Unoffical Existing Customer Balance Transfers

blitzboy

Rugbyjohn wrote: »

The only part of the balance we didn't pay off was the 0% balance transfer as surely that's the point of doing the transfer. Don't see why you should be charged interest on new purchases if you are still paying them off in full when statement issued.

If you don't agree with it then why did you sign/tick the box that says 'I agree to the terms and conditions'?

This is standard practice with all credit cards. You get up to 56 days interest free as a reward for paying IN FULL each month. If you are not paying in full then you dont get it. The rest of the balance might be 0% interest for you, but for the cc company you still have some of their money so why should they reward you by not charging you interest on further borrowing?

sfax

Not only is it clearly stated in Tesco's Credit Agrrement which you have to read and sign (I have the Tesco BT card and have read and signed the exact credit same credit agreement), it is stated right at the top:

HOW MUCH DO YOU CHARGE ME?


1.1 Interest
If you just make purchases, don't have any arrears on your account and pay the full balance on your last statement on time, we don't charge you interest. Otherwise, interest is calculated from the date the transaction is added to your account (including fees) until the full balance has been paid off.

MSE's guide on this is misleading though IMO, because they state

Avoid spending on balance transfer cards

Credit cards allow us to do a number of different things such as spend, shift balances or withdraw cash. In 2011, the rules on where your credit card repayments are allocated changed.

Banks must now put any repayments towards the most expensive debts first. This means that spending on a balance transfer card isn't as bad as it used to be, but can still cost you if you're not careful.

Spend on a 0% balance transfer card and any repayments will go towards the spending first. To avoid interest you'll have to repay the full amount spent each month. This could get complicated, so if you need to make new purchases it'd be best to get a separate 0% Spending Card.

http://www.moneysavingexpert.com/cards/balance-transfer-credit-cards

This is clearly wrong in the case of Tesco as paying only the full amount spent will not mean you avoid paying interest.

The golden rule remains: Don't spend on BT credit cards.

simontennis

Not sure if this is news or not to other members of the Forum but just phoned Barclaycard Visa saying I wanted to close my account due to their outrageous 17% interest charges and immediately they offer me 9.9% on my existing balance for 2 years. Obviously this is a MUCH better rate than before but not sure how happy I should be. Also they said I could have 6.9% on new balance transfers with 3% transfer fee but it looks like other people are not been charged a fee?

MrGreen

simontennis wrote: »

I could have 6.9% on new balance transfers with 3% transfer fee but it looks like other people are not been charged a fee?

I've got an existing Barclaycard and it's got the 6.9% for life of the balance and this does have a fee for the transfer.

Smashbutt

Hi all

Has anybody have a Nationwide Credit Card, cleared the balance and then been offered another 0% balance transfer? Similar to what MBNA do?

I'm just debating whether to keep or ditch.

Thank you

Steve

sfax

Smashbutt wrote: »

Hi all

Has anybody have a Nationwide Credit Card, cleared the balance and then been offered another 0% balance transfer? Similar to what MBNA do?

I'm just debating whether to keep or ditch.

Thank you

Steve

I cleared my Nationwide balance, called asking them for a new BT deal, they said wait, I waited 2 months, called again, still no BT offer, threatened to close, still no BT offer, so closed. It's then 12 months before you can get a new customer deal with them. Got 2 new 0% deals with Tesco and BOS instead.

Smashbutt

Looks like I'll be closing then.....
Thank you!!

thenudeone

Smashbutt wrote: »

Has anybody have a Nationwide Credit Card, cleared the balance and then been offered another 0% balance transfer? Similar to what MBNA do?

Nationwide rarely (if ever) make repeat 0% offers).

Even if you close the account, wait years, then re-apply, they won't allow you to have another 0% offer even on a new card (or so I was told).

sfax

thenudeone wrote: »

Nationwide rarely (if ever) make repeat 0% offers).

Even if you close the account, wait years, then re-apply, they won't allow you to have another 0% offer even on a new card (or so I was told).

I was told 12 months by someone at Nationwide but who knows for sure. I may apply again after 12 months to test the water

blitzboy

sfax wrote: »

I was told 12 months by someone at Nationwide but who knows for sure. I may apply again after 12 months to test the water

They have been known to treat you as a 'returning customer' rather than a new one so you dont get the new customer deals, even after 12 months.

At least according to some on here, not experienced it myself.