Advice on 0% offers from MBNA

Backbiter

I had a letter last summer from MBNA offering 0% for 10 months on card purchases over £750. I took advantage and am aiming to clear a fairly large balance on this year's summer holiday by July (over 3k to go).
I've now had a letter offering 0% till December on card purchases over £250. This would enable me to pay for my car hire and spread the cost, so I'm tempted, but I'm sure there's a catch.
I know the rules about how repayments are applied - lowest rate first. But when the rates are identical, what's the deal? Can I just pay off the first amount by July and continue the second amount till December? Or will they clear the rate with the longer promotional rate first and then claim that the amount which should be 0% till January is inf act part of the original amount which will incur interest from July?

Anyone know? The letter doesn't say a word about this.

clio

It's the lowest rate that was applied on the account 1st that gets paid of then the next and the next etc..

YorkshireBoy

My MBNA T&C's (as amended by a notice of variation) say where you have two identical offers running simultaneously any payments made are applied to the offer expiring first.

Yours may be different though.

Backbiter

I hope that's right - that would suit me just fine. I'll ring up to check first.

YorkshireBoy

Backbiter wrote: »

I'll ring up to check first.

Very dangerous! The CSA is unlikely to know your specific T&C's, because customers' T&C's are updated at different times.

Far better to read your own T&C's (as amended?)...fairly sure it's section 2, possibly condition 2f.