New credit card or overdraft?

mini_me_7

Hi all,

I am hoping someone can advise me of my best option here:

I have a Tesco credit card with 0% on purchases with a balance of £5,000 on it. The 0% ends at the beginning of November. At that time I can afford to clear £4,000 of it, leaving a balance of £1,000.00. The rate reverts back to 15.9% then.

The following month I can afford to clear the card completely, but I will need to go into my overdraft to do this, which is at 7% apr.

So I will incur interest charges on the credit card and my overdraft.

Or -

Should I apply for another 0% credit card and balance transfer the remaining £1,000.00 - but then I will have to pay a balance transfer fee!

I can't work out which way would be cheapest!

Which way would you advise?

Many thanks.

YorkshireBoy

If your credit history is good, apply for another 0% card and transfer the remaining £1,000 to it.

You'd be better to start the application process now to ensure it's completed before the expiry of your current deal.

There are still many BT cards that do not charge a BT fee.

Check here...

http://www.moneysavingexpert.com/cgi-bin/viewnews.cgi?newsid1107182516,76509,

and here...

https://www.stoozing.com/0fees.htm