Conran CC 0% or NOT
Thorrrr
Posts: 92 Forumite
in Credit cards
OK here goes i currently have numerous credit cards for tarting. I have two main cards for using i have the Capital ONe Circle Rebate (which used to be 1% refund) but now .5%. I have the American Express Platinum at 2% subject to condtions i know.
I have tried for the past 12 months to get the Conran Card my 1 st application was i no as i had #75 at 0%.I have just been accepted on my 2nd application because i let my Credit Score settle for 6 months. I have been given £8000.
So here is the question i was going to start using the Conran and ditch the CapitalOne. But i see on the Conran is 0% for 6 months!
So here goes should i use the 6 months at 0% on the Conran CC in my offset account and continue to use my Capitalone?
I get loyalty payments from my One card in Dec every year i have just has £120 from them. If i jack it in will i loose the 3 months i have had so far and if i keep using it i will have 9 months.
Not sure which is the best way to go about it will i gain more using the Conran straight awy on 1% or off setting it for 6 months?
I have tried for the past 12 months to get the Conran Card my 1 st application was i no as i had #75 at 0%.I have just been accepted on my 2nd application because i let my Credit Score settle for 6 months. I have been given £8000.
So here is the question i was going to start using the Conran and ditch the CapitalOne. But i see on the Conran is 0% for 6 months!
So here goes should i use the 6 months at 0% on the Conran CC in my offset account and continue to use my Capitalone?
I get loyalty payments from my One card in Dec every year i have just has £120 from them. If i jack it in will i loose the 3 months i have had so far and if i keep using it i will have 9 months.
Not sure which is the best way to go about it will i gain more using the Conran straight awy on 1% or off setting it for 6 months?
I say what I like, I like what I say!
0
Comments
-
You forefeit cashback if you close the Cap1 card early. You can always reduce the limit on it if you think total available credit is an issue then keep it until you get the cashback in Dec.
If the Conran card is 0% on purchases and BTs then you can spend on it, otherwise do not both at the same time.
Which is worth more to you? £8K for 6 months @ 0% is worth approx £160 (assuming 20% tax on 5% savings). Is the additional 0.5% cashback worth more? i.e. will you be spending over two and half grand a month on the card?0 -
No its not on spending just Quote " 0.0% p.a. on balance transfers and credit card cheques for six months from account opening (0.0000% monthly), provided you operate your account within the terms and conditions"
Could i use the cheques for spending for 6 months at 0%
It also says "2% handling fee (min.£2, max.£35) on: credit card cheques and some balance transfers.
2% handling fee (min.£2, no max.) on: cash transactions.
2.75% commission on foreign currency transactions"
So will i get a 2% charge for a BT?
My monthly send varies between 600 and 1500 only.I say what I like, I like what I say!0 -
I'd suggest you will get at least one completely free BT but best check with them. Does it say they will charge you the handling fees or "may charge"? If it says they will charge then there is little doubt that they will (you could always ask them not to but don't hold your breath). If it says "may charge" as lots of MBNA cards do then it seems to be something to do with the mood of the customer service operator whether it gets applied.
I doubt you would want to spend with the cheques if they cost between £2 and £35 a time. They probably only give you half a dozen anyway.
Anyway, from what you've said I would:
- keep Cap1 for spending for the next six months (you may want to get a better cashback card in a month or two but it may be too soon for another application)
- use the Conran card for its 0% offer.
- after six months pay off the Conran balance and start to use it for cashback. Make sure you pay off the debt before the 0% period ends, this may not be a payment date from your regular statement.
- come December get the cashback from Cap1 then close the account (or try to blag a 0% period, they can only refuse)0 -
If you use Cap1 for spending, you get 0.5%, could have had 1% with Conran. If you spend £1500 / month, that is £9K over 6 months, which means using Cap1 vs. Conran costs you £45 in cashback over the 6 months.
If you BT £8K in one shot, the worst it will cost you is £35 if you do get a fee, but probably not the first time, and you lose the chance to get the extra cashback for 6 months. Total cost, then, is £80 (fee 35, lost cashback 45).
Galstonian used 4% net, but that overlooks the fact that you are using it to offset. Probably 5% (or more) on £8K for 6 months is £200.
You are to the good £120 by BTing and offsetting. More if your mortgage rate is higher than 5%, you avoid a fee, and/or you spend less than £9K over the next six months.
Doesn't anyone really crunch numbers around here when I'm gone?
Isn't Gal glad to have me back?
I have five stars! This doesn't mean that I know anything about any of the things I post. I could be a raving lunatic, or a brilliant genius, or just some guy on the internet. In fact, I could be all three at the same time.
If anything I say makes sense, then do it. If not, don't. Don't blame me or my stars if you do something stupid because I suggested it. I'm responsible for my own stupidity only. You are responsible for yours.
Why, I don't even have five stars anymore! Aren't you glad you aren't responsible for my stupidity?0
This discussion has been closed.
Categories
- All Categories
- 343.1K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.7K Spending & Discounts
- 235.2K Work, Benefits & Business
- 607.9K Mortgages, Homes & Bills
- 173K Life & Family
- 247.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards