0% debt management

napperdoon

I took a loan for 6k 18 months ago at 7.5%. I now owe 3k, if I settle. The question is Can I pay the 3k with a credit card and then transfer to a 0% CC, which has a 3% fee? Or is there a clause stopping regular debt being paid for with CC? If I'm correct and I continue to pay the same monthly fee (approx 185) then I should be able to either pay off early or at a lower rate.
I don't normally move money around like this. Can it be done? 

TadleyBaggie

Does the loan company accept credit card payments? 

If not you could get a 0% card that supports Money Transfer (although the fee for this might be a little higher), transfer the money to your current account and then pay the loan company by debit card or bank transfer.

TheAble

Loan companies don't usually accept payment by credit card. 

CliveOfIndia

Even if the loan company will accept payment by credit card, it's more than likely that your card would treat it as a cash advance, meaning you'd be charged a cash advance fee and also have to pay interest until you clear the card - even if you pay it off in full.

The fee and interest might not be too bad, as long as you can clear the balance within a few days, but it's worth being aware and factoring it in to your calculations.  And you'd also have the BT fee to factor in on top of that.

If the loan company won't accept a credit card, then a Money Transfer card - as suggested by TB - might be another option.  But again, just be aware of the fee.

Hoenir

Loan companies won't accept credit card payments due to the merchant fees they'll incur.