Marks and Spencer Credit Card

roadtorecovery

Just applied and got accepted for the Marks and Spencer Credit card via moneysavingexpert website. Balance transfer 0% for 15 months with no transfer fee and 0% on purchases for 19 months.

I received the £5 M&S Bouns Points but no mention of the £30 voucher to spend in Marks and Spencer Food (although recollection that purchases need to be made before end of March - would be grateful if someone could clarify as cant find this online - or if could give me link online)

My intention is to do a balance transfer on card from another credit card and some purchases. The balance transfer will be quite a bit more money that the purchases. Can you explain how the repayment would go in that one is 15 months and other 19 months. I should say I intend to pay the minimum payment until september and from then make bigger payments so that it is cleared by introductory period. Want to know should I be working to 15months away. Intending on carrying out these transactions before the end of March.

The card would be left idol in that would not intend on making anymore expenditure on car and gradually paying it off. What is the case if I ended up making a purchase in emergency what happens 0% introductory rate?

THE_DEMOCRAT

Hi roadto recovery. I'm in exactly the same position. Applied before Feb 28, got accepted and got my £5.00 M&S voucher, but no mention of £30 food voucher. How about it MSE?!!

With regards to your 'split' spending - purchases and spending - DON'T DO IT!

M&S will allocate against 1.cash advances 2. spending 3. balance transfer. Even if you paid in full your purchases of any one month, then you would still be in default unless you paid the minimum amount for the balance transfer as well. From my experience balance transfers and spending are a no-no on the same card. Hope this helps, but if you want to verify, 'phone M&S.

roadtorecovery

I was thinking that afterwards. Rather than spilt spending the best option for me would be to complete purchases on old credit card and then do a balance transfer to marks and spencer card and pay off on a monthly basis, minimum amount of course.

Yeah I would appreicate update on £30 voucher.


I am now reading to small print in my letter, I think will need to verify with M&S, they advise annual interest rate for balance transfer "effective rate 0%" "simple rate 0%" Introductory period "15months from the date of transfer when the transfer is within 90 days of account opening" - small print then states "we will charge a fee for balance transfer made when making this agreement of 2.9% (minimum £5) of the balance transferred"

jamesd

The payment allocation order is cash advances, purchases, balance transfer and your minimum and any other payments will be allocated in that order. Your minimum payment applies to everything and it is not true that you can default on the balance transfer part of the balance if you make a minimum payment and that's all allocated to the other two.

However, there's another rule that card companies have to apply even if it's not in their payment priority list: the balance with the highest interest rate has to be paid off first. As soon as your balance transfer deal ends after 15 months that balance will be the highest interest rate balance and M&S will have to apply your payment to that, not to the purchases that are still at 0% for a few more months.

So what will happen is that while both offers are active your payments will reduce the purchase balance first, leaving the balance transfer balance alone. Once the BT deal ends the payments will switch to the BT until either that is cleared or the purchase deal also ends. At that point the purchase balance will again be first.

Because your purchase deal on the M&S card is longer than the BT deal it makes no sense to do new spending on another card and BT from that card to M&S. Though of course if you have old spending it can make sense to BT that to save interest.

The introductory offer of no BT fee trumps the normal 2.9% fee in the agreement.

roadtorecovery

James

Thank you for that helpful information.

In order to keep on top of the terms and conditions and not get caught by the credit card company I was going to complete transactions on old card and then BT to M&S Card. I have a substanial balance on my current card and if the information I provided means is 0% BT, it will be the best option.

Many Thanls

THE_DEMOCRAT

Hi jamesd. Gosh! I thought I knew a bit about credit cards, having run 3 with the best part of a 25K credit limit for a number of years. I have always steered clear of spending and bf's on the same card as I thought I would immediately attract interest on the spending.

One point you make about the introductory offer. It's 0% for 15 months, but does - according to my reading of the T&Cs - attract a 2.9% fee for each transfer within 90 days of the card opening.

Best regards

Carnival789

I checked the Ts and Cs for this recently. It said the £30voucher will arrive by 30/4/15, so we still have a while to go.

And judging by what happened the last time they did this offer you can swap the word "by" for "on" !!

jamesd

THE_DEMOCRAT wrote: »

One point you make about the introductory offer. It's 0% for 15 months, but does - according to my reading of the T&Cs - attract a 2.9% fee for each transfer within 90 days of the card opening.

I simply believed what roadtorecovery wrote at the start of this discussion "Balance transfer 0% for 15 months with no transfer fee".

Their current site gives a card with 19 months 0% spending, 15 months 0% on balance transfers with 2.9% fee. But deals change and roadtorecovery might have a better deal than that.

roadtorecovery

Jamesd and The Democrat.

I got the deal 19 months 0% purchases and the 15 months 0% balance transfer with 2.9% fee. I spoke to M&S to clarify the position on 2.9% fee as was unclear from the letter received.

THE_DEMOCRAT

Hi carnival 789. Thanks very much for the £30 info. Unfortunately I have 11 pages of incredibly small font T&Cs and I just can't find a mention of the £30 anywhere. Could you tell me on what page it is or in what sub-heading. Thanks a lot.

Carnival789

No problem, ill take a look at the weekend and let you know.

Incidentally, i have just checked my emails and found the £30 voucher sitting there waiting for me! (it says its valid to 31/5/15).