anyone can point me in the right direction and if there are any other options for me!

I have an overdraft with Lloyds, who are changing their overdraft charges in November, which will ultimately see them charge me £23 a month in charges (£5 currently) as I'm unable to pay off the entire overdraft.

I ultimately wanted to apply for a 0% money transfer card, to transfer enough to pay the overdraft off and cancel it, and essentially have a (small) 0% interest loan, which effectively is the same amount as my overdraft figure and pay that off over the stipulated 0% months available.

As I am a "homemaker" with one young child, the credit checker is showing I have a 0% chance of getting any money transfer card as they are assuming I would be additional credit on top of my overdraft, but infact it would be to clear that debt, and essentially have the same figure out on credit 0%

Would my only option be a typical loan?

Candyapple

Are you employed?

If you would be applying for a loan, is this to be a joint loan with someone else?

What is the total amount you owe Lloyds?

Any other credit card debts, overdrafts, outstanding loans?

Gunsh0tglitt3r

No, not employed.. classed as a "homemaker" I guess, receive Income Support.

No one else involved, just me.

I currently owe Lloyds £500

No other outstanding debt/loans.

Dobbibill

You are in fact applying for ADDITIONAL credit facilities.
Although you've said you are using this to pay off the overdraft, this is not guaranteed and you may change your mind - no-one knows any different.

On your letter about the changes to charges there should be a symbol along with advice to ring them. If you are unable to get other forms of credit to move the debt then give them a ring. There are numerous threads here about it and some have had success in having the charges capped, among other options.

Candyapple

Gunsh0tglitt3r wrote: »

No, not employed.. classed as a "homemaker" I guess, receive Income Support.

No one else involved, just me.

I currently owe Lloyds £500

No other outstanding debt/loans.

Ah ok then. The bad news is you have no chance of being able to get a 0% card or a loan without being employed.

The good news is that you only owe £500. Head over to the DFW board and post up a statement of affairs and let them help you see what areas you can cut back on to pay off the Lloyds overdraft.

http://forums.moneysavingexpert.com/forumdisplay.php?f=76

Do you have any family that could lend you the money and you pay them back weekly?

Any part-time work you could do?

Anything of value you could sell on eBay?

Gunsh0tglitt3r

I'll head over to the DFW board and see what they say!

Don't really have much to sell, nothing that would sell immediately anyway. Everything else would be household essentials, ie fridge etc.

I could ask family, just don't want to have to ask/put them in that situation.. again.

And work, well I'm doing everything I can possibly think of online; family to help out with holidays etc aren't in the country, so I'm pretty much on my own with school/weekends/holidays etc.. and no one is really interested in hiring someone who is only available Mon-Friday 10-2, no weekends, no school holidays.

It's probably crunch time and packup/move back home where these "small" problems aren't actually problems and i have a network of help. Only thing holding me back is my sons Dad.. who is no help/support/reliable.. couldn't care less about him,, but what about my Son? ugh.

Hoogle

Not sure how relevant this is to your case however I know someone who had just been in similar circumstances but his overdraft was £1400 and due to not enough income on his account the bank told him to clear overdraft within 14 days or something. I am not 100% sure on the actual facts or circumstances but from what I gather He went to Credit union (I believe it is a local authority bank/loans and debt management. They gave him the loan at really cheap rate if not free however the down side is he had to have a credit union account with them which costs £1 a month and you have your benefits paid into it, they then pay your bills and you can use your card like a normal debit card except you cant use ATMs I dont think but you can get cashback etc.

flower77g

This overdraft isn't very much - I wonder if the original poster has considered leaving the overdraft and switching bank to another provider that offers better overdraft terms, or gives an introductory bonus of £100 to £150? There are a few listed elsewhere on the MSE site. Nationwide, First Direct etc.

PeacefulWaters

Would lloyds offer you a credit card?

In circumstances like this cash advance fees and interest will be a lot less than £23 a month after the first month.

eskbanker

flower77g wrote: »

This overdraft isn't very much - I wonder if the original poster has considered leaving the overdraft and switching bank to another provider that offers better overdraft terms, or gives an introductory bonus of £100 to £150? There are a few listed elsewhere on the MSE site. Nationwide, First Direct etc.

Those switching incentives are conditional on using the Current Account Switching Service, which closes the old account but can't do so if it's overdrawn, so 'leaving the overdraft' and going elsewhere in that way isn't viable.

Having said that, if OP was able to secure enough of an overdraft with the new bank to pay off the old one then that would work, but overdrawn and not in employment isn't a particularly strong position from which to be getting the best deals and an initial overdraft of £500 from a new bank....

Gunsh0tglitt3r

Not sure if I like the idea of a credit union taking control like that, to the point I wouldn't be able to access an ATM?

Or am I just making a whole bunch of excuses and making this harder for myself?

Lloyds might offer me a credit card, I know I couldn't money transfer to an existing Lloyds debt, but I will look into the cash advance fees and see what they look like. I'll be calling them in the morning and trying to work something out, as the new overdraft fees will be paid daily - so with an OD of £500, with only 1/5th of that being paid in once a week, maybe just a bit more, and probably 3 days out of 7 having £0.00 available, I wouldn't even be able to pay the .71p daily charge.. so I'm assuming they would take the daily charge.. I would go into an unplanned overdraft and they would charge me for that on top of the daily charge??

And I doubt very much I would get an overdraft with any other bank as when I first got this account 7 years ago, and working full time etc I was declined, and now my circumstances just aren't the best!