balance tranfer fee question??

alwaystryyourbest

hi I have been offered 0 % for 14 months on my Tesco credit card,
but it says I pay interest on the fee until I pay of all my credit card ..if I tranfered £3,000 over how much would I need to pay..2.9 % fee.and how much monthly will the interest on the fee cost me. .thanks for any help....

InsideInsurance

So you will pay an £87 fee.

Any payments you make will pay off towards that fee first as it will have the highest interest rate. If you pay it off in full month 1 there probably will be no interest to pay. If you minimum payment is below £87 then there would be interest to pay

alwaystryyourbest

InsideInsurance wrote: »

So you will pay an £87 fee.

Any payments you make will pay off towards that fee first as it will have the highest interest rate. If you pay it off in full month 1 there probably will be no interest to pay. If you minimum payment is below £87 then there would be interest to pay

Thanks for working out fee for me, so if I paid 100 pounds on my 1st month, I would'nt pay any more interest other than my fee??.. Because it sounded by my letter that I would still pay some kind of interest over the whole time I had my balance.

YorkshireBoy

I assume this is an existing customer offer?

It used to be the case with RBSG cards (whose systems the Tesco card used to run on before they broke away) that you could pay the fee off as soon as you saw it appear on your recent transactions list online and so avoid interest.

You need to check the allocation of payments section of your T&Cs to see if they apply payments to statemented transactions before unstatemented transactions. If they do, your plan might not work (if you have a balance on there now).

By the way, are you sure it isn't a 2.99% fee, as per the standard offer I'm aware of that's running at the moment?

At the end of the day though, unless they have a £1 minimum interest charge (do they?) the interest will be pennies a month...literally.