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Virgin CC 0% Promo Query.
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Attackthebanks
Posts: 59 Forumite
in Credit cards
I currently have a balance on my Virgin CC at 0% till Jan 2014.
Just got a letter from them offering 0% on new balance transfers to Aug 2013 (with a 3.50% fee up from the usual 2.99%).
Also 0% on money transfers till Aug 2013, (usual 4% fee).
My question is this, how would the statement show the 0% balance I currently have till Jan 2014, if i was to add for talking sake another £1000 at the Aug 2013 promo 0% rate?
If I never paid of the £1000 by Aug 2013 would it just be the £1000 that would revert back to the full APR or would it include my current Jan 2014 balance too?
Just got a letter from them offering 0% on new balance transfers to Aug 2013 (with a 3.50% fee up from the usual 2.99%).
Also 0% on money transfers till Aug 2013, (usual 4% fee).
My question is this, how would the statement show the 0% balance I currently have till Jan 2014, if i was to add for talking sake another £1000 at the Aug 2013 promo 0% rate?
If I never paid of the £1000 by Aug 2013 would it just be the £1000 that would revert back to the full APR or would it include my current Jan 2014 balance too?
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Comments
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It would show the oldest debt first and that would be repaid first for any payments made and would revert to full apr charge the other promotion would still runs it course.0
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""Also 0% on money transfers till Aug 2013, (usual 4% fee).""
No fee on this, ?..........................0 -
Sandy_Beech wrote: »""Also 0% on money transfers till Aug 2013, (usual 4% fee).""
No fee on this, ?
Eh....yer 4% ie transfer £1000 to your current account pay 4% (£40) ,
so your balance would be £1040 at 0% for 12 months.0 -
Attackthebanks wrote: »Eh....yer 4% ie transfer £1000 to your current account pay 4% (£40) ,
so your balance would be £1040 at 0% for 12 months.
Apologies, reading too fast thought it said "usually", as about to contact Them my selves and get this offer! Sorry..............................0 -
Sandy_Beech wrote: »Apologies, reading too fast thought it said "usually", as about to contact Them my selves and get this offer! Sorry....
No apology needed, you had me scratching my head though lol.0 -
bengalknights wrote: »It would show the oldest debt first and that would be repaid first for any payments made and would revert to full apr charge the other promotion would still runs it course.
For all mbna cards, if there are multiple balances which are at 0%, any payments received are allocated to pay off the offer which STARTED first, which may not be the offer which ENDS soonest (although in this case it probably is).
http://uk.virginmoney.com/virgin/credit-cards-v3/popup/summary.jsp
This can make a huge difference:
Eg:
January - offer 0% til 31/12/12; £1000 spent
March - offer 0% til 30/9/12 - another £1000 spent.
Balance at 29/9/12 - £1950 (approx guess -exact amount doesn't matter)
On 29/9/12 you decide you want to pay off the £1000 which expires on 30/9/12, and make a payment.
mbna will apply the payment to the January offer which expires on 31/12/12, because that offer started first.
Balance at 1/10/12 - £950 which is now being charged interest at the standard rate, not at 0%
The solution in this situation is to wait until 1 day AFTER the offer expires before paying it off.
Certainly one to beware of, although in this specific case it's probably not an issue.We need the earth for food, water, and shelter.
The earth needs us for nothing.
The earth does not belong to us.
We belong to the Earth0 -
thenudeone wrote: »For all mbna cards, if there are multiple balances which are at 0%, any payments received are allocated to pay off the offer which STARTED first, which may not be the offer which ENDS soonest (although in this case it probably is).
http://uk.virginmoney.com/virgin/credit-cards-v3/popup/summary.jsp
This can make a huge difference:
Eg:
January - offer 0% til 31/12/12; £1000 spent
March - offer 0% til 30/9/12 - another £1000 spent.
Balance at 29/9/12 - £1950 (approx guess -exact amount doesn't matter)
On 29/9/12 you decide you want to pay off the £1000 which expires on 30/9/12, and make a payment.
mbna will apply the payment to the January offer which expires on 31/12/12, because that offer started first.
Balance at 1/10/12 - £950 which is now being charged interest at the standard rate, not at 0%
The solution in this situation is to wait until 1 day AFTER the offer expires before paying it off.
Certainly one to beware of, although in this specific case it's probably not an issue.
If you wait until 1 day AFTER the offer expires before paying it off, wont the £1000 payment still be applied to the Jan offer as it started first?
Or is it because the full apr would then be applicable on the March offer why it would be cleared first?0
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