Loan balance transfer to 0% credit card

LucyAS

Does anyone know of a lender that offers 0% credit cards from a transfer of a current loan please? £20000 to transfer, may need to have 4 separate cards unless there is a lender with high limits. Thanks

onlyfoolsandparking

I guess its possible not 100% sure how its done though, another way to do it would be to get money transfer card/s then transfer funds into current account and then pay off the loan (might even save a few £££s with settlement figure) BUT its a big ask!!!!


To get 20K money transfer availability you would almost certainly need more than one card or as you say a lender with a high limit, it would all depend on your income.


Then there's the question of how many cards do you have at present, the less the better I would say in what your trying to achieve, if that's the case get applying (maybe 3 months apart) and see if you get high enough limits to do the fund transfer into your current account.


One thing I nearly forgot (whilst thinking about your query) most card companies give you a 60-90 day expiry date on making transfers from account opening so you may have a problem in getting enough cards/limits in time to make the transfer/s, 2 cards would be the maximum you could get in time to action the transfer IMO.


Its a tough one, no real easy answer with the amount your working with.

MallyGirl

You would need a 0% money transfer card.

Things to consider:
0% deals are rarely longer than 2 years for MT - then the rate reverts to more like 20%APR. Are you going to be able to pay off in 2 years - if not what interest rate are you paying on the loan?
The limit will take into account your current circumstances - salary, other commitments existing debt. They will assume that this is additional borrowing. To add a further £20k of borrowing you would need to be on something like £80k - are you?

You could get a MT and make a dent in the loan but would need to get the calculations right to ensure that you paid the card off before the end of the 0% deal

There will be a fee of 3 or 4% for a MT card usually. What interest are you paying on the loan?

Craig1981

agreed with above - money transfer is the only way if wanting to clear with a credit card - 3-4% (usually) in fees, and probably around 28 months max. you can also only transfer usually 90-95% of card limit, so, you will need totals of around £22k on the new cards.

best way forward in my opinion, is to overpay your existing loan, to reduce the interest - this will depend though on

what is current Loan repayments, length and APR?
are you hoping to clear cards in the 0% window, or going to balance transfer when 0% runs out?
what are you able to afford in payments monthly, going forward?