Balance transfer and purchase

[Sunshineishere]

Evening,

I have a balance transfer card which has 12 months left at 0%. The balance is £1300 and I was paying this at £110per month, so it was clear before the 0% period ran out.

I begrudgingly had to use the card for an Emergancy purchase of £1800, which I am now being charged interest on. This mean my monthly payment isn’t reducing the balance transfer balance as I’ve set out to do.

i may be eligible for another 0% balance transfer card. But do i just apply and transfer over the £1800 purchase amount that i am being charged interest on, if this works? Or do i try and apply for a card to cover the full balance of £3100?

thank you!

Transfer the full 3100 over as you pay off the lowest interest rate first.

Apply for another 0% deal and transfer it all, you’ll get a longer deal on it so you may as well transfer the lot.

No you don't, you pay off the highest interest rate first. It's been the law for it to work that way for years.

However, the 0% offer will only have applied for a certain period (eg purchases or balance transfers made within 90 days of account opening) so this is what the OP has fallen foul of. Therefore she's being charged interest on her £1800 and that's what her payments are being applied against. Currently she's paying off the £1800 and being charged 20% interest on whatever's left and 0% on the remaining part of the £1300 balance transfer.

To answer the OPs question, yes, apply for a second 0% card. But first do an eligibility check and ask for a limit of £10k (unused credit looks good on your credit file, it proves you understand it's not free spending money). You should get an indication of whether this is possible. If so, apply and transfer the whole balance.

If not, apply for whatever you can get accepted for and transfer at least £1800. Then you'll have your £1800 interest free as well as your existing £1300. Set up standing orders to pay off the current minimum payments or more if you can afford it then you'll pay the amounts off in the interest free period and also remove the minimum payments marker off your credit file that will remain if you allow the lender to take the minimum by DD. But if you can't pay off the whole amount, pay off as much as you can then just get another balance transfer when the offer runs out.

Transfer the bit you're being charged interest on op.