Complete numpty needs help choosing best card

kirsteenatom

Hi
I am a credit numpty as I never usually buy anything before I can pay in full. I have a credit card which was issued through my bank (Natwest) but only use it occasionally and always pay it off in full.

Just recently I had laser eye surgery and was going to use their financing system to pay by direct debit, but the interest rate was sky high, so I shoved most of it on my credit card and thought I would get a bank loan to pay it off.

I had no idea that the bank wouldn't lend me anything under a thousand and the interest rates are sky high as it is a relatively small amount!

I now think my best plan is to transfer the money on the card £600 to a new credit card (preferably a joint one my husband and I can hold together, the existing one is in my name only, but we also have a joint bank account with Natwest).

I just don't know who to transfer to. I have researched a bit and there seem to be loads with 0% balance transfer for six months or more - we intend to pay the balance off within a year at the latest and probably six months.

Then I noticed some of them charge transfer fees and I just don't know which way to go. How hard is it to do as well? My 8 month old son has been taken into hospital and we have spent the last three weeks in and out adn I have little mental energy to figure this out - hence the appeal here.

Does anyone have any guidance?

many many thanks

Kirsteen

Joannef_2

I think Capital One have a six month interest free balance transfer offer with no fee for the balance transfer.

Moggles_2

Originally Posted by kirsteenatom
I think my best plan is to transfer the £600 on the [Natwest]card to a new credit card (preferably a joint one my husband and I can hold together. The existing one is in my name only, but we also have a joint bank account with Natwest).

You cannot have a joint credit card account. One of you will be the principal holder with sole responsibility for the debt. The other can be an additional holder, if you wish.

Moggles_2

Originally Posted by Joannef
I think Capital One have a six month interest free balance transfer offer with no fee for the balance transfer.

This is a great deal, but the card requires an "excellent" credit rating, so please check that you (or your husband) can meet the criteria listed on the Capital One website before you apply.

Bokkens

As you only need the card to transfer a small amount I wouldn't bother and ask for a overdraft on your excisting bank account.(Visit your personal Banker in branch or do it over the phone.)
You will be charged interest on your overdraft as long as it is over £250(normally banks allow the first £250 without any charges)so you would be looking at interest only on the £350 for how every many months it takes to pay it off.So at say 9.9% interest it would be £34 for the whole year.
This is going to be slightly dearer than incurring fees for a credit card BT.(about £18)
Personally I would do it this way as you are more likely to pay it off with any extra cash in your bank account,if you do go for the credit card option you may be temped to spend on it which you MUST NEVER DO once you have Balance Transfered to it as you will incur interest charges.
If you want a card I would select a 0% card for say 12mths and aim to pay it off in full.
Have a look at the Nat West 0% card and get your partner to apply for it as you already have one.You are more likely to be accepted with your own bank so this should arrive fairly quickly 7-10days.
Hope that gives you a idea if not post here again.
Good luck.

YorkshireBoy

Bokkens wrote: »

Have a look at the Nat West 0% card and get your partner to apply for it as you already have one.

The OP's debt to be transferred is on her NatWest card.

OP, pick another provider, and NOT... RBS, Mint, Tesco, Ulster

kirsteenatom

wow - thanks for the replies - and so quickly too!

I am torn between just having the overdraft - we have a facility that will cover it easily but I just get nervous and worried seeing that I am overdrawn and it just makes me uncomfortable - that's why I was thinking of getting a loan or putting it on credit card, so it could be paid off regularly without making me hyperventilate! lol

I will check Capital one and the credit stuff - it's strange I don't think we have a good credit rating as we had problems getting our mortgage but it seems to be because we haven't had ENOUGH credit up to date, and have been perfect repayers where we have - you would think that would work in your favour!

Kirsteen

YorkshireBoy

Kirsteen,

It could take upwards of 4-6 weeks to get your debt BT'd over onto a new card, meaning you may pay some interest on the NatWest card.

TBH, if I was you I'd use the overdraft. The interest charged each month should be minimal if your salaries are paid into the account, because they will wipe out the debt for part of the month.

Seeing the debt reduce each month should spur you on to make some cutbacks elsewhere to get rid of it more quickly.

Good luck.

kirsteenatom

Ok, I think the advice is spot on and I should just leave it on my overdraft facility - we have up to £1900 overdraft available (not sure why, they just keep upping it) and I know we can pay off a couple of hundred at the end of this month, and then we can just keep going.

I really really appreciate the help - I think i would have made a dodgy decision without it!

Kirsteen
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