Cant get credit on Balance Transfer card to save money

MrBowler

Hi,

Currently got a Virgin Money card that is over 20% interest and costing me over £100 a month in interest charges.
It is more or less maxed out at £5,300 limit, paying £350 a month but £100 charges per month.

I have tried changing to a Balance Transfer card at 0% but i cant get approval for £5,300 and can only get £350 (which is pointless).

Any suggestions?

MEM62

If you cannot get another balance transfer card then you need a plan for clearing the outstanding balance on this one.  Have a look at you budget to see where you can cut back spending in other areas to have more cash to throw at clearing this balance.  

MrBowler

i have done, the most i can do is £350 a month, it was originally £150 so i cut back everything to get the extra £200

cymruchris

The likelihood is that based on the fact you're on your limit, carrying a balance, and possibly making minimum or near minimum payment each month will be factors that go against you on any new credit application. (There are lots of other factors too - such as salary, time at address and lots more). If you've tried the eligibility checkers across all the major cards and drawn a blank, the way forwards is to cut your outgoings to pay off the debt more quickly. What can you live without for a few months? Any subscriptions you can cancel? Are you on the cheapest deal for your mobile/broadband etc? 

Have you had an ebay purge recently? (Money in the bank is more important than stuff in the cupboards). Credit cards are ultimately in business to make money, and 0 percent deals aren't always available, and in the current financial background although they are still available to some, I'm sure behind the scenes many of the banks will be tightening criteria for the potential risks of customers defaulting. 

MorningcoffeeIV

MrBowler said:

Hi,

Currently got a Virgin Money card that is over 20% interest and costing me over £100 a month in interest charges.
It is more or less maxed out at £5,300 limit, paying £350 a month but £100 charges per month.

I have tried changing to a Balance Transfer card at 0% but i cant get approval for £5,300 and can only get £350 (which is pointless).

Any suggestions?

It's only pointless if you don't want to pay less interest.

If you're looking to pay less interest, then BT what you can.

Other options may then also open up as your balance reduces faster and some is on a promo.

fergie_

Only other options would potentially be a loan or contacting the card company to agree a plan to freeze the account at a lower rate until it is cleared off.

WYSPECIAL

You might find that if you take the card with the £350 credit limit it will not only save you interest on that amount but in a few months they will offer you a credit limit increase and another balance transfer offer.

It might not be much but isn’t pointless.