Credit Card Balance Transfers for a Novice

Credit Card Balance Transfers for a Novice

Author
Discussion

PHlL

Original Poster:

1,538 posts

139 months

Thursday 21st May 2015
quotequote all
Hi everyone,

Just a very dummy like question as never done it for so just want to make sure I understand it all correctly.

I originally applied for 0% purchase card for 21 months through Tesco Bank to allow me to kit out my new home (moved in yesterday). They approved it subject to proof of a address as no existence of me at my new home which I expected. However, only got the letter today and it will now take 10 days to process so cannot wait that long.

Called them up and they are happy to swap it to a 0% balance transfer for 36 months (even better) with a 2% fee for transferring it.

It I spend about £2,000 on my Barclaycard this weekend, and then transfer it over to Tesco when I get my card in the coming weeks, is it just a case of logging online to Tesco, give them the credit card number for my Barclaycard, transfer the £2k over and charged £50 for the fee and job done, pay it off over 2 years as originally planned. I assume there is no charge from Barclaycard?

Just as never doing it before, it sounds really simple so just want to double check it is. Thank you

Mike22233

822 posts

111 months

Thursday 21st May 2015
quotequote all
So sorry you're borrowing 2k

22

2,296 posts

137 months

Thursday 21st May 2015
quotequote all
Mike22233 said:
So sorry you're borrowing 2k
No wonder you have so many posts in such a short space of time - such insight.

OP you're about right. There used to be professional balance transfer jugglers which brought in the transfer fees. It's a cheap way of borrowing if managed correctly. Both the credit search for a new card and having a credit card not being paid off have a slight negative impact on your credit score if you give a hoot.

Nickyboy

6,700 posts

234 months

Thursday 21st May 2015
quotequote all
PHlL said:
Hi everyone,

Just a very dummy like question as never done it for so just want to make sure I understand it all correctly.

I originally applied for 0% purchase card for 21 months through Tesco Bank to allow me to kit out my new home (moved in yesterday). They approved it subject to proof of a address as no existence of me at my new home which I expected. However, only got the letter today and it will now take 10 days to process so cannot wait that long.

Called them up and they are happy to swap it to a 0% balance transfer for 36 months (even better) with a 2% fee for transferring it.

It I spend about £2,000 on my Barclaycard this weekend, and then transfer it over to Tesco when I get my card in the coming weeks, is it just a case of logging online to Tesco, give them the credit card number for my Barclaycard, transfer the £2k over and charged £50 for the fee and job done, pay it off over 2 years as originally planned. I assume there is no charge from Barclaycard?

Just as never doing it before, it sounds really simple so just want to double check it is. Thank you
Yes you've got it right.

I've just got a 2nd Barclaycard to take advantage of their 36 month 0% free, work out how much you'll have to pay each month to ensure it's paid off before the rate ends. The minimum payment won't be close to that. If you can afford to then add a bit more and set up a direct debit so you never forget, you'll lose the 0% rate if you're late