How best to make CC payments

southoftheriver

My car insurance is due next month, and i've managed to barter the price down significantly by using price comparison sites. I initially wanted to pay monthly (usually pay upfront) so I could budget a bit better (have just taken a pay cut), but the difference was so significant that I have been put off that idea.

So i've now applied for (and been accepted for) a 0% credit card with my bank. It stays 0% for more than a year. My plan is to pay for my car insurance on CC and then make payments over the course of 5/6 months so that it is paid off in full.

What i'm confused about is how one goes about doing this. Is it just a standing order or do I set up DD's? Obviously I don't want to pay off the full amount otherwise I could have done that myself at the time.

Thanks in advance for any advice

[Deleted User]

You can do either. Split it into 6 and set up a standing order for that amount.

Or set up a DD for the minimum amount and then clear it wth a manual payment.

Or just make manual payments.

Essentially, a standing order is something you control, a DD is managed by the card company.

grumbler

southoftheriver wrote: »

So i've now applied for (and been accepted for) a 0% credit card with my bank. It stays 0% for more than a year.

0% on what? Purchases?

My plan is to pay for my car insurance on CC and then make payments over the course of 5/6 months so that it is paid off in full.

Pay to a saving account instead. Then clear the balance at the end of the year.

What i'm confused about is how one goes about doing this. Is it just a standing order or do I set up DD's?

DD is simpler, but it's usually either a minimum or a full payment. Set it for the minimum payment and make extra payments either by SO or manually if you wish.

southoftheriver

grumbler wrote: »

0% on what? Purchases?
Pay to a saving account instead. Then clear the balance at the end of the year.

DD is simpler, but it's usually either a minimum or a full payment. Set it for the minimum payment and make extra payments either by SO or manually if you wish.

Yes 0% on purchases. Sorry for not clarifying. I was sort of aware that DDs were either minium or everything. This probably seems pretty obvious to everyone else but my only other credit card was a student one which I always paid off in full.

My permanent contract comes to an end this summer and work may be less routine so will probably pay things when I have them rather than leaving it in savings, but if I get a confirmed permanent job then i'll consider that option.

*Before people flame me, I have a buffer of savings and can find work fairly easily if I need to, but will hold out for a regular income rather than contractual work*