Balance Transfer Offer

Craig_THW

Quick Question Folks, Just wondering if you think this will work and is worth doing!

Basiclly... Got a CC with Virgin.. Have around 1400 on it.. Limit is 4400.. THey have offered me 0% on any new balance transfers till Sept 2008.. im getting charged 15.9% on my balance just now.

So.. Here's my idea.. With Virgin you can BT to your Bank Account.. My idea was to BT 1400 to my Bank Account and then use it to Pay off the Balance on the card just now..

Result Same Balance but no Intrest for 10months..Only a BT fee to think of which if my sums are right will be alot less than the intrest over next 10 months..

Am i looking at this too simply or is this a good idea?

SarahNeedle1872

Craig_THW wrote: »

Quick Question Folks, Just wondering if you think this will work and is worth doing!

Basiclly... Got a CC with Virgin.. Have around 1400 on it.. Limit is 4400.. THey have offered me 0% on any new balance transfers till Sept 2008.. im getting charged 15.9% on my balance just now.

So.. Here's my idea.. With Virgin you can BT to your Bank Account.. My idea was to BT 1400 to my Bank Account and then use it to Pay off the Balance on the card just now..

Result Same Balance but no Intrest for 10months..Only a BT fee to think of which if my sums are right will be alot less than the intrest over next 10 months..

Am i looking at this too simply or is this a good idea?

If I read this correctly, I don't think it wil work....

*You already have £1400 on there, right? ~ Balance £1400 @15.9%
*You BT £1400 into ur bank account (is that right?) ~ Balance £2800 (£1400 @15.9%, £1400 @ 0%)
*You 'pay off' £1400 from your CC, but as 99.9% of CC companies put payments towards promotional rates first, they will almost definately out the £1400 towards the 0% debt, therefore ~ balance £1400 still at 15.9% (plus they probably added a BT fee in the first place.

What you have suggested would work if u did a BT to ur bank account to pay of a different card....

HTH

Sarah x

Craig_THW

SarahNeedle1872 wrote: »

If I read this correctly, I don't think it wil work....

*You already have £1400 on there, right? ~ Balance £1400 @15.9%
*You BT £1400 into ur bank account (is that right?) ~ Balance £2800 (£1400 @15.9%, £1400 @ 0%)
*You 'pay off' £1400 from your CC, but as 99.9% of CC companies put payments towards promotional rates first, they will almost definately out the £1400 towards the 0% debt, therefore ~ balance £1400 still at 15.9% (plus they probably added a BT fee in the first place.

What you have suggested would work if u did a BT to ur bank account to pay of a different card....

HTH

Sarah x

Ahhh.. I knew there would be something i wasn't thinking about! Your very correct when i make the payment back to the card it will just clear the BT i have just made and as such end up costing me money in way of a BT fee.. :eek:

Thanks for your help! Glad i asked you guys first!! :T

artnoble

yeah sarah is right, i've looked into that as well lol.

bridget81

virgin offered me that deal too, i think its to try to claw back some of the custom they may lose when they increase their interest rates in january.