We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Understanding interest rates...please help, i don't understand
claire4ricky
Posts: 46 Forumite
Quick question:
My barclaycard credit card has a balance transfer for 0.0% & some purchases on there at which i'm being charged interest at 1.313%
My Barclayloan is being charged at 13.9% interest.
Which is the higher interest rate?, is my Barclaycard credit card being charged interest per day and the Barclayloan interest (13.9) is that for the year?
when i looked i thought 1.313% is cheaper than 13.9% (duh) but is it charged differently.
(BTW i would try and get another credit card and do the 0% transfer thingy but I'm worried i won't be accepted (upped my overdraft about a month ago by £100 so that might go against me credit scoring etc) and when you get accepted for a credit card sometimes they only give you a £500 or £1000 balance which is not enough, so then you can't make the transfer in full.)
I'm looking to shift my purchases that I'm being charged for on the credit card to my barclayloan as they offered me a top up, so i need to work out which option would pay the less interest, credit card or loan.
I really don't get bank stuff sooooo confusing.
My barclaycard credit card has a balance transfer for 0.0% & some purchases on there at which i'm being charged interest at 1.313%
My Barclayloan is being charged at 13.9% interest.
Which is the higher interest rate?, is my Barclaycard credit card being charged interest per day and the Barclayloan interest (13.9) is that for the year?
when i looked i thought 1.313% is cheaper than 13.9% (duh) but is it charged differently.
(BTW i would try and get another credit card and do the 0% transfer thingy but I'm worried i won't be accepted (upped my overdraft about a month ago by £100 so that might go against me credit scoring etc) and when you get accepted for a credit card sometimes they only give you a £500 or £1000 balance which is not enough, so then you can't make the transfer in full.)
I'm looking to shift my purchases that I'm being charged for on the credit card to my barclayloan as they offered me a top up, so i need to work out which option would pay the less interest, credit card or loan.
I really don't get bank stuff sooooo confusing.
0
Comments
-
The card will be higher. 1.313% will be the monthly rate (but charged daily), so the APR is higher than 13.9%.0
-
Deleted_User wrote: »The card will be higher. 1.313% will be the monthly rate (but charged daily), so the APR is higher than 13.9%.
I see so the card could be about 15.756% per year, have i got that right?0 -
the credit card could be this
http://www.barclaycard.co.uk/business/documents/pdfs/gold_credit_card_summary_box.pdf
Yes the credit card is a monthly cost and the loan an annual cost. The loan is cheaper.0 -
Bit more - 16.95% (it's more than 12 x as you get a compounding effect).0
-
1.01313 X 1.01313 (a total of 12 TIMES) - 1 = 0.1695 = 16.95We need the earth for food, water, and shelter.
The earth needs us for nothing.
The earth does not belong to us.
We belong to the Earth0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.9K Banking & Borrowing
- 254.3K Reduce Debt & Boost Income
- 455.2K Spending & Discounts
- 246.9K Work, Benefits & Business
- 603.5K Mortgages, Homes & Bills
- 178.3K Life & Family
- 261K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards