tesco Clubcard Credit card - a little confused

M-Sta

Hi all,

my first post on here, but must say that i have used the site a lot in the last year to help me with my finances so a big thank you.

i am posting regarding the above credit card, i have seen that it is offering 12months 0% interest on purchases, and am thinking of buying a car and paying back on the card, having read the summary box i have come across the following

taken from Tesco Website (21/7/09 2245)
"Interest Free Period
Maximum 51 days for purchases if you pay your balance in full and on time, and have paid the previous month’s balance in full and on time.

There is no interest free period on cash advances or money transfers.

Interest free period on balance transfers only applies during the introductory period."

what does point one mean when it refers to a maximum of 51 days?
does that mean if i were to spend £1000 (for example) that i would have to pay off all of this amount within 51 days otherwise they will start charging the interest on it or does this apply after the initial 12month 0% period??

i hope that my question is clear - apologies if it is not, and also apologies if this has been posted and answered elsewhere

Many thanks in advance

Min

YorkshireBoy

The terms you have quoted relate to the period following the 0% intro period, ie they're standard terms.

During the intro period you only have to make the 3% minimum payments, or more if you want to...but I wouldn't, I'd save the other 70% over the year and give it them back at the end. The interest earned may go some way to covering the 2-3% fee that the dealer will charge you...and if he doesn't, then you didn't haggle enough!

M-Sta

Many thanks for your prompt response yorkshireboy, what you suggest sounds like a plan, the haggling will commence tomorrow morning now that i know i can put a large sum of money on the card and its not going to come and bite me back in 51 days!

Min

td_007

M-Sta wrote: »

now that i know i can put a large sum of money on the card and its not going to come and bite me back in 51 days!

In a sense ignore the 51 days but pay careful attention to the payment due date. If you set up a direct debit, the payment amount (set it up for minimum during the 0% period) will be taken approx 7 days before the actual payment due date.

M-Sta

td_007 thanks for your point well made, however im always careful to either pay whatever is due on dates, i will make sure to set up the direct debit for at least the minimum payment as soon as it goes through!

Thanks again

Min

YorkshireBoy

td_007 wrote: »

If you set up a direct debit, the payment amount (set it up for minimum during the 0% period) will be taken approx 7 days before the actual payment due date.

I've been running this card for a couple of months now and haven't noticed that to be the case? eg my details are...

Statement date.......Payment due date (by min pay direct debit)
22nd May..................11th June
22nd June..................12th July

I make that the full 51 days.

td_007

YorkshireBoy wrote: »

I've been running this card for a couple of months now and haven't noticed that to be the case? eg my details are...

Statement date.......Payment due date (by min pay direct debit)
22nd May..................11th June
22nd June..................12th July

I make that the full 51 days.

Interesting....in my case:

Statement date
3rd march.................23rd march (no direct setup at this point)
3rd april..................18th april (direct debit date)
3rd june...................18th june(direct debit date)



When no direct debit was in place, there was 20 days between the statement date and payment due date, but once the direct debit was setup it is 15 days between the statement date and the direct debit date i.e 5 days less on account dd.

YorkshireBoy

Think one of the old Tesco cards only had 46 days interest free (the old Clubcard maybe?) Seem to remember the old Bonus card had a slightly longer period?. Or maybe they simply changed your T&C's and you missed it in the notice of variation? You haven't got the new 12 month on purchases product have you?

Sorry for all the question marks.

td_007

No it is not the new 0% purchase one. I have had it from beginning of this year and t&c allow for 51 days. Because payment is via dd, I am not bothered about missing dates etc.

cash-magnet

At least with a DD set up for the minimum you'll be covered, but do make sure the funds are there to cover that DD each month or one missed/late payment could lose you the promotional period plus charges. Enjoy your new car and good luck with the haggling.