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  • FIRST POST
    • AliceBanned
    • By AliceBanned 15th Sep 18, 3:15 PM
    • 2,401Posts
    • 1,106Thanks
    AliceBanned
    Credit scoring and balance transfer
    • #1
    • 15th Sep 18, 3:15 PM
    Credit scoring and balance transfer 15th Sep 18 at 3:15 PM
    Hi


    I wanted to transfer an £800 balance on my Tesco card as the 0% deal ended two months ago and interest rate is 46%..


    I have other cards and very few interest charges but i am starting to panic as I can't seem to get either a card or a loan, apart from Capital One. Clearscore, MSE and Noddle all showed 95% acceptance for an Admiral loan at low interest so I applied but was turned down. Recently the same happened with a Lloyds credit card. I applied because my credit 'score' had improved because I have paid down debt though I know the amount is still high. I am repaying £600-700 per month and really struggling with it psychologically now as I just want it sorted.


    I can't understand why, after paying a few thousand down, and my 'credit score' showing as improved, why I can only get a Capital One card, that is STILL the best offer I can get. My income is £39k. Maybe it just takes a LOT longer to repair a poor score and to get back into being offered good deals? I am repaying the debt whatever happens and am determined to get out of this debt spiral but it is strange getting these mixed messages, appearing that i might be offered a good rate and then failing every time.
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
Page 1
    • Willing2Learn
    • By Willing2Learn 15th Sep 18, 3:19 PM
    • 1,747 Posts
    • 1,331 Thanks
    Willing2Learn
    • #2
    • 15th Sep 18, 3:19 PM
    • #2
    • 15th Sep 18, 3:19 PM
    Have you tried the eligibility checker on the BT card guide linked below?
    https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

    It is good to see how you are determined to get the debt down. You've already paid down £8,000!! Well done!!
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • Gary_Dexter
    • By Gary_Dexter 15th Sep 18, 3:20 PM
    • 2,561 Posts
    • 1,443 Thanks
    Gary_Dexter
    • #3
    • 15th Sep 18, 3:20 PM
    • #3
    • 15th Sep 18, 3:20 PM
    Because your score is made up and lenders do not see use or care about it.

    Getting a loan is the worst thing you can do to consolidate debt.

    £39k will get you just under £2500 per month after tax. Where’s it all going?

    Cut back and throw as much as you can at the card to clear it - £800 should be easily cleared within 4-6 months MAX.

    Or do you mean £8000?
    • AliceBanned
    • By AliceBanned 15th Sep 18, 3:29 PM
    • 2,401 Posts
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    AliceBanned
    • #4
    • 15th Sep 18, 3:29 PM
    • #4
    • 15th Sep 18, 3:29 PM
    Thanks Gary. £800. Just under £2200 after tax because of pension payments.


    Also I live alone just outside London and living costs are very high. My basic outgoings, mortgage and rent (shared ownership), council tax, food, bills, petrol, phone, internet, insurance, tv licence, road tax, car insurance, are £1500. I have a Salary Finance loan which means my income is just under £2000 until that's paid off, with £2500 to go. So all the rest is going on repayments, very occasional leisure or meal out (almost never though) charity shop clothes, car maintenance, toiletries.


    I think I am getting there but i haven't got to the stage yet where I feel I don't need to borrow at all. I just need to push on but you're right it is doable. Some of the other cards' 0% will come to an end as well soon so it is a bit worrying and like fighting against the tide but then i suppose that's what debts do.
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
    • Willing2Learn
    • By Willing2Learn 15th Sep 18, 3:31 PM
    • 1,747 Posts
    • 1,331 Thanks
    Willing2Learn
    • #5
    • 15th Sep 18, 3:31 PM
    • #5
    • 15th Sep 18, 3:31 PM
    Why not post your SOA on the DFW board? MSE members often come up with useful and imaginative ideas to reduce debts and/or increase income
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • AliceBanned
    • By AliceBanned 15th Sep 18, 3:31 PM
    • 2,401 Posts
    • 1,106 Thanks
    AliceBanned
    • #6
    • 15th Sep 18, 3:31 PM
    • #6
    • 15th Sep 18, 3:31 PM
    Have you tried the eligibility checker on the BT card guide linked below?
    https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

    It is good to see how you are determined to get the debt down. You've already paid down £8,000!! Well done!!
    Originally posted by Willing2Learn

    Yes I have, thanks for the link. Capital One is possible but I'm not sure I want another application on my file! It's hard getting turned down as it can be another black mark but my point is I'm not getting much of a steer from Noddle etc and if anything they are misleading. I know it's not an exact science and they are showing as improving but even so!


