Originally Posted by
Wiz805
Haha fair one. Not a big one for huge debt, but having just booked Oz flights on BAPP Amex for £8k, I figure I can transfer say £5k to Lloyds, pay out £150 in 'fee', get 5 x 1500 = 7500 Avios for my £150, plus leave the £5k in my savings account for 6 months, thus making back some the £150 I paid in the first place.
Not a bad deal in the grand scheme.
So for your £150 fee you are getting 7500 Avios. That is 2p each, you can buy them direct from BA for less!
[This is totally ignoring the issue of interest rate. If you do intend to borrow on a credit card, which is generally a bad place to borrow, obviously that borrowing should be living on a card with the best (lowest) interest rate. I'm sure you could find a better card than this to park it on, and the money you would save you could then use to buy more Avios if you wanted!]
N.b. personally I put a 1p max value on an Avios point. And you should not be buying them for anything more than .7 max I'd say. [Possibly even less if you can't get that value out of them.]
EDITED TO ADD: Welcome to FT. Note there are probably better cards than the Tesco one to park borrowing on, but if you do apply for the tesco one, make sure you do a referral - both you and the person who refers you get 1000 Tesco points (=> 2400 Avios). Happy to refer you.
But if the object is to park some borrowing, do check the best card for it, you can save far more than the 'value' of the perks by doing so.