Over paying credit card for a large purchase

andy69_2
andy69_2 Forumite Posts: 1,997
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Hello,

I want to purchase a holiday and the holiday company want to payment in one transaction. 
I have a limit on my credit card which is about 3k short if what the holiday costs. 

Can I overpay my credit card by the 3k so I'm in a positive balance which will then allow me to pay the holiday in one transaction?

Cheers
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Comments

  • grumbler
    grumbler Forumite Posts: 57,759
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    There is no a definite answer to this question - it depends. All providers won't like such big overpayment, but their reaction is difficult to predict. And it's wrong to assume that their system is designed correctly to allow a payment exceeding the credit limit if the account is in credit.
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  • Gerry1
    Gerry1 Forumite Posts: 9,086
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    You may find that the system won't allow an online inpayment that would take a credit card account into significant credit.
    Prior to the launch of Halifax Clarity and Barclaycard Rewards I used a Santander Zero card.  This has no fees for overseas cash advances but does charge interest from the withdrawal date.
    Before a holiday I tried to top-up online but found the Computer Says No.
    However, paying in cash over the counter did work.
  • lr1277
    lr1277 Forumite Posts: 1,459
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    Could you ask for a higher limit to cover the increased spend? Your card company may agree if you let them know how and when you are going to pay it off?
    My card company doubled my admittedly (somewhat) low limit when I told them what I needed the money for and how I was going to pay it back. This was when they knew I was unemployed so income was not a factor. Also they kept the higher limit even though the initial reason was a one-off.
    If you choose to pay off the money immediately, ensure the transaction is a confirmed transaction and not a pending transaction, otherwise you might go into positive territory.
    Also remember when asking for the higher limit, if not paying off the transaction immediately, you need to calculate your spend over 2 months plus some as the limit you wil request. As theoretically you could not pay the bill off till your next statement is due.
  • NoodleDoodleMan
    NoodleDoodleMan Forumite Posts: 3,057
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    edited 17 June at 7:43PM
    andy69_2 said:
    Hello,

    I want to purchase a holiday and the holiday company want to payment in one transaction. 
    I have a limit on my credit card which is about 3k short if what the holiday costs. 

    Can I overpay my credit card by the 3k so I'm in a positive balance which will then allow me to pay the holiday in one transaction?

    Cheers
    A couple of years ago I used a credit card to settle payment for an item that cost twice as much as the card limit - by prior arrangement with the merchant.
    Half the cost went on to the card balance - I then transferred that amount to the card account without delay which quickly restored the full credit limit - the seller was advised and then took the remaining amount.
    I'd be tempted to ask the holiday company if they'd accept such an arrangement - they'll get their money quickly - worth a try.

  • born_again
    born_again Forumite Posts: 11,690
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    andy69_2 said:
    Hello,

    I want to purchase a holiday and the holiday company want to payment in one transaction. 
    I have a limit on my credit card which is about 3k short if what the holiday costs. 

    Can I overpay my credit card by the 3k so I'm in a positive balance which will then allow me to pay the holiday in one transaction?

    Cheers
    Speak to them.
    Rule of thumb now is no. As you are not allowed to put a card in a credit balance.
    Life in the slow lane
  • MrFrugalFever
    MrFrugalFever Forumite Posts: 999
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    What is the reason for using the CC? S.75 protection?
    Save £12k in 2023 challenge

    Jan = £715 / £1,000 - Feb = £1,275 / £1,000 - Mar = £400 / £1,000  (fallen behind will make up in April)
    Apr = £ May = £ Jun = £
    Jul = £ Aug = £ Sept = £
    Oct = £ Nov = £ Dec = £

    Saved Total = £2,390 / £12,000
  • km1500
    km1500 Forumite Posts: 1,722
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    if you pay your ctedit card by faster payment you can send any amount including an amount that would put it in credit
  • NoodleDoodleMan
    NoodleDoodleMan Forumite Posts: 3,057
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    Not all credit cards will accept a transaction that puts the balance into credit - our M&S card won't do that.

  • paul_c123
    paul_c123 Forumite Posts: 69
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    What is the reason for using the CC? S.75 protection?
    S75 won't apply if paid using a credit balance.
  • MrFrugalFever
    MrFrugalFever Forumite Posts: 999
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    paul_c123 said:
    What is the reason for using the CC? S.75 protection?
    S75 won't apply if paid using a credit balance.
    That’s why I was asking the question.

    I think the OP’s only solution is to apply for another CC, perhaps one with cashback or rewards in the hope the limit is sufficient enough but that is never known until a full application has been processed.

    Assuming the vendor will not entertain the above mentioned idea of splitting the payment in to two.
    Save £12k in 2023 challenge

    Jan = £715 / £1,000 - Feb = £1,275 / £1,000 - Mar = £400 / £1,000  (fallen behind will make up in April)
    Apr = £ May = £ Jun = £
    Jul = £ Aug = £ Sept = £
    Oct = £ Nov = £ Dec = £

    Saved Total = £2,390 / £12,000
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