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Balance transfer query

Hello!

Just wanted to see if this was possible.

Say for example I had £5000 credit card debt.

I’ve just transferred the max balance of £3000 to an interest free M&S balance transfer card BUT I can transfer additional balance until February. This means I have £2000 left on the original credit card.

I’ve just been given £500 for Christmas.

Am I allowed to pay off £500 of the balance on the new M&S credit card so that I can transfer more of the remaining debt from the old credit card to the new card?

Just looking to see if I can save some interest payments.

Thanks!

Z

Comments

  • You can, but it would be madness.

    Leave the 0% balance as it is and pay the money to the interest bearing balance.
  • Zither
    Zither Posts: 365 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    edited 20 December 2018 at 10:02AM
    You can, but it would be madness.

    Leave the 0% balance as it is and pay the money to the interest bearing balance.

    Thanks zx81 - don’t get me wrong - I want to pay the debt down ASAP but I thought that if I paid off some balance on the new card and transferred another £500 from the old card to the new card that It could reduce interest payments on the old card whilst I pay down all of the debt? Eg I’d be paying interest over the remainder of the debt?

    Have I got that right?

    Thanks!
  • No.

    The 0% debt isn't costing you anything.

    So leave that alone (apart from min payments) and pay towards the interest bearing debt. Your way is slower, costs you more and is unnecessarily convoluted.
  • Zither
    Zither Posts: 365 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    No.

    The 0% debt isn't costing you anything.

    So leave that alone (apart from min payments) and pay towards the interest bearing debt. Your way is slower, costs you more and is unnecessarily convoluted.

    Thanks, I think!

    I genuinely thought I could save myself a few £ whilst I pay down the debt by transferring more balance to new 0% card so I would have less interest to pay on old card (whilst making sure to consistently pay off debt each month).
  • If you transferred it to a NEW 0% card, then yes, you save on interest.

    But your suggestion was to pay off 0% debt just to replace it with more debt. It's like emptying a bucket full of water so that you can fit more water in it.

    Unless you can increase the amount at 0%, it just an expensive waste of time.
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