Credit card minimum monthly repayment hunt

dc

Hello card Jugglers,

If you have a number of cards in use, 0%, low% LOB, and spend card. Minimum repayments can matter for the not so well off.

With largeish amounts involved, an extra 1% can be a bit of a millstone, as I have found to my cost in not reading the fine print. 1% extra means an extra £50 a month on £5k

And why do they punish the less well off?

The better cards have Min of 2% or £5 whichever is the greater,include

Barclaycard Gold, Plat, Black.
Co-op
Egg
Halifax.
Lloyds TSB
Marbles
RBS Plat

I suppose the best is the MBNA group £5 min for 0% period then 2.25% thereafter.
Natwest is 2.25%
Mint is 2.25%

Barclaycard Classic 2.5%

Amex and BA 3%
Barclaycard Prem, Initial, Choice, Student, 3%
Capital One 3%
Citi 3%
HSBC 3%
Sainsbury 3%
Tesco 3%

grumbler

dc wrote:

...they punish the less well off...

Why do you think so? In fact small minimum payments are good only for stoozers using 0% introductory offers. For all others small minimum payments are very bad:

Danger! Avoid Minimum Repayments - Martin's article.

YorkshireBoy

dc wrote:

I suppose the best is the MBNA group £5 min for 0% period then 2.25% thereafter.

It can actually be a good bit less than 2.25% after the introductory period as well (especially if it's a relatively new balance and PPI has not been taken out) due to the "lesser of" minimum payment calculation.

dc

grumbler wrote:

Why do you think so? In fact small minimum payments are good only for stoozers using 0% introductory offers. For all others small minimum payments are very bad:

Danger! Avoid Minimum Repayments - Martin's article.

Dont disagee, Grumbles, but beggers can't be choosers. Lots of folks run multiple cards.
E.g. 0%, a low LOB, and a spend card that is paid off in full, at the end of the 0% period one has to look around for a suitable transfer card. I believe the minimun payment is important in that choice.

The remark slightly off main topic, you object to is very true and was aimed at people like Barclays who always charge higher interest rates for the less well off, as well as higher min. payments. (1% extra min for students, 2% to 10% extra APR compared to Gold/Plat cards)

Debt is a way of life, ask a student, even those folks who have "never borrowed" and only use Debit cards will ironically have a mortgage.

GE live off the poorer, by disgustingly charge around 29% APR on their cards, because of their Store Card background.