Tesco clubcard credit card - my first credit card, need advice

rob_the_villain

I've just received my first credit card (the standard tesco clubcard credit card) and need advice and answers on how to use it as their website left me baffled by the lingo:

I've had an expensive month and have a few bills I need to pay. My pay will easily cover all the costs but it's not until the 30th of each month. Also I'm going on holiday shortly and want to spend as little as possible. Just have a few questions.

1. I have a bill of £150, if I use my credit card to pay for this how much is the minimum cost to pay at the end of the month?

2. Am I right in saying the minimum cost needs to be paid by the last day of the month?

3. Can I just pay the minimum cost for the next few months?

4. Will that minimum cost eat away at the £150? I.e if I pay £25 for 2 months that will leave me with £100 left to pay - is this where the 0% for 15 months comes in?

Thanks, as you can tell I'm completely new to this!!

Tixy

Hi

During the 0% period your minimum payment will be the higher or 1% of your outstanding balance or a minimum minimum payment (which I think might be £25 but will be detailed in your terms). So if you just put £150 on it your minimum payment, its likely that your repayment will be £25.

You need to pay the minimum payment by the date given on your statement, your first statement will come around 1month after you have opened the account and you'll have 3weeks to make the payment. Look at your first statement and make sure you pay in plenty of time, don't leave it until the last date as it can take up to 5days from you paying to the money reaching your card account with tesco.

Yes you can just pay the minimum for the next few months.

Yes the payment you make (minimum or otherwise) will reduce your balance if you have a 0% purchase deal.

Ben8282

rob_the_villain wrote: »

I've just received my first credit card (the standard tesco clubcard credit card) and need advice and answers on how to use it as their website left me baffled by the lingo:

I've had an expensive month and have a few bills I need to pay. My pay will easily cover all the costs but it's not until the 30th of each month. Also I'm going on holiday shortly and want to spend as little as possible. Just have a few questions.

1. I have a bill of £150, if I use my credit card to pay for this how much is the minimum cost to pay at the end of the month?

2. Am I right in saying the minimum cost needs to be paid by the last day of the month?

3. Can I just pay the minimum cost for the next few months?

4. Will that minimum cost eat away at the £150? I.e if I pay £25 for 2 months that will leave me with £100 left to pay - is this where the 0% for 15 months comes in?

Thanks, as you can tell I'm completely new to this!!

1. £25. The clubcard website states the minimum payment will be the higher of 1% of balance plus any interest and charges, or £25. As you will not be paying interest or incurring charges (unless you take cash advances), the minimum payment will be £25 up to a balance of £250 then 1% of the total balance if over £250. If any interest or charges are for any reason incurred then these will be added to the 1%.

2. No. The payment due date will be shown on your statement. This will be a fixed number of days (21 I think with this card? - not sure) after the statement date. The date of your first statement is unpredictable; a month after the account was opened maybe? After that your statements will be issued on (approximately) the same date each month. If the statement date is inconvenient, some credit card companies will change it. There is nothing to pay until you receive a statement.

3. Yes

4. Yes (assuming you have a 15 month 0% offer for purchases).