Halifax 'One' Card

mrs.badcrumble

Hi,

I applied for the above and was instantly accepted. I had the paperwork arrive this morning but I don't undertand this part under 'Other financial information' ;

'3.1 The total chrge for credit is £100.90. Consisting of £100.90 interest. This is based on credit of £1500.0 being borrowed at the start of the agreement over one year at the standard interest rate for purchases and repaid in equal monthly payments beginning one month after the start of the agreement.'

Now, this is a 0% on BT and purchases for one year arrangement it sounds to me like they are gonna charge this £100.90 just for taking the card. I am confused.... it don't take much.. :rolleyes:


Any help is gratefully recieved.

ju

moneyuser

calm down dear, it's only an example

Due to a change in financial regs they have to provide the customer with an example of how much interest they would charge on a certain amount.

You will not get charged that amount for taking their card. They will however charge 2% to do a balance transfer.

I've got one as well

CTT_2

Halifax the bank that allows its managers to steal 7 million pounds stg and leave an iou in the safe. Would I trust my debts with an outfit like that? I dont think so!

Milarky

As a rough giude to working out what the underlying interest rate for a given amount of 'interest charge' must be, you'd take the amount of interest and multiply by:

(1/10) x (2/3) x (144/66) or 288/1980

'£100.90' then becomes '14.67%' - but assumes that the interest isn't being compounded. Typically this adds about '1%pa'. Is the 'standard rate of interest '15.9' therefore, by any chance?

bob_builder_2

CTT wrote:

Halifax the bank that allows its managers to steal 7 million pounds stg and leave an iou in the safe. Would I trust my debts with an outfit like that? I dont think so!

Actually, the man was an agent and not a manager and the money he stole was from people who had invested personally with him and not with the bank:

http://news.bbc.co.uk/1/hi/wales/south_west/4329590.stm