0% on purchases for 6 months - what does this mean?

flosunflower

Hello there,

I recently signed up for a credit card with 0% on purchases for 6 months.

Now, after a month - do I have to pay off the full amount (£2000), or just the minimum repayment (£20) to avoid paying interest?

The way I interpret the articles, it seems like I should just pay the minimum repayments until the 6 months is up? Then I should clear the full balance as interest starts from then?

Hope someone can clarify this for me. Thanks!

oceanscape

Yep, that's right

You can pay the minimum payment each month then pay off the entire balance after 6 months, and won't pay any interest.

flosunflower

That's great! Thanks A LOT for your help.

Milarky

You only need to make minimum payments during the six months and will be charged no interest on the carried-over balance (aka 'slow stoozing')

The actual end-date could be at any point in the month (depending on how it is reckoned by the credit card provider) so you should ask them to confirm that date now so that you can work to it and pay off in time for this.

flosunflower

Thanks a lot for clearing this up for me. I wanted to make sure I was doing the right thing. I LOVE these forums; so helpful

Cat695

so you took out a CC and you don't even know what interest free is.....and people wonder why they end up in debt.....amazing