Balance transfer and money transfer

[Deleted User]

Hi everyone,

Basically I have an overdraft of £1000 with Lloyds so am paying roughly £30 a month from the new changes and a credit card with a balance of £2314 which I am trying to put all my money into yet the balance keeps going up each month.

When I’ve looked online at various eligibility calculators etc I have a few offers coming back with 95% approval but they are all based on £1200 for a balance transfer for example (havent really looked much into money transfer to cover my od at the moment). Whats the chances of being accepted for one of these cards but with a limit to cover my current card balance of £2313?

Sorry for this post. Basically I am struggling with debts and struggle to understand when reading about them online. What doesnt help is that I am dealing with mental problems so often see my problems as a LOT bigger than they are. I have tried to go into banks for them to explain but I often get upset with not understanding and the pressure from my debt and leave feeling worse.

If anyone could help or offer advice it would be greatly appreciated.

Ebe_Scrooge

No-one can predict what credit limit you'll be offered - it's calculated by the lender's own internal algorithms based upon a whole host of ( confidential ) criteria. The figure of £1200 is used by most companies as a standard example figure, and has very little bearing on what you'll be offered.


All you can do is apply and see what you're offered. Take whatever limit they offer, transfer as much as you can, and if it's not enough then apply for an additional card from a different lender. Up to 2 applications in a short space of time won't cause a problem, more than 2 starts to have a negative impact on your credit file.

Chrysalis

Also some providers may agree to an increase after you get the card.

My barclaycard came with a £3400 limit, I applied 6 weeks later in the online member page for an increase to £4800 and it was instantly approved. Bear in mind tho the card was not highly utilised, I applied for the increase to keep the same unused buffer so I could transfer an extra grand to it.

[Deleted User]

Thanks for your help. I was looking at Barclay card and MBNA as both have long 0% deals and I was given a 95% score.

Do you think I’d be able to apply for the first balance transfer and then second depending on the limit and then a money transfer for my od or is that likely to be rejected? Otherwise il just wait and see what the outcome is on the balance transfer and decide from there?

Sorry.

Ebe_Scrooge

Deleted_User wrote: »

Do you think I’d be able to apply for the first balance transfer and then second depending on the limit and then a money transfer for my od or is that likely to be rejected? Otherwise il just wait and see what the outcome is on the balance transfer and decide from there?

That's a difficult one. The general rule of thumb is no more than 2 applications within about 6 months or so. The problem being that lots of applications in a short space of time make you appear desperate for credit, therefore a bad risk ( rightly or wrongly ) - with the result that you get refused for future credit, or only offered it at a silly rate

You need to establish which is your most expensive debt, then apply for a card to reduce that one. I suspect your existing CC debt is the higher APR - but a quick phone call to your bank and to your CC providers will confirm that - or a careful look at the back of the monthly statements. I'd then go for a Balance Transfer card, see what limit you get offered, and take it from there. Shift the interest-bearing debt ( or even part of it ) to a 0% debt, the interest you're saving can then be put towards the other debts. Apply for one balance-transfer card, see what they offer, then sit down with a pencil and paper and work it out ( yup, I'm a dinosaur, but it's often the best way ! ). Sorry, not sure I've explained this very well - but I hope it's of some help

enthusiasticsaver

This thread may be more appropriate on the DFW forum. I would not apply for any more than 2 cards. You will need a money transfer one for the overdraft.