Switch credit card company for free interest rate or get a loan

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ZeroCool

Registered User
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I currently have an MBNA Gold card and there is €2700 on it also have an overdraft for 500. I was thinking of getting a BOI credit card interest free for 6 mts, I'll have to pay 184.86 on the balance transfer over 12 mts. Ive been with BOI for years I got my car loan with them. What should I do? Get Credit card or get loan.
 
Obviously interest free for 6 months will be cheaper than > 0% for the same period. You need to check the comparative rates that apply thereafter (i.e. the normal rate on the 0% introductory offer card versus the normal rate on your existing card). But how are you planning to clear these debts since using credit cards for medium/long term borrowing is a really bad/expensive idea.
 
Hi Clubman thanks for the reply!!
No this is not going to be long term, but my plan would be to get it down to a more manageable amount before the 6 months are up lets say €1,000.
BOI
0% Fixed APR for first 6 months on purchases or
6.9% APR Balance transfer rate for 12 months as part of the payment plan
Unique Payment plan rate of 6.9% Variable APR for 12 months
15.9% Variable APR on purchases
No annual account fee

Currently MBNA
  • 14.9% APR
/?????????
 
Why not transfer to Ulster or First Active or Halifax or even Tesco?
First Active and Ulster Bank both offer 9 months interest free credit on balance transfers and purchases for new credit card customers.
Halifax offer 0% on balance transfers and purchases for six months.
Tesco offer 6 months interest free on balance transfers only. All these would surely be better than the 6.9% over 12 months that BOI are offering ?
 
See the Financial Best Buys forum for more details of such CC offers. Be careful of getting lulled into a false sense of security with such 0% offers and then racking up even more debt. If you are habitually finding that you cannot clear your CC bill then you need to address the underlying budgeting/spending patterns that lead to this situation and/or get rid of the card(s).
 
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