0% Balance Transfer card help

Lockinho23

Hi,

I hope someone can help me here 

I need to take out a 0% balance transfer card for a sum in the region of £4,000 to £5,000.

When I tried to do this before I was pre approved but when I entered the sum of £10,000 I was then declined (this was last year). 

I have no problem with my credit score - 999 on Experian. No late payments etc.

I have been pre approved/have options of 90% success available to me. However, I'm really worried that if I ask to transfer the full £5,000 then I might be declined again.

Does anyone have any experience of this? Am I best to try and take out 2 separate cards and spread the total sum across them?

Thank you in advance for any advice you may have for me.

Cheers,

Phil

Brie

I'd try for a lower amount, maybe £3k?  And then another of £2k.  

Gandalf644

Also try doing an 'eligibility check' on actual bank's websites where they will give an indicative yes/no as well as an indicative credit limit you maybe offered, before carrying out a 'hard search' if you actually apply. 

Not all banks do this, but for example, Natwest do.

https://www.natwest.com/credit-cards/how-to-apply-for-credit-card.html

As do mbna:

https://www.mbna.co.uk/

Just remember that you may not be able to balance transfer between banks in the same banking group (such as Natwest/RBS/Ulster Bank etc).

Lockinho23

Gandalf644

Thank you, I'll try that.

Yes I read about the group thing, typically the pre-approved ones are all with Virgin money but I have the balance that I need to transfer with Virgin money so can't do it.

Appreciate your help

Lockinho23

Brie said:

I'd try for a lower amount, maybe £3k?  And then another of £2k.  

Thank you Brie, I'm feeling like that might be what I end up doing.

I'll see what the eligibility calculators on the website on the banks say and go from there

martinbainbridge1975

try lloyds / halifax / mbna eligibility checkers they give an indicative limit, as does natwest

Virgin money tend to start very low with limits from exoerience

Nasqueron

Lockinho23 said:

Hi,

I hope someone can help me here 

I need to take out a 0% balance transfer card for a sum in the region of £4,000 to £5,000.

When I tried to do this before I was pre approved but when I entered the sum of £10,000 I was then declined (this was last year). 

I have no problem with my credit score - 999 on Experian. No late payments etc.

I have been pre approved/have options of 90% success available to me. However, I'm really worried that if I ask to transfer the full £5,000 then I might be declined again.

Does anyone have any experience of this? Am I best to try and take out 2 separate cards and spread the total sum across them?

Thank you in advance for any advice you may have for me.

Cheers,

Phil

The decline will be for the card in general, not the limit you asked for - you can ask for what you like but they will only give you what they consider an acceptable risk (including no card at all). If you have £4500 of debt to BT, ask for £5000. The fact you had this debt and were declined a card is more likely down to other factors than the limit you asked for.

Your experian score was never seen by the lender though, ignore it

paul_c123

Lockinho23 said:

Hi,

I hope someone can help me here 

I need to take out a 0% balance transfer card for a sum in the region of £4,000 to £5,000.

When I tried to do this before I was pre approved but when I entered the sum of £10,000 I was then declined (this was last year). 

I have no problem with my credit score - 999 on Experian. No late payments etc.

I have been pre approved/have options of 90% success available to me. However, I'm really worried that if I ask to transfer the full £5,000 then I might be declined again.

Does anyone have any experience of this? Am I best to try and take out 2 separate cards and spread the total sum across them?

Thank you in advance for any advice you may have for me.

Cheers,

Phil

The given credit limit will be based on earnings. However the credit score only takes into account credit held and payment performance (amongst other things, for example CCJs, electoral register etc) and doesn't know your work situation. 

That's putting it simply.

More nuanced is that banks have a particular approach to credit risk, customer profile etc so that's why you can be declined for something (or a credit limit you asked for refused). 

Anyway, the advice is to apply for what you need, and take what you get given as its still worth doing a partial BT than none at all.

fergie_

Are Virgin still offering existing transfer offers to you?

Another approach is to take out a card that allows fee free transfers (such as MBNA) but charge say 7% interest. You transfer the balance there and then transfer it back to your Virgin card after a few days.

Alternatively, if Virgin are offering you Money transfers at a good rate and you have enough headroom, you could transfer to your bank and then use that to clear the oldest balance. Do check though how they allocate payments, but most cards do now allocate in order of interest rate and then age.