24 Oct 2015

A question about : Stoozing non-0% cards?

Apologies if this has been discussed and been shot out of the sky, this is just a sanity check to see if it's possible. I'm already playing my 0% cards to their full advantage, but I've got a reasonable limit on my old Halifax card and I'd like to game that one too if I can. Here's the idea:

Let's say my Halifax 9.9% Visa is at Ј0, my Virgin SBT is at -Ј10,000, my current account is at Ј0, and my stooze savings are at Ј10,000.

At the start of the 56-day interest free period, I transfer the Virgin debt to Halifax Visa:
Halifax = -Ј10,000, Virgin = Ј0, current account = Ј0, savings = Ј10,000

Then I use my SBT to pay off my current account debts:
Halifax = -Ј10,000, Virgin = -Ј10,000, current account = Ј10,000, savings = Ј10,000

Then into my savings:
Current account = Ј0, savings = Ј20,000

53-ish days later, I pay off the Halifax card from the savings, which brings me back to where I started, and a few days after that start again with the next interest free period.

My SBTs are currently fee-free, and I haven't worked out if it'd be worth it when they're not, but while they are it could be worth it. Also, my current account is also with Halifax and I don't know it this sort of thing would draw any attention. But interest-free periods don't have an expiry date, so in theory you could carry on doing it forever.

Any comments?

Best answers:

  • Depends if Virgin notice you SBT'ing many times to the same place.
  • You wont get an interest free period on standard BTs with Halifax (or any other card as far as I know)
    From T&Cs: "We will always charge you interest on cash advances from the date of the transaction and for cheques, balance transfers and all other amounts from the date we first charge the amount to your account."
  • I have many cards, and I've never seen one that offers an interest-free period on BTs. This is always specifically reserved for purchases only: not BTs, not cash advances, not any other kind of transaction. For all the other types, interest is charged from the day the transation is posted to the account.
    End of scheme, I'm afraid!
  • Thought there had to be a reason why everyone wasn't doing it already!
    Ah well... thanks everyone.
  • Only card I know this still works with is cahoot...
    Curiously, about two years ago, Halifax themselves brought out a 'Clear Flat Rate' card [I can't recall the precise name - it was like that] which made a point of treating all transactions alike. There was a 59 day interest-free period, which applied to BTs as well as purchases AND they even gave you fee-free cheques to use, allowing you to write yourself a cheque for your credit limit and pay it back every two months from your bank account [by direct debit].
    [Needless to say, they don't seem to be offering it any longer!]
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