Hi...newbie here! Will this idea work?? Help!

the_nub

I am TAKING CONTROL and am going to be credit card/debt free in a year.

Please can someone in the know read this and tell me if it's accurate/doable?

CURRENT SITUATION

Overdraft - 1300
Credit 1 - 800
Credit 2 - 800


WHAT I WANT TO DO

Apply for a 12 month 0% balance transfers credit card. Put 2 credit cards on it. Pay off overdraft with it (I didn't think that was possible, but Moneysavingexpert says it is).
Balance on new credit card = 2900

Salary gets paid into account = +1600.

Outgoings = 1100.

Leaving £400 spare before I hit 0 again.

Presuming there will be some months with unseen outgoings, say I pay £250 a month off the new card (sometimes more, sometimes less).

Debt on new card gone within 1 year (11.6 months to be accurate).


DOES THIS WORK??

AND WILL I BE ABLE TO APPLY FOR A CREDIT CARD THAT WILL GIVE ME A £3000 LIMIT TO DO THAT?

My credit rating is, as far as I know, at least fair. The only problem is that I've only recently moved house - about 2 weeks ago - and haven't registered on the electoral roll yet. Should I do that before I try to apply for a new card? I was at my previous address for two years, and before that I was a student so tended to move around a fair bit!
My other idea is, if I can't get a new card, to telephone one of my existing cards and ask for a 0% balance transfer for the overdraft and one of the cards. Whilst there is only £800 on each card, the limits on them are £1500 and £3000 respectively, so that could possibly be doable?
Argh, so confused! Some kind person out there help me, please!!
(though I'm off to bed in a tick so if I don't reply tonight I most certainly will tomorrow.)
Many thanks in advance!

Toastie

the_nub wrote: »

I am TAKING CONTROL and am going to be credit card/debt free in a year.

Please can someone in the know read this and tell me if it's accurate/doable?

CURRENT SITUATION

Overdraft - 1300
Credit 1 - 800
Credit 2 - 800


WHAT I WANT TO DO

Apply for a 12 month 0% balance transfers credit card. Put 2 credit cards on it. Pay off overdraft with it (I didn't think that was possible, but Moneysavingexpert says it is).
Balance on new credit card = 2900

Salary gets paid into account = +1600.

Outgoings = 1100.

Leaving £400 spare before I hit 0 again.

Presuming there will be some months with unseen outgoings, say I pay £250 a month off the new card (sometimes more, sometimes less).

Debt on new card gone within 1 year (11.6 months to be accurate).


DOES THIS WORK??

AND WILL I BE ABLE TO APPLY FOR A CREDIT CARD THAT WILL GIVE ME A £3000 LIMIT TO DO THAT?

My credit rating is, as far as I know, at least fair. The only problem is that I've only recently moved house - about 2 weeks ago - and haven't registered on the electoral roll yet. Should I do that before I try to apply for a new card? I was at my previous address for two years, and before that I was a student so tended to move around a fair bit!
My other idea is, if I can't get a new card, to telephone one of my existing cards and ask for a 0% balance transfer for the overdraft and one of the cards. Whilst there is only £800 on each card, the limits on them are £1500 and £3000 respectively, so that could possibly be doable?
Argh, so confused! Some kind person out there help me, please!!
(though I'm off to bed in a tick so if I don't reply tonight I most certainly will tomorrow.)
Many thanks in advance!

Don't expect for a credit card to come with out the electoral role for your needs.

MBNA or Virgin is best - you can transfer the balance in to your current account.

Put your details on the electoral role. Then look at a Virgin card (15months).

What ever the limit transfer this into your bank account, you will get only 95% and 3% of that will be a fee for transfering.

Immediately your overdraft should clear, pay off in full or as much as on your credit cards (highest interest first).

Then if you have spare cash, open an ISA and deposit the funds there. Pay the minimum each month on the Virgin card then you put any other 'spare' funds after this in to the ISA and a month before the interest inccuring statement is due use the ISA money to pay off all or as much debt as possible.

Hope it's a bit clear, there are deeper stoozing posts - don't attempt this if you can't / won't watch your card statments. This can make you worse off if you are not careful.

How ever if you don't like this then search balance transfers in the top box under forum for 100's of posts.

Moggles_2

Originally Posted by the nub
I've only recently moved house - about 2 weeks ago - and haven't registered on the electoral roll yet. Should I do that before I try to apply for a new card?

Yes. Some lenders routinely reject applicants whose ID cannot be checked electronically, because they're not on the electoral register.

Also, you will have disrupted your credit rating temporarily. Lenders like stability, so best practice is to apply for credit cards, where possible, before you move. (The same applies if you change jobs or switch your main current account.)

The good news is that neither of the above factors affects you permanently. You'll find lots of info' and tips on the main site. In particular, I would have a look at Martin's *How to Manage & Improve your Credit Score* article to check nothing else is working against you.

Moggles_2

Originally Posted by the nub
My other idea is, if I can't get a new card, to telephone one of my existing cards and ask for a 0% balance transfer for the overdraft and one of the cards.

Which two credit cards do you have at the mo?

the_nub

Hi guys,

Thank you so much for your responses. I've given the stuff on stoozing a read but I think I need to get practised in the world of simple balance transfers first...it all sounds quite scary and complicated!

Two credit cards at the moment are HSBC's own (the one they automatically gave me with my bank account, so not necessarily the best deal) and a Post Office card.

Toastie

the_nub wrote: »

Hi guys,

Thank you so much for your responses. I've given the stuff on stoozing a read but I think I need to get practised in the world of simple balance transfers first...it all sounds quite scary and complicated!

Two credit cards at the moment are HSBC's own (the one they automatically gave me with my bank account, so not necessarily the best deal) and a Post Office card.

Yes i was asking alot. Sorry.

It's a very simple way in order to gain interest on money they have leant you to pay off your existing debts (my soloution with a bit of stoozing).

However you may find a life of balance card more suitable? Around 7% interest for 12months, which may be more suitable for you and it also gives you a good couple of green '0's in your credit files.

Bokkens

Toastie wrote: »

Hope it's a bit clear, there are deeper stoozing posts - don't attempt this if you can't / won't watch your card statments. This can make you worse off if you are not careful.

.

Just to pick up on this post,
If you rely on the statement arriving on your mat you are playing into the CC hands ,the statement is a "snapshot " in time by the time you get it the world has moved ten days further on you have may well have spent on the card.
To get a more accurate "real time" image of your accounts get online and stay ahead of the CC companies and be in control of your money and move it when you need to.