Virgin Credit Card Stoozin question

DARYALS

Can someone help out here. I have just started to Stooze but the maths just dont add up.

i managed a 9k limit, I could transfer over £8550 into my high interest account.

I would incur the following fees :-

2.98% balance fee = £254.79

x12 months of minimum repayments of £25 each = £300

So total fees = £554.79

even if I invested this in the top bond at 6.75% I would only make £577.12 over the year making a profit of £22.33, and that's without tax removed. I have double checked the fees and 2 separate employee's have confirmed these fees? Does this sound correct? Am I missing something here??

Hopefully I wont get flamed it's the 1st time I've tried this :rotfl:

YorkshireBoy

So total fees = £554.79

That's where you're going wrong. The £300 minimum payments are not fees...they're acting to reduce your balance.

You'll make £276.68 according to the stoozing site's profit calculator:

http://www.stoozing.com/calc.htm

Assumptions:
6.75% stooz pot
14 months effective duration
Basic rate tax payer

Sandy_Beech

DARYALS wrote: »

Can someone help out here. I have just started to Stooze but the maths just dont add up.

i managed a 9k limit, I could transfer over £8550 into my high interest account.

I would incur the following fees :-

2.98% balance fee = £254.79

x12 months of minimum repayments of £25 each = £300

So total fees = £554.79

even if I invested this in the top bond at 6.75% I would only make £577.12 over the year making a profit of £22.33, and that's without tax removed. I have double checked the fees and 2 separate employee's have confirmed these fees? Does this sound correct? Am I missing something here??

Hopefully I wont get flamed it's the 1st time I've tried this :rotfl:

I am doing the same, however not sure if i have read your post right! as you have put x12 months of minimum repayments =300 and included this in total fees..... this is not a fee but your savings.... Let me explain.... if you had to pay the card back in full you would pay it back less the amount of your minimum payment...

Hope this helps...

DARYALS

OK, so the £25 minimum repayments are there to cover the initial 2.98% transfer fee, which equates to £254. This would be more like it and I can see where I can make £276, otherwise I'm completely thick, I can't see the wood for the trees, and you all can call me a complete dumbo if you wish! Else, please explain how these £25 repayments help me make £276!

YorkshireBoy

DARYALS wrote: »

OK, so the £25 minimum repayments are there to cover the initial 2.98% transfer fee, which equates to £254.

No. The 2.98% BT fee is added to the BT itself, to form the card balance (for the first statement) of £8,804.79.

You pay the BT fee with your first minimum payment (BT fee + £5 = £259.79)

At the start of the second month you now owe £5 less than the £8,850 you sent to your current account.

You then repay £25 as your second month's minimum payment, so at the start of the third month you owe £30 less than you sent to your current account.

You then reduce your balance by £25 every month until, at the end of month 15 you repay what's left with one final payment. The interest (all £276 of it), when added to your savings account, is your profit.

Did you check out the calculator (and help file) I posted above?

You really are going to kick yourself when the penny finally drops.

Mutton_Geoff

You also need to tweak your sums just slightly. If you have a £9k limit, Virgin will only allow a max 95% inc BT fee to be transferred, so your BT amount will be £8,300 plus BT fee of £247.34, total owed £8,547.34 (against max allowed of £8,550).