credit card cash

A question about : credit card cash

sorry if this seems stupid but..........

is it worth taking out a credit card with 0% and put all off the cash into a savings account then just paying back the minimum each month from my current account? also if i do this how do i transfer the money into the savings account because isnt there different rates for cash withdrawals??? please help!!!!!!!!!!!

Best answers:

• Yes, DO NOT do a cash withdrawal.
  These types of transaction are often exempt from the 0% rate.
  Your credit rating will take a knock too. Drawing cash on credit cards in the UK gives your account behaviour score a severe beating. Drawing cash on credit cards is viewed as desperation by the credit card companies & gives them the view that you have no other means of getting your hands on cash.
• As far as I am aware there is no way for a credit card company to share this information with other lenders. They may view it as bad behaviour but they cannot report it to credit reference agencies as such.
• Martin also posted a warning about how interest is calculated by some companies on cash advances (Capital One but possibly others). Essentially you cannot escape interest unless you overpay or stop spending on the card - even if you clear the balance in full you will still owe further interest.
• That's because many now charge interest on interest, so it takes several months to clear. ( basically until your interst charge is below 0.5p cos then they can't round up ). But some are going to bring in minimum interst charges of 50p, which means you'll never pay it off unless you overpay.
• Tayus, the moral of this story is to never make cash advances on your credit card, unless in real emergencies!
  If you haven't already got an Egg card, I would apply for one if you think your credit score is good enough.
  I cannot recommend Egg enough. Their website is extremely useful because they allow you to do Super Balance Transfers direct to your current account - no questions asked. This negates the need to pay cash advance charges and a bad mark on your credit rating so long as you can cope with waiting a few days for the cash to arrive in your current account.
• Martin's appearance about Capital One on Money Box was this one:
  https://news.bbc.co.uk/1/hi/programme...ox/3880673.stm
  his exact quote was "Never, ever, ever, ever, withdraw
  cash on your credit card and if it's a Capital One add an extra never."
• i applied for an egg card last night, when i get i'm going to transfer it all into my egg savings account is this a wise move???
• ok so i'll transfer the balance to my current account (which is Natwest) then use the "make a one off payment" option to tranfer the money back into my savings account. I'm sure someone mentioned that i could transfer straight from my credit card to my savings?