There have been a number of posts here around the theory of getting a balance transfer in excess of the amount owing on the card and putting the extra into the offset account for a few months or whatever.
We currently have 2 cc's, one of which is an ANZ Balance account. For the sake of this discussion we will say the balance owing on this card is $2000, with the other card, also having a $2000 balance.
Using the above theory, it seems one could change that Balance account to one of the cards participating in the current 0 % balance transfer promotion, and then do a balance transfer of $4000 to the other bank's card, leaving that account in credit to the amount of $2000, which could be withdrawn as cash and paid off the outstanding balance on the ANZ card. The idea would then be to get rid of the other bank's card altogether.
What I'm wanting to know, is have people genuinely done balance transfers in excess (by a reasonable amount) of the remaining balance on an existing card, and is it common for the bank to ask for evidence of the outstanding balance on the account prior to doing a balance transfer? Hubby is firmly convinced that ANZ will want proof of the balance of the other bank's card, but I'm not so sure, going by posts here. Can someone who has actually done it (or tried and been refused) please share the benefit of their experience?
Or are we better off applying for a zero per cent balance transfer with another bank? I just figure the switch between ANZ accounts has less impact on our credit rating than applying for another credit card does.
Yep I've done exactly what you described before. $20,000 balance transfer to a credit card that only had a few thousand owing on it. Transferred that money elsewhere to pay of another loan. Very low interest loan (assuming you pay it back in time).
No questions were asked at either end of the transfer.