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Help on 0%purchase credit card

Former MemberFormer Member Posts: 1,876,324 The Mix Honorary Guru
I have 2 student overdrafts that are now being charged interested because i graduated 3 years ago. I want to pay off both balances by opening up a credit card with 0% purchases for 10months. My question is, does paying off money on an overdraft/putting money into a bank account count as a purchase?

Comments

  • Former MemberFormer Member Posts: 1,876,324 The Mix Honorary Guru
    No - that would be classed as a balance transfer.

    If you can get a preferential rate for balance transfers, you're rocking.
  • Former MemberFormer Member Posts: 1,876,324 The Mix Honorary Guru
    g_angel wrote: »
    No - that would be classed as a balance transfer.

    If you can get a preferential rate for balance transfers, you're rocking.

    Well according to my bank it's not because you can't transfer a balance from a bank account, only a credit card. what if i was to make payments from my credit card into the accounts with the overdraft?
  • Former MemberFormer Member Posts: 1,876,324 The Mix Honorary Guru
    lipsy wrote: »
    Well according to my bank it's not because you can't transfer a balance from a bank account, only a credit card. what if i was to make payments from my credit card into the accounts with the overdraft?

    Really? Ok. Regardless, if you are to transfer money into your current account, that would be seen as a cash advance, and again, not a purchase.

    I don't think you will be able to do what you want.
  • Former MemberFormer Member Posts: 1,876,324 The Mix Honorary Guru
    g_angel wrote: »
    Really? Ok. Regardless, if you are to transfer money into your current account, that would be seen as a cash advance, and again, not a purchase.

    I don't think you will be able to do what you want.

    Yes, it's a cash advance which attract HUGE interest rates on most cards.

    You can pay off loans and overdrafts but only with a certain few cards - I think MBNA was one with an offer on a while ago.

    ETA: Info - http://www.moneysavingexpert.com/loans/cut-loan-overdraft-costs :)
  • Former MemberFormer Member Posts: 1,876,324 The Mix Honorary Guru
    im pretty sure that transferring a overdraft to a credit card is not something which is "generally" allowed. i believe its referred to as a Super Balance Transfer. Not usually included in the offers so check, some do it tho.

    Basically its to stop you opening a 0% card, caning all the money in a high intrest account, paying off the credit card when the 0% is ending and then you keeping the profit...
  • Former MemberFormer Member Posts: 1,876,324 The Mix Honorary Guru
    im pretty sure that transferring a overdraft to a credit card is not something which is "generally" allowed. i believe its referred to as a Super Balance Transfer. Not usually included in the offers so check, some do it tho.

    Basically its to stop you opening a 0% card, caning all the money in a high intrest account, paying off the credit card when the 0% is ending and then you keeping the profit...

    Isn't the latter known as "stoozing"? http://www.moneysavingexpert.com/cards/stooze-cash-credit-cards
  • Former MemberFormer Member Posts: 1,876,324 The Mix Honorary Guru
    Yes, it's a cash advance which attract HUGE interest rates on most cards.

    You can pay off loans and overdrafts but only with a certain few cards - I think MBNA was one with an offer on a while ago.

    ETA: Info - http://www.moneysavingexpert.com/loans/cut-loan-overdraft-costs :)

    You're right mbna do a cash transfer 0%! thankyou! i just applied for a diferent credit card before i saw this though so i hope i can cancel it before it goes through or it mgiht affect my chances of the mbna one? i have a good credit rating.
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