What to do with my credit card 0% due to end?
Discussion
Hello all,
I have a 0% Cerdit card due to end in September, I owe 3K on it which I made use of on a property I bought. I don't know what is best whether to switch the amount over to another card and if so when does the 3K have to be paid on the new card/deal.
I do have another property which I can release some cash from to pay it, but would the rate on that mortgage make it not cost effective.
Or I could pay it off but would rather hold onto my capital if it makes sense to do so.
Any ideas on which was is best.
Never switched a card before with an amount left on it.
I have a 0% Cerdit card due to end in September, I owe 3K on it which I made use of on a property I bought. I don't know what is best whether to switch the amount over to another card and if so when does the 3K have to be paid on the new card/deal.
I do have another property which I can release some cash from to pay it, but would the rate on that mortgage make it not cost effective.
Or I could pay it off but would rather hold onto my capital if it makes sense to do so.
Any ideas on which was is best.
Never switched a card before with an amount left on it.
You'd be after what is known as a balance transfer and there are plenty of 0% deals about.
The deals vary in length and the balance transfer will involve a one off fee which again varies but the comparison sites make it fairly easy to find one which is most suitable.
http://www.moneysavingexpert.com/credit-cards/bala...
http://www.comparethemarket.com/credit-cards/balan...
http://www.moneysupermarket.com/credit-cards/balan...
http://www.moneysupermarket.com/credit-cards/low-f...
The deals vary in length and the balance transfer will involve a one off fee which again varies but the comparison sites make it fairly easy to find one which is most suitable.
http://www.moneysavingexpert.com/credit-cards/bala...
http://www.comparethemarket.com/credit-cards/balan...
http://www.moneysupermarket.com/credit-cards/balan...
http://www.moneysupermarket.com/credit-cards/low-f...
Sorry to thread hijack but similarly......
I have a loan that was taken out quite some time ago due to its size and at the time the interest rate was fixed at 5.9 which at the time was as good as it gets.
The balance is a little less than the credit available on a CC I have which has a 0% offer! and settling early would save about 2k in interest.
I have no problem paying it off within the term of the 0% offer! the question being! can you actually pay off a loan this way or is it looked at as a 'cash advance' which usually accrues different rates/charges?
TIA
I have a loan that was taken out quite some time ago due to its size and at the time the interest rate was fixed at 5.9 which at the time was as good as it gets.
The balance is a little less than the credit available on a CC I have which has a 0% offer! and settling early would save about 2k in interest.
I have no problem paying it off within the term of the 0% offer! the question being! can you actually pay off a loan this way or is it looked at as a 'cash advance' which usually accrues different rates/charges?
TIA
r1flyguy1 said:
Sorry to thread hijack but similarly......
I have a loan that was taken out quite some time ago due to its size and at the time the interest rate was fixed at 5.9 which at the time was as good as it gets.
The balance is a little less than the credit available on a CC I have which has a 0% offer! and settling early would save about 2k in interest.
I have no problem paying it off within the term of the 0% offer! the question being! can you actually pay off a loan this way or is it looked at as a 'cash advance' which usually accrues different rates/charges?
TIA
I'm pretty sure that you can't settle a loan with a credit card. Could you not put all of your normal expenditure (fuel, food, maintenence etc.) on the credit card and use the money saved to eventually settle the 5.9% loan early?I have a loan that was taken out quite some time ago due to its size and at the time the interest rate was fixed at 5.9 which at the time was as good as it gets.
The balance is a little less than the credit available on a CC I have which has a 0% offer! and settling early would save about 2k in interest.
I have no problem paying it off within the term of the 0% offer! the question being! can you actually pay off a loan this way or is it looked at as a 'cash advance' which usually accrues different rates/charges?
TIA
My CC's (I have two) are paid off every month without fail & haven't paid interest on either of them for as long as I can remember so don't really want to start loading them up to the point where I am unable to pay them off.
I suppose it's a toss up between the interest accrued that way against the saving by paying the loan off early.!!!
Truthfully not sure if I would be any better off.
I suppose it's a toss up between the interest accrued that way against the saving by paying the loan off early.!!!
Truthfully not sure if I would be any better off.
crazy about cars said:
Pay off as much as you can and then balance transfer to a another card. I have 2 cards which I balance transfer to-and fro. The charges differ but normally below 2%.
It's strange but somehow works out cheaper than any loans I can find.
Not that strange. Your loan rate will be determined by your credit rating. Your credit rating is influenced by your debts elsewhere ie credit cards etc. It's strange but somehow works out cheaper than any loans I can find.
Talk about a vicious circle.
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