Best Credit Card

Cork

I was thinking about an AIB on that I could use the tranaction online gizmo to get virtual credit card numbers or a MBNA Pigs back one. They are giving pigsback points that could be used to buy phonecards.

Which is better or safer to use on the net?

silent

http://www.boards.ie/vbulletin/showthread.php?s=&threadid=151330
+
www.askaboutmoney.com

personally love my amex blue for the 1% cashback, but then again I need a second card just in case someone does not accept it

spongebob

transactonline is the dogs unless you buy from Dell. Everyone else accepts them, great idea.

M

commuterised

I've been looking at this thread and also others like it and I am hoping someone with a good head for finances can give me some advice.

I have an MBNA visa card and I want to transfer the balance to and AIB card so I can get 6 months 0% rate.
I've narrowed it down to 2 cards..

AIB Low Interest MasterCard
and
AIB Gold MasterCard/VISA

The only thing that I don't understand is the way the interest is calculated.

AIB Low Interest MasterCard says:
12.9% APR on purchase transactions - the lowest credit card APR available in Ireland. Interest is charged on a daily basis from the date the transaction is debited to your account, similar to an overdraft but with the added convenience of worldwide acceptance.

AIB Gold MasterCard/VISA says:
Up to 56 days interest-free credit.
14.25% APR on purchase transactions
There is a minimum credit limit on this card which is no problem.


I currently have near to 5.5k in debts on this card that I need to clear hence why I'm balance transferring. It will take me over a year to clear this so I'm wondering which is the best one to go for.
The low interest card grabs my attention as it's only 12.9% but when they say it's charged on a daily basis that kinds confuses me.
I aim to charge as little as possible to this card in the next 12-18months, preferably nothing but life isn't always like that.

all advice grafefully considered and appreciated!
thanks

silverside

doesnt really matter, if all you want is the 6 months interest free. you shouldnt be making any purchases on your credit card - do them all by cheque/laser card) to avoid temptation.
if you were making purchases visa would be better bcoz of the interest free period.

But make sure you get a loan in 5 months time and pay it off that way rather than leaving it on a credit card.

dsab

Your best bet would be to call MBNA. They recently introduced a new Gold Card with an APR of 10.9 %.

If you are a good customer (with this amount of Debt you are), and ask them for the 10.9 % Interest Rate, they will give it to you.

I don`t have any money outstanding, but use the card a lot. I called them, and got the rate without any problems.

I have an AIB Card as well, and they are at the beginning not very generous with their Limits. I don`t think they would give you enough to clear your old card.

So, probably better stick with MBNA, and get the lower rate.

Xterminator

Persoanlly, i like my tesco visa creditcard.

The clubcard points mean i get 1% 'cashback' as tesco vouchers, even when i shop elsewhere!

Plus it has an oline fraud indemnification where if it is used fradulently on the internet i am not liable for a penny.

The interst rate is 2 points lower than BIO, I think its 16.9% at the mo.

Finally they have a fee phone no. to check your balance etc, rather than the lo-call no. provided by BOI.

X

Genghis

The main difference between these cards is in whether or not you will pay off your entire balance every month. If you can manage that, then the card with the higher rate will cost you nothing in interest, whereas the card with the lower rate will cost you interest from the time you buy stuff until the time you pay it off.

However, if you cannot pay off your card every month, then there is no interest free period whatsoever, and afaik, both rates will be applied in exactly the same way. Therefore the higher rate will cost you more.

So ... I may not be this this simple, but investigate:

If the 0% for 6 months applies to both types of card, then the one with the lower rate is better for you. This is because after 6 months if you still have a debt on the card (which in your case is likely), then you might as well have a lower rate of interest.

Of course, even 12.9% is a very high rate for what will effectively be a personal loan to you. Would you not consider getting a loan for the amount you need?

Whatever you do, you must stop using the card. I should know, I am a master at being trapped by credit cards. You can't escape!

commuterised

thanks for the advice,
I stopped using the card 2 months ago, and have been ploughing as much money as I can into it.

I took the advice of a poster above and I gave them a call.
They have reduced my interest rate for 6 months to 8.9%

This should allow my monthly payments to make more of a dent in the overall debt now that the interest payments will be lower.

shoegirl

The low interest Mastercard is only a good idea if you don't plan on paying off the entire amount. If this is the case then its much cheaper than a regular 56 day credit line. Since this seems to be your situation (and remember it will take sometime even to clear off the outstanding balance), you are probably better off staying with it until you are in a position to clear off your monthly balance.

Many of the banks are offering good deals at the moment, even the large retail banks are now offering deals, unfortunately they won't let you transfer an existing card, but nothing to stop you from transferring to another bank's card. The main thing is not to max back up beyond the original limit.

Tazz T

8.9 is a nice rate but I'm looking forward to the day when we can chop and change our credit cards for 0 per cent rates for 6 months every 6 months without having to pay the government levy -a bit like they do in the Uk.