juggling 0% credit

Lozsale

Hello, I am new to this forum but have been following Martin for many years and saved loads of cash as a result.

I do however have a problem:

I want to change my car but do not want to pay the interest associated with PCP or HR given that I have been bouncing around 0% credit cards for years. Mercedes will not accept a credit card payment for the residual amount (price -Part Ex) as it exceeds their company policy limit of £1000. I have just taken out the Santander 0% card but they won't do a cash transfer as part of the 0% deal. They are advising to pay the residual amount on the card to qualify for the 0%. My credit score is 100% btw.

It feels a bit like Mercedes are trying to sell me credit rather than a car. Any thoughts?

thanks in anticipation.

[Deleted User]

Two thoughts you haven't got a credit "score" no one has its a made up number that even lenders never see, credit history is what matters.
If you don't like how mercedes are dealing with you go elsewhere.

plunt

you could get another credit card such as the MBNA* 4.9% FOR 48 MONTHS, 0.5% FEE. and right after the money transfer has happened to a balance transfer from santander to that MBNA card. in effect you would then only incur 0.5% fee and some small interest if paid off fast enough.

SuperHan

Car dealerships quite commonly used to charge for accepting credit cards. They can't do that any more and the response seems to have been to reduce the value they accept on a credit card. I recently bought a car and could only put £5k on a credit card and the rest was split between cash and debit card.


They make a profit on their financing arrangements, so of course if you need to pay for the card on credit they would prefer that you do it with them rather than on a credit card. They are entitled to conduct their business that way.


You need to find a 0% money transfer offer if you want finance with a credit card. This will likely incur a transfer fee but this may be less than any HP/PCP interest.

foxy-stoat

A money transfer card is what yous need.

noh

Duplicate thread
https://forums.moneysavingexpert.com/discussion/comment/74967307#Comment_74967307

seatbeltnoob

venison wrote: »

Two thoughts you haven't got a credit "score"

Everyone has to post this whenever there is discussion of credit scores.


Why throw this two cents in there, we all know what they mean when that say that. Does not need a "know it all" response.


If you want to be precise. Yes you do have a credit score, each lender has their own credit score for you. If they have done their actuary work in an intelligent way then all lenders should have a more or less similar credit score for you. Or a score that results in similar conclusions to one another about you as a lending prospect.

seatbeltnoob

OP.


Maybe not useful now, what I would suggest is to stooze a balance, around 20K is ideal and earn the interest on it. Even if interest is low and only gives you £400-£500 a year on that amount it still is a useful balance to have on "rainy days".