Advice needed - credit card experts...

True_Blue_3

Hi. So last month I got what I thought was a really good deal credit card, so I could transfer over a 3.5k credit card bill over to, in view of paying it off within 6 months. Its a 0% balance credit card for 2 years, so I took this opportunity as in theory it would allow me to reduce the payments over an even longer period at no extra cost.

However, I still got billed a minimum payment of £89 this month, which seems almost as high as my last card with the same balance that I WAS paying interest on. Its a Barclaycard platinum. Now this might seem stupid of me, as I believe I am not paying interest, but is the minimum payment a set amount each month that the credit card lender says you must pay, regardless of interest or not? What determines this minimum amount?

YorkshireBoy

True_Blue wrote: »

What determines this minimum amount?

Your T&Cs! (as you've now gathered, they're all different)

Barclaycard is 2.25% of the statement balance (during a 0% promotion).

bengal-stripe

True_Blue wrote: »

However, I still got billed a minimum payment of £89

Are you sure it is £89 per month and not £79. Minimum repayment with Barclaycard is 2.25% of the outstanding balance.

Minimum Monthly repayment

2.25% or £5 per month (whichever is greater). If you only make the minimum payment each month it will take you longer and cost you more to clear your balance.

On a balance of 3.5k, that would be £78.75. Or is your current balance higher?

True_Blue_3

Well it was 3.5k but then obviously I had my balance transfer fee, bringing the overall bill to roughly 3,650 odd, so yeah that probably does make sense.

Thank you guys for your help