Virgin money transfer

Help1234

Hello I have a virgin credit card from when I needed to do a balance transfer from another credit card, that debt is now fully paid off.

I am possibly needing to now do a money transfer - transfer money from the virgin credit card to my bank account, and not sure I understand. It says “standard rate of 21.66% and 5.00% fee until repaid in full”. Does that mean I’m going to be charged high fees in interest each month if I don’t pay back the full amount immediately? With the balance transfer I wasn’t charged any interest if I made the minimum payments.

Sandtree

You presumably therefore had a promotion of a 0% balance transfer.

Unless you have another promotion for a money transfer then you'll be on standard terms which you've already identified is 5% fee plus 21.66% interest.

Help1234

OK so each month I will incur costs of 21.66% on any outstanding balance?

Sandtree

Help1234 said:

OK so each month I will incur costs of 21.66% on any outstanding balance?

You would need to re-read where you got that number from but based on the rate that looks like the annual rate of interest rather than the monthly.

Obviously this is expensive compared to a loan (depending on how much you are wanting to borrow) if you arent in the sub prime category.

Help1234

This is all the information I have to go on

QrizB

So there's a 5% fee and then about 1.65% interest per month (which compounded over a year would be 21.66%).

Eg. if you balance transfer £1000 you will be charged £50 straight away, and after a month will be charged another £17 in interest.

It would be cheaper to get a new credit card with a 0% balance transfer deal, if you qualify for one.

Help1234

Thanks they already offer me a good balance transfer but I don’t have debt to transfer, what I want is to move money from a credit card into my bank account. I will be able to pay off what I want to spend in around 3-5 months so if it’s only 1.65% that’s fine.

Sandtree

Help1234 said:

Thanks they already offer me a good balance transfer but I don’t have debt to transfer

There are cards with money transfer offers on them but obviously depends on if you would qualify for one or if you want to be applying for new credit right now etc.

QrizB

Help1234 said:

Thanks they already offer me a good balance transfer but I don’t have debt to transfer, what I want is to move money from a credit card into my bank account. I will be able to pay off what I want to spend in around 3-5 months so if it’s only 1.65% that’s fine.

Sorry, that's my mistake. I was rreading someone else's thread about balance transfers and I typed that in herr without pasying enough attention.

As Sandtee says, therea re also cards with money transfer offers. There are a few with low(er) transfer fees and 0% interest listed here: https://www.moneysavingexpert.com/credit-cards/money-transfers/

[Deleted User]

A possible other alternative if the BT deal is good is to put all your spending on the CC, then BT it a couple of times if the rate is low while using the cash you then have for whatever you want to spend on. You would have to run the numbers on the fees vs the interest