Balance Transfer Credit Cards

[Yazza54]

Hi all

Just wondering if this is the right thing to do, I currently have a RBS Platinum credit card which I've purchased various car and bike related shiny pieces with over the last couple of years. But that's all I really got it for and generally don't need a credit card apart from maybe some work expenses.

I'm thinking the best thing to do now would be to get some form of 0% balance transfer credit card and just smash it over a period, then either stop using the other card or simply just for work expenses i.e. fuel etc. Does this sound like the best way forward, and does anyone have any general advice or know of any good deals going?

I also have a bit of a loan left and was just going to continue paying it off separately, but I guess it would make more sense to transfer that too and then I've got one figure to get rid of in a fixed period.

I've been paying the odd bit off the card I have but it seems daft to leave the balance on that card when there are 0% ones available, also there's always that temptation of using the credit card and I've found it easy to lose track of what I've spent compared to when I just had a debit card.

Cheers

Edited by Yazza54 on Tuesday 1st November 09:45

[jeff m2]

I've been paying the odd bit off the card

I assume you mean you have been paying small amounts each month as required and not "I have a bit extra this Month, I'll bung 'em a 100." (Once in a while)

Credit card companies really prefer you to make at least the minimum payments. If you haven't then the option of getting another card may not be realistic.

If you have business expenses keep them on one card, either this one or the new one. Keeping track of business expenses on a dedicated credit card is much easier than sorting thru debits on a personal current account.

[Yazza54]

No like 3-400 a month. But I continue to use the card which muddies the water hence wanting to split the debt from general expenses, work out a figure per month to pay and just set up a payment. I've sorted it now anyway, cheers.

[Ahbefive]

0% cards are great but get it paid off before the offer ends. Also remember that most have a 3% charge on balance transfers.

Used wisely and paid off quickly they can be very cheap forms of finance but mess it up and it can get expensive.

Edited by Ahbefive on Friday 11th November 12:15

[Yazza54]

Little update, I ended up getting a virgin money card which allowed me to do money transfer and balance transfer.

This meant that not only could I transfer my credit card balance to it, I could also transfer money from the credit card to my current account, allowing me to pay off the loan as you can't pay off a loan with a credit card. This process saved me about £500 in interest, and now it is all in once place, direct debit set up to pay it off in the 0% period. Can just forget about it now.

Also going to do this with my car, or a loan, I get a car allowance through work so ended up getting a car from FOW which I didn't really want to do but didn't have much choice at the time. Have just checked and the finance with black horse and it's at 11.8%!!! So I've just worked out I can either save about £25 a month, or pay the same amount and instantly chop the term down by 5 months. Obviously the latter makes more sense.

So all in all, well worth doing, I just wish I was up to speed with it at the time.