    Thanks for the encouraging words, it means a lot as i completely forget and give myself a hard time over debts and feel I'm getting nowhere.
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
    • AliceBanned
    • By AliceBanned 15th Sep 18, 3:33 PM
    • 2,401 Posts
    • 1,106 Thanks
    AliceBanned
    • #7
    • 15th Sep 18, 3:33 PM
    • #7
    • 15th Sep 18, 3:33 PM
    Why not post your SOA on the DFW board? MSE members often come up with useful and imaginative ideas to reduce debts and/or increase income
    Originally posted by Willing2Learn
    Thanks, I've done this in the past and moved things on and I don't think I can scrimp much more than I am doing. I managed to increase my income a year ago - before that I was on lower income with high train fares so it has been getting easier since then, but is taking time obviously. I agree the DFW board is helpful but I've just been ploughing on with the info they gave me in the past.
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
    • Gary_Dexter
    • By Gary_Dexter 15th Sep 18, 3:54 PM
    • 2,561 Posts
    • 1,443 Thanks
    Gary_Dexter
    • #8
    • 15th Sep 18, 3:54 PM
    • #8
    • 15th Sep 18, 3:54 PM
    All you can do then is look at cutting back and throwing what you can at it to clear it
    • AliceBanned
    • By AliceBanned 15th Sep 18, 4:49 PM
    • 2,401 Posts
    • 1,106 Thanks
    AliceBanned
    • #9
    • 15th Sep 18, 4:49 PM
    • #9
    • 15th Sep 18, 4:49 PM
    All you can do then is look at cutting back and throwing what you can at it to clear it
    Originally posted by Gary_Dexter


    I agree. It is a money transfer card so I was using it when I needed money to tide me over - mainly as I'd paid off my debts including overdraft too quickly and spent a bit on a cheap trip away to Cornwall in the summer.


    The danger with the money transfer card is it is so useful. I can throw more money at it on pay day but if I throw too much i will need to use it again..the APR is ludicrous though so I need to focus on not doing this. I had £100 emergency fund which I had to dip into this month and building up an emergency fund is difficult yet without it I can come unstuck.
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
    • AliceBanned
    • By AliceBanned 16th Sep 18, 10:14 AM
    • 2,401 Posts
    • 1,106 Thanks
    AliceBanned
    Something I forgot to check and a nice surprise - I phoned First Direct today about my balance as I have a card with them on which the 0% rate has just ended. I've been paying it down and have a £300 available. They offered me a further 0% for 20 months! So it is a relief that I can move some of the Tesco onto that and 20 months is pretty good so when I have paid off more of the balance I can use that for balance transfers if the other cards hit the end of their 0% rate. Ideally I will close the Tesco as they told me they won't offer me another deal now - I would be better to close it and apply again in 3 months for a new Tesco card.
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
    • Gary_Dexter
    • By Gary_Dexter 16th Sep 18, 1:22 PM
    • 2,561 Posts
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    Gary_Dexter
    A further 0% on balance transfers or purchases?
    • AliceBanned
    • By AliceBanned 16th Sep 18, 6:44 PM
    • 2,401 Posts
    • 1,106 Thanks
    AliceBanned
    Balance transfers.

    They said I could apply to increase my credit limit but they would do a hard search. Iíve been reducing the limit as Iíve been paying it off but have £300 available at mo. Balance is £700.
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
    • Gary_Dexter
    • By Gary_Dexter 16th Sep 18, 7:54 PM
    • 2,561 Posts
    • 1,443 Thanks
    Gary_Dexter
    Don’t reduce the limit

    Just don’t overspend
    • AliceBanned
    • By AliceBanned 17th Sep 18, 10:13 AM
    • 2,401 Posts
    • 1,106 Thanks
    AliceBanned
    Donít reduce the limit

    Just donít overspend
    Originally posted by Gary_Dexter
    Exactly. Thanks Gary
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
    • AliceBanned
    • By AliceBanned 21st Sep 18, 4:06 PM
    • 2,401 Posts
    • 1,106 Thanks
    AliceBanned
    Oh..two weeks ago (before applying for the Admiral loan) I had applied for a Marbles BT card but heard nothing. Just been accepted for 6 months 0% £900 limit so can do the BT after all. I will only need to use £400 but another card is coming to the end of 0% rate. Just found out today and thought I was being refused for that as well until now!!
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
    • Gary_Dexter
    • By Gary_Dexter 21st Sep 18, 4:09 PM
    • 2,561 Posts
    • 1,443 Thanks
    Gary_Dexter
    So long as the 6 months is definitely on BT's and not purchases then yes that will be fine to use
    • AliceBanned
    • By AliceBanned 21st Sep 18, 4:13 PM
    • 2,401 Posts
    • 1,106 Thanks
    AliceBanned
    So long as the 6 months is definitely on BT's and not purchases then yes that will be fine to use
    Originally posted by Gary_Dexter
    Thanks Gary. Yes am strictly paying these cards off now. Should have sufficient funds from next month to not need them for purchases or for money transfers. I won't in fact even keep the PIN numbers. I will set up a DD so that the debt is paid off this time, within the 0% period.
    DFW - goal December 2019
    Debt at LBM: £18,335
    Current debt: £9,689
    _________________________
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