Halifax One Card

gardfahl

Ok, I've just signed up for this after reading through the various good deals. My debt is my old student overdraft which is currently at £2,000. I intend to use the credit card for spending whilst my wages fill up my account. Do I need to repay any of the money i actually spend every month or do I get 12 months off? All this really confuses me! If so then I can spend nearly £3,000 a month if that's right? Meaning I can finally clear my overdraft and earn some money back then after 12 months use the money in my account to spend whatever I have spent on the credit card? Or do I have to still pay it off monthly? I have no other debts over then this overdraft which I am desperate to pay off! Your help would be very much appreciated:beer:

King_Of_Fools

You will have to pay the minimum payment each month which will be 2% of the current balance but the other 98% can build up each month over the first 12 months.

Do you know what your credit limit would be? This will limit the total amount you can buy with the card over the 12 months. If you spent £3000 per month on the card you would need a £36k credit limit which I seriously doubt you will get!

gardfahl

My limit was £2,800 I think, I presumed that was each month? If it's annually than that is awful!

So I have to pay 2% each month of what I spend which is ok, meaning my money can accumulate in my account ready to pay off the credit card debt. I wish I could understand these things better, financial things confuse the hell out of me!:o

Monkey_Tennis_3

The other thing you need to be aware of is that the 'interest free on purchases' period is 9 months after which the interest you'll pay on any credit card balance will be [FONT=Arial, Helvetica]13.9%, 16.9% or 19.9% depending on what you were offered.

So in summary you can spend up to £2800 over 9 months on the card as long as you pay the minimum payment each month which will be 2% of what you owe. However, if you can't then pay the full balance off in the 9th month the interest could quickly exceed the interest you've saved on your overdraft.
[/FONT]

King_Of_Fools

gardfahl wrote: »

My limit was £2,800 I think, I presumed that was each month? If it's annually than that is awful!

Yes, your credit limit is your total balance on the card at any time. A £2,800 limit is quite good if you have just graduated!

gardfahl

It said it was 12 months? But that makes it clearer to me anyhow. Basically I can spend the next 6 months or so having my wages accumulate in my account and then spend a bit, or use the CC card and then pay it all off and then close it down?

EDIT: Ahhh I see, so I can spend up to that, pay it off and then use it again! Ah I do like it when my brain clicks. SO... I can use that for say 3 months. Spend a little from my account if needs be, pay off the 2% or more each month. When I'm in the black again close the overdraft down on my account, get some money in there, pay the CC off and close that down?

King_Of_Fools

Monkey_Tennis wrote: »

The other thing you need to be aware of is that the 'interest free on purchases' period is 9 months after which the interest you'll pay on any credit card balance will be [FONT=Arial, Helvetica]13.9%, 16.9% or 19.9% depending on what you were offered.

So in summary you can spend up to £2800 over 9 months on the card as long as you pay the minimum payment each month which will be 2% of what you owe. However, if you can't then pay the full balance off in the 9th month the interest could quickly exceed the interest you've saved on your overdraft.
[/FONT]

I think gardfahl has got the special 12 month deal. So the above applies but for 12 months instead of 9.

King_Of_Fools

gardfahl wrote: »

It said it was 12 months? But that makes it clearer to me anyhow. Basically I can spend the next 6 months or so having my wages accumilate in my account and then spend a bit, or use the CC card and then pay it all off and then close it down?

You may as well leave the money on the card for as long as possible (even after you have cleared your overdraft) as you will be earning interest on the money you are putting aside to pay of the card after 12 months.

YorkshireBoy

King_Of_Fools wrote: »

I think gardfahl has got the special 12 month deal. So the above applies but for 12 months instead of 9.

But it only has 0% on purchases until Jan 2008 (which is what the OP is using it for).

King_Of_Fools

YorkshireBoy wrote: »

But it only has 0% on purchases until Jan 2008 (which is what the OP is using it for).

If it is this one:
http://www.halifax.co.uk/creditcards/one_12_months_td.asp?source=995083

Then it states, "[FONT=Arial, Helvetica]0% for 12 months on balance transfers [/FONT][FONT=Arial, Helvetica]and purchases[/FONT][FONT=Arial, Helvetica]."[/FONT]

YorkshireBoy

King_Of_Fools wrote: »

If it is this one:
http://www.halifax.co.uk/creditcards/one_12_months_td.asp?source=995083

Then it states, "[FONT=Arial, Helvetica]0% for 12 months on balance transfers [/FONT][FONT=Arial, Helvetica]and purchases[/FONT][FONT=Arial, Helvetica]."[/FONT]

Whoops! I thought that offer had ended a while ago.:o