Borrowing on 0% credit card?

ClareJ7

I'll start by saying I have no idea about credit cards at all.
Im 21, working part time. I want to buy a macbook which costs £849.

Im cosidering taking out one of these 0% for 12 months credit cards, but im not sure what that really means.

Forgive me for being very optimistic, but does a 0% credit card mean I could put the £849 on there and not be charged anything? I would pay it off within 6 months.

bengal-stripe

If…….it’s a big if, with you being young, no previous cards and only part-time working (i.e. not a big income)………if you can get a CC with 0% on purchases, you can spend up to the limit on whatever you want to buy.

You will have to pay the minimum every month, but the CC will not charge any interest on the borrowed money. Once the 0% deal has come to an end and you haven’t paid the purchases off, you will be charged interest at the specified rate on the outstanding monies.

You will have to pay at least the minimum without fail, or the 0% deal is off.

Modmedia

I'm 20 a student with a part-time job and I have a Tesco Credit card 0% for 12 months with a £1700 limit, just for reference.

A Halifax Credit card with £1000 limit

Two Halifax Bank Accounts with £500 and £1250 limits respectively.

So if you're a student they seem to throw lots of money at you, my credit score on MYCREDITEXPERT was 999, though.

P.S. I'm not in debt but I do use these cards to build up a credit history and pay them off in full every month. Seems to work, I was quite proud of my 999 @ 20!

pinkarsenalprincess

That number means absolutely nothing at all! Good that you are paying off cards in full each month so aren't getting into the debt spiral, but 999 means sweet FA!

BugsyBrowne

Modmedia wrote: »

I'm 20 a student with a part-time job and I have a Tesco Credit card 0% for 12 months with a £1700 limit, just for reference.

A Halifax Credit card with £1000 limit

Two Halifax Bank Accounts with £500 and £1250 limits respectively.

So if you're a student they seem to throw lots of money at you, my credit score on MYCREDITEXPERT was 999, though.

P.S. I'm not in debt but I do use these cards to build up a credit history and pay them off in full every month. Seems to work, I was quite proud of my 999 @ 20!

Stop going on about your meaningless credit score mate,remember experian do not lend money so the banks do not care what score they give you.

Stop wasting your money.

Saucepot

ClareJ7 wrote: »

I'll start by saying I have no idea about credit cards at all.
Im 21, working part time. I want to buy a macbook which costs £849.

Im cosidering taking out one of these 0% for 12 months credit cards, but im not sure what that really means.

Forgive me for being very optimistic, but does a 0% credit card mean I could put the £849 on there and not be charged anything? I would pay it off within 6 months.

You need to make the minimum payments on the card to keep the 0% deal. Usually 2-3% of the balance every month. This is not interest, it comes off the balance you owe.

For ease 849/10 = £84.90.

If you get the credit card, use it to buy your toy, set up a direct debit for £84.90 a month, you will pay it off in ten months, leaving time to spare. Remember to change the DD after the last payment. If you want to pay it off in 6, do the maths.

There is little interest on savings these days so keeping your money, paying the minimum & then paying a lump sum before the 0% expires has little benefit.

If you cannot afford £84.90 a month then question whether you can afford to pay the balance off in a years time. Also, ask yourself whether your job is secure enough and this debt isn't going to saddle you.

ClareJ7

Saucepot wrote: »

You need to make the minimum payments on the card to keep the 0% deal. Usually 2-3% of the balance every month. This is not interest, it comes off the balance you owe.

For ease 849/10 = £84.90.

If you get the credit card, use it to buy your toy, set up a direct debit for £84.90 a month, you will pay it off in ten months, leaving time to spare. Remember to change the DD after the last payment. If you want to pay it off in 6, do the maths.

There is little interest on savings these days so keeping your money, paying the minimum & then paying a lump sum before the 0% expires has little benefit.

If you cannot afford £84.90 a month then question whether you can afford to pay the balance off in a years time. Also, ask yourself whether your job is secure enough and this debt isn't going to saddle you.

Thank you for the advice. I've decided to try and save at least £500 then maybe just put the remainder on a credit card. Its probably a bad idea for me to get nearly £1000 in debt at such a young age!

lisarojer

The "Take Borrowing Magic"

There is a conjuration using 0% APR Commendation Game that can pay you uncommitted borrowing. It doesn't always use, but this writer describes what you do.
0% APR Approval Correspondence Offers

Finance companies sometimes work first offers to lure you to change to them. They supply you 0% APR Achievement Game as a "departure mortal". That is, the preceding wage costs them money, but they do it because they wish to recuperate that value - and some many - from you in the incoming.

You can use specified 0% APR Commendation Record offers to deal you freeborn borrowing - but only if you cognise how the business militia plans to revert money from you, and you eliminate trustworthy they don't follow!

[Deleted User]

Congratulations. You win the "Most Gibberish Spam Award" 2010.

Reported.

diable

Also remember that Uni students can get a 14% on Mac computers you may need to find one to go to the store with you to flash their ID