Virgin Money Minimum Payments

andyf1873

I intend to open a Virgin Money Credit Card offering 15 months 0% on balance transfers and use it for stoozing

However I need someone to clarify for me what exactly the monthly repayments will be

The Virgin Money website states:

If the balance shown on your statement is £25 or less, it will be the total amount of the statement balance;

I understand this perfectly fine (even though it wont apply to me as I'll obviously be transferring a lot more than £25)

or if the balance shown on your statement is more than £25, it will be whichever is the least of 3% of the statement balance or the total of any Payment Protection Cover charges, interest, handling fees and default charges plus £5, provided that it will always be at least £25.

This bit confuses me. Surely its not always just £25 as the use of the word "least" seems to suggest

Can someone clarify this for me please

Also what is my credit limit likely to be? I earn roughly £25k, am a homeowner and have an excellent. In my calculations I have used £10 is this unrealistic?

Cheers

nicnevitt

If your balance is less than £25 then you will pay the balance.

If your balance is greater than this then your payment will be:
1. £5 + fees + interest + ppc
or
2. 3% of your balance
whichever of these 2 is least.

If either of 1 or 2 is less than £25 then you will pay £25.

YorkshireBoy

Up to around £4K statemented balance, the first minimum payment will be calculated on "interest + BT fee + PPI + £5".

Over £4K statemented balance, and this first minimum payment changes to the other option of 3% of the balance.

Second and subsequent minimum payments (throughout the 15 month introductory period) will be £25.

Re the credit limit, no-one can answer that question...although Virgin (MBNA) are known to be one of the more generous providers.

King_Of_Fools

Yes it will be an ongoing £25 - it used to be only £5!

This is a unique feature of MBNA cards, other cards charge the greater of the amounts.

andyf1873

ok thats great

so basically I'll pay the BT fee + £5 in the first month and £25 a month for the remaining 14 months

One more thing, it says on Stoozing.com that the card offers SBT facilities allowing me to transfer directly to my bank account - can someone confirm this is the case please?

Regarding my possible credit limit, surely someone else with similar circumstances to myself has applied for this card, if so what credit limit did you get? Is £10K unrealistic?

YorkshireBoy

andyf1873 wrote: »

so basically I'll pay the BT fee + £5 in the first month...

If your statement balance is less than (approx) £4K, yes. Did you read my post #3?

One more thing, it says on Stoozing.com that the card offers SBT facilities allowing me to transfer directly to my bank account - can someone confirm this is the case please?

The information is accurate.

...surely someone else with similar circumstances to myself...

But all we know about you is that you earn roughly £25K, you're a home owner (outright or mortgaged?), and you have an excellent...(I'm guessing credit rating?). Credit scoring takes far more into account.

Is £10K unrealistic?

If you're asking for opinions, then yes, £10K would be very optimistic.

andyf1873

Thanks YorkshireBoy

I did read your post #3 but didn't really take it in at first - I understand it all perfectly now

I appreciate that everyones circumstances are different and that credit scornig takes many things into account but I can't believe there isn't an 'average' credit limit awarded to 'average' individuals

If you think £10k is too high then you must have a figure for a reasonable credit limit in mind......... £6k - £7k, is that about the average for this card?

I think a resource which detailed this for every credit card would be invaluable