Balance transfer c.card possible to settle loan with?

eco87

Virgin and Tesco are currently offering a 0% for 30 months balance transfer offer. 

I have a £2k loan balance with Barclays I’d like to transfer to any of both offers… (would potentially save me up to £500 over the 30month period)… I don’t have any issue paying my current monthly repayment, but anything to save a few quids… also, I’ve got good credit standing - so not sure I’ll be denied the card. 

Question is: is it possible to transfer loans to a balance transfer card offer?
Ive searched through the small prints of both offers, and didn’t see anywhere they made reference to transferring loans… just credit card balance transfers. 

Any idea would be appreciated…as don’t want to apply for a credit card I wouldn’t end up using…

eskbanker

eco87 said:

Question is: is it possible to transfer loans to a balance transfer card offer?

Answer: no - as you've seen, balance transfers refer just to transfers between credit cards.

If you want to transfer a loan to a credit card then it's a money transfer card you'd need:

https://www.moneysavingexpert.com/credit-cards/money-transfers/

eco87

eskbanker said:

eco87 said:

Question is: is it possible to transfer loans to a balance transfer card offer?

Answer: no - as you've seen, balance transfers refer just to transfers between credit cards.

If you want to transfer a loan to a credit card then it's a money transfer card you'd need:
[link removed]

Hmmm ok. Though this Experian article suggests otherwise - hence the question. 

[unable to post links]

Thanks for sharing. 

km1500

In theory you could get and use another credit card to withdraw 2k cash to pay off the loan. You would typically pay about 2% for the privilege. Then balance trasfer the 2k to the new 0% card. The 2% you would have paid could be lower than whatever rate you are paying on the loan. Withdrawing cash may temporarily affect your credit file but probably not a big deal.

CliveOfIndia

As eskbanker says, you cannot use a BT credit card to pay off a loan. Also, you usually can't use a 0% purchase card.  There may be the odd loan company who would accept payment by credit card, but even then it would be treated as a cash advance by the card issuer, meaning you'd be hit by a cash advance fee and interest (it wouldn't qualify for any promotional rate of interest).

A money-transfer card would do the trick, but there is almost always a fee for doing the MT, so you'd need to factor that into your calculations.

eco87 said:

I don’t have any issue paying my current monthly repayment, but anything to save a few quids

Can you make overpayments to the loan?  Check the T&Cs to see if there would be any penalties for doing so, but if there are no (or only very small) penalties then making overpayments could save you a fair bit in interest.