tesco credit card - whens best to make an additional payment

anna42hmr

Hi all

recently got the tesco credit card at 0% to ensure that it is cleared by the end of the deal, i am going to a set amount each month, £100. The first bill has come and the minimum payment is £25.

To ensure that i do not miss payments etc, i have the card set up on direct debit for the minimum payment. They are due to take the £25 on 5 August.

When would i be best to pay the £75 extra payment, as I dont want any extra payments to stop the direct debit?. But at the same time i want to make sure the extra payment is received before the next statement is produced

Do tesco stop direct debits if payments made before they take it as i know some cards can/do?

mirrorimage0

you can just set the payment up for £100 rather than trying to remember each month to pay the extra

oldagetraveller

I usually make the extra payment by debit card about a week before the due date. I just deduct the minimum due from the balance, pay that and they take the DD, set up for min. on the due date or the next working day.
I don't know how close to the due date you can get away with but in my case the week is always sufficient.

YorkshireBoy

anna42hmr wrote: »

When would i be best to pay the £75 extra payment, as I dont want any extra payments to stop the direct debit?.

Time the payment so it arrives in the period between the date which is two days before the DD collection date and the next statement date, which will give you a 7 day or so window. Be aware that the Tesco card 'may' accept FPs. To make it bulletproof, I'd send the payment on the DD collection date itself.

Do tesco stop direct debits if payments made before they take it as i know some cards can/do?

Someone reported recently creating a positive balance on their Tesco card because the DD was still called even though they'd paid the full balance off by other means towards the end of the 0% intro period.

DarnIt_3

I believe that as long as there is a balance higher than the DD then the DD will be taken irrespective of extra payments?

BeautyandtheBeast_3

the DD will take regardless of any additional payments. The best time to make the £75 extra would be the day after the statement is produced as this reduces the overall interest amount on that month.

YorkshireBoy

BeautyandtheBeast wrote: »

...this reduces the overall interest amount on that month.

In general, yes, but OP is currently enjoying 0% on purchases.

noh

BeautyandtheBeast wrote: »

the DD will take regardless of any additional payments. The best time to make the £75 extra would be the day after the statement is produced as this reduces the overall interest amount on that month.

As the OP has a 0% introductory rate there is no best time to make the additional payment.
In fact the best thing to do would be to pay the extra payments into a savings account and then pay the contents of that account to the CC just before the 0% offer expires.
That way the OP will earn interest on the additional payments.

anna42hmr

thanks all for the fast replies and suggestions, i really appreciate it

BeautyandtheBeast_3

noh wrote: »

As the OP has a 0% introductory rate there is no best time to make the additional payment.
In fact the best thing to do would be to pay the extra payments into a savings account and then pay the contents of that account to the CC just before the 0% offer expires.
That way the OP will earn interest on the additional payments.

thats a better idea!