Confused over 2nd balance transfer on B'Card

Christaylor

I'm hoping this is in the right area as i'm new to posting here.

A year ago i did a £1,500 balance transfer on a 12 months 0% interest deal to a Barclaycard. The interest free deal runs out later this month and i still have £365 outstanding. About two weeks ago i did an existing customer life of balance deal - again for £1,500.

I want to get rid of the older £365 deal before it starts accruing interest and can do a balance transfer to another card on a 0% 6 month deal.

Question is, if i arrange this transfer is it assumed by both card providers that the £365 is for the first transfer (12 months ago) or would it eat into the recent transfer instead?

Barclaycard aren't being very helpful on this.

Thanks to anyone who can help.

YorkshireBoy

The 'order of payments' generally means any payments made to a card will pay off the lowest interest rate balance first.

See your T&C's or summary box for further details.

Christaylor

Thank you. The terms say: If you do not pay your statement balance in full, we will use your payments to pay off balances in the following order: - any fixed special rate balances, including interest on them, lowest rate first; any special rate balances, including interest on them, with a set end-date lowest rate first; any other interest or special charges; the standard balance and then the cash advance balance.

... which i'm hoping means the original transfer will be paid off first.

Moggles_2

Christaylor wrote: »

A year ago i did a £1,500 balance transfer on a 12 months 0% interest deal to a Barclaycard. The interest free deal runs out later this month and i still have £365 outstanding. About two weeks ago i did an existing customer life of balance deal - again for £1,500.

I want to get rid of the older £365 deal before it starts accruing interest and can do a balance transfer to another card on a 0% 6 month deal.

Question is, if i arrange this transfer is it assumed by both card providers that the £365 is for the first transfer (12 months ago) or would it eat into the recent transfer instead?

Unfortunately, not. Your second BT is a life-of-balance deal and it's classed as a fixed special rate balance, so it will be paid off first.

Which other credit cards - besides Barclaycard - do you have at the mo?

Bismarck

Moggles wrote: »

Unfortunately, not. Your second BT is a life-of-balance deal and it's classed as a fixed special rate balance, so it will be paid off first.

Which other credit cards - besides Barclaycard - do you have at the mo?

thanks for that Moggles...I'd been wondering about that on mine...I've got a 1.9% deal coming to an end in August and it's got a bit of 6.9% LOB on top that is shifting first.....not an issue initially but I'm having to plan around the expiry of the 1.9 bit now....fun and games....just love the terminology sometimes...fixed special rate balance indeed!:rolleyes:

Christaylor

Ok, thanks Moggles. I shall read the small print next time...

The B'Card rep i spoke to last night seemed to think that i can pay off the £365 balance from the original 0% deal (comes to an end on June 14th) in a branch with a debit card without it impacting on the LOB deal. It isn't ideal, but i have a bit of flexibility with Virgin for a cash transfer to a current account - 0% to April 09.

Have i been misinformed again?!

Moggles_2

Christaylor wrote: »

The B'Card rep i spoke to last night seemed to think that i can pay off the £365 balance from the original 0% deal (comes to an end on June 14th) in a branch with a debit card without it impacting on the LOB deal.

Paying with your debit card at a branch, (as opposed to requesting a BT to another credit card), has no effect on the order of payments. The allocation of any payments would be the same regardless of whether the funds came from you or another card company. Once the 0% deal expires, your £365 would remain trapped on the card attracting interest at your standard rate, which is variable.

Christaylor

Aargh!

Thanks for your help.

Moggles_2

Christaylor wrote: »

I have a bit of flexibility with Virgin for a cash transfer to a current account - 0% to April 09.

Is there a balance on your Virgin credit card? If not, one solution is to pay off the entire balance on your Barclaycard using your Virgin card. Virgin would allow you to borrow up to 95% of your credit limit. A 2.98% handling charge applies.

Christaylor

There's only £500 remaining on the Virgin card unfortunately. It seems i'm at least £50-£100 out of pocket each way, so i think i will sit tight and try and pay it all off as soon as.

Thanks again.

NickX

Christaylor wrote: »

The B'Card rep i spoke to last night seemed to think that i can pay off the £365 balance from the original 0% deal (comes to an end on June 14th) in a branch with a debit card without it impacting on the LOB deal.

Right, I think the Customer Services Rep is mistaken here, and that the £365 will remain outstanding and accuing interest whilst you are paying the LOB deal off.

However, if the Customer Services Rep says they are sure on this, and you take their name along with the Date and Time of the call, I think you have a case to force them to pay off the £365 balance first. If they do not honour this, then you have all the evidence to make an official complaint and put the account into dispute.