New Stoozer - couple of questions

skint_geordie

I have recently applied and got a Egg and Alliance & Leicester credit card to try out this stoozing phenomenon.

Question 1 : i have just got a MBNA junk mail through the door offering a 0% card(platinum plus) for 9 months is it possible with the other 2 cards I have ?

Question 2 : when you filll in the application and they ask whether you have any other cards what do you declair ?

Any information greatly received.

Robert_Sterling_3

Re Q2 You tell the truth.

Martinslovechild

Q1 depends very much on how much credit you've already got available to you from the other cards as a percentage of your salary.

Joe_Bloggs

You don't have to think about not telling the truth.
Having credit cards is good as it means that somebody else has made the decision to give you a line of credit.
The Alliance and Leicester are affiliated with the MBNA brand so they may reduce your credit limit if they figure things out. There is nothing stopping you from applying.
You might be able to time things so that as one 0% deal closes another one opens.
PS don't spend the money and look into tax efficient savings.
J_B.

skint_geordie

I have £4000 on the Egg and £3500 on A&L on a salary of £18k.

I am getting my head around this stoozing, but slowly :-/

Martinslovechild

There are some people on the boards who have a borrowing ratio of about 1:1 which means that you've potentially got a way to go before starting to get rejections.

P.S. The Alliance & Leicester card is actually run by MBNA so may not be the best option as they may want to give you a low limit due to having one of their other cards.

It may be better to consider one of the other card companies, e.g. HSBC have a new 9 month deal. Lloyds TSB Advance has 12 months 0%.

skint_geordie

Thanks for the replies guys.

I am going to use my Natwest e-savings account to put the stoozed cash which pays 4.25% gross(reasons being I already have it open)

Is this reasonable ?

Martinslovechild

Thanks for the replies guys.

I am going to use my Natwest e-savings account to put the stoozed cash which pays 4.25% gross(reasons being I already have it open)

Is this reasonable ?

Alliance & Leicester pay 5.35%.

Ing Direct pays 5% gross and it's instant access.

Joe_Bloggs

Ing will give you 5% AER (Interest is paid monthly and compounded makes 5% after a year. neglecting taxes @ 20% for basic rate). There a better deals out there for sure.
http://www.ingdirect.co.uk
Martin researches this topic and the results of his work regarding savings are here.
J_B.