0% Interest on Purchases - Only 56 Days?

britannia94

Hello everyone,

I'm buying a MacBook Pro for my course at uni (Graphic Design) and need a word of advice...

I was hoping that Apple would do a 0% finance for 12 months deal but they aren't planning to so that was Plan A out of the window!

The Apple genius suggested that I get a 0% credit card and pay it off with my student loan - which was a great idea, until I realised that most are 56 days interest free and then they start charging interest...

I'd be able to pay it off in 10 months, I'll be using my student loan as a pay off. I can definitely afford it along with my rent etc, I've prepared stuff to show banks whilst applying that I could afford to pay it off in this time.

Apple finance is 14.9%.

Any help would be much obliged.

YorkshireBoy

britannia94 wrote: »

The Apple genius suggested that I get a 0% credit card and pay it off with my student loan - which was a great idea, until I realised that most are 56 days interest free and then they start charging interest...

They do, yes. But...fortunately the interest RATE is 0%.

britannia94

That's what I was trying to get my head around. So even if it's 56 days thereafter it will be 0% until the 18 months, for example, runs out?

thenudeone

The normal rule with a credit card is that you always get no interest charges as long as you always pay the full statement balance by the due date, often 25 days after the statement date.
So if your statement date is the 31st of the month and you buy something on the 1st of the next month, you don't have to pay for it for 56 days from purchase.

The introductory or special 0% offers over-ride that rule. As long as you pay the minimum payment by the due date each month and keep to all other terms and conditions, purchases made in the specified time period will be interest free for the length specified.
For example, it may be 0% interest for 12 months on purchases made in the first 90 days.
In this example, you should stop using the card after 90 days as any subsequent purchases won't be interest free.

britannia94

Okay, so say I was to get a credit card with a £2,500 limit and a 0% purchase offer for 18 months...

I am a student, but have done my sums and can show the bank that I can pay it back in 3 chunks with the minimum payments per month in between. (These 3 chunks are my student grant and come in in Sept, Jan & April).

If I go to the bank and get this credit card given to me, buy the MacBook then pay the cost of the MacBook off by April 2015 then I would only have to pay that cost without interest?

MPH80

Yes ... But the key word is 'if'.

Most banks don't do human credit lending decisions any more ... Certainly not first stage.

chanz4

why not buy a second hand one,they fall in value so much as they are like sheep most people follow and buy one

gunsandbanjos

MPH80 wrote: »

Yes ... But the key word is 'if'.

Most banks don't do human credit lending decisions any more ... Certainly not first stage.

This.

They won't look at your evidence to repay, they will look at your income and check your credit history.

britannia94

Tried to apply for a TSB one online and said that I wasn't eligible, so tried Lloyds and they said okay. Didn't continue with it as I'd rather do it in branch, so off to the branch I go.

Thanks all. :T

thebritishbloke

britannia94 wrote: »

Tried to apply for a TSB one online and said that I wasn't eligible, so tried Lloyds and they said okay. Didn't continue with it as I'd rather do it in branch, so off to the branch I go.

Thanks all. :T

Just as a side note, if it said ok to you online and you cancelled the application, they're going to have to do another search on you when you go in-branch. I wouldn't hold out too much hoping that you're going to get a high enough credit limit either!

INT1

14% isn't too much interest on a Mac, I'd go through them (believe barclays are the lender).