Tesco charging interest?

baba74

Hi, First post, quick question.

I have a tesco credit card which I picked up in January. They where doing the 0% balance transfers (which I used) and 0% on purchases.

I have been paying off the outstanding balance on purchases in full every month and have been paying a bit extra to pay off the balance transfer.
Everything was going fine until the 0% on purchases term ended, now for the last 3 months they have been charging me interest, even though as I said above, i've been paying it off in full.

Is this correct? I rang them up and they said it was because I still owed money on the balance transfer!
If it is correct, then the only option is to stop buying anything on the credit card and just pay of the transfer?

Thanks

katejo

baba74 wrote: »

Hi, First post, quick question.

I have a tesco credit card which I picked up in January. They where doing the 0% balance transfers (which I used) and 0% on purchases.

I have been paying off the outstanding balance on purchases in full every month and have been paying a bit extra to pay off the balance transfer.
Everything was going fine until the 0% on purchases term ended, now for the last 3 months they have been charging me interest, even though as I said above, i've been paying it off in full.

Is this correct? I rang them up and they said it was because I still owed money on the balance transfer!
If it is correct, then the only option is to stop buying anything on the credit card and just pay of the transfer?

Thanks

I assume that the 0% on balance transfer finished at the same time as the 0% on purchases? If this is correct, then their reply also sounds correct.

baba74

No, the 0% on purchases finished but the 0% on balance transfers still has a year to run.

mjm3346

Interest from day one on purchases (if they are not on a zero %) if there is an outstanding balance on the card, even if it is a zero% balance transfer.

grumbler

baba74 wrote: »

....
I have been paying off the outstanding balance on purchases in full every month ...
Everything was going fine until the 0% on purchases term ended, now for the last 3 months they have been charging me interest, even though as I said above, i've been paying it off in full.

Is this correct?

Yes, it is correct. The only way to avoid paying interest on purchases is to pay the whole statement balance in full, not just purchases balance.

MSE wrote:

Don't spend on cheap balance transfer cards.

Balance Transfer Credit Cards

CLAPTON

just don't spend on a 0% BT card as the spending on the card is only interest free if the entire balance is paid in full each and every month... clearly something you don't want to do with the 0% BT element



just use another CC for spending and pay in full every month

baba74

Thanks for the replies, just wanted to make sure there wasn't a mistake.
So if I don't want to pay them anymore interest, just don't use the card anymore and just pay it off like a loan every month?

CLAPTON

baba74 wrote: »

Thanks for the replies, just wanted to make sure there wasn't a mistake.
So if I don't want to pay them anymore interest, just don't use the card anymore and just pay it off like a loan every month?

yes..............................

baba74

Sorry, you answered my question before I asked it!
Thanks everyone!

CLAPTON

baba74 wrote: »

Sorry, you answered my question before I asked it!
Thanks everyone!

just to add, you will probably pay a little trailing interest once you stop spending: this will be the interest between the statement date and the date you actually pay

prowla

I think the loan gets paid off before the subsequent purchases.