Balance Transfer rules ???

crantinope

Just a quickie.

Hypothetically, If I have credit card A with £500 of 0% interest sat on it, and I make a purchase of £200 using it (meaning I have £700 on it), if I then balance transfer that £200 off CC A onto to CC B, then will it transfer the interest liable £200, or £200 of my £500 interest free balance.? (or does it depend on the card issuer)
I hope that makes sense.

Cheers...Nick

Tixy

A balance transfer is just treated the same as any other payment by card A. So it will pay off the debt that incurs the highest interest charge.

Usually you have to wait for the transaction to appear on your next statement for it to be allocated against the purchase (in your example), if the balance transfer was done before it had appeared on your statement it would likely pay off some of the older 0% debt.