Balance transfer supposed to be 0% but they are charging me

Killerseven

So do all the people who do balance transfers 0% for a year still pay every month like £20? I don't think so

[Deleted User]

Stoozing refers to maintaining a debt at 0%, so that you invest the money owed elsewhere.

A credit card will still require minimum payment. The point of stoozing is that you only need to make very small payments and not pay interest on the debt.

Whether you are stoozing or not, doesn't change the terms of the card agreement.

[Deleted User]

Killerseven wrote: »

So do all the people who do balance transfers 0% for a year still pay every month like £20? I don't think so

They still make minimum payments. I know so.

Killerseven

Deleted_User wrote: »

They still make minimum payments. I know so.

Either it is 0% or not, mine said 0% for the year, so what are these payments for?

[Deleted User]

It is the minimum payment on the card.
The 0% is the interest.
You do not pay interest for a year.
But you must make the minimum payment.

Why not have a read of your card agreement? It's all in there.

FormulaDriven

Just to expand the previous poster's answer, the minimum payment is a payment off the balance.

It is not a charge, it is not interest: if the balance was £1000 at the start of the month and you make the min payment of £20 say, then the balance will be £980 at the end of the month. You owe them less, and haven't lost a penny to interest or charges.

msallen

Killerseven wrote: »

So do all the people who do balance transfers 0% for a year still pay every month like £20? I don't think so

Oh dear - so utterly convinced you're right, but so utterly wrong

Caz3121

On a regular credit card you have a balance which has interest added to it each month and each payment you make (unless you pay in full) will pay interest+some off balance
As your card is interest free, there is no interest added each month so each payment comes straight off the balance
As you have not made any payments you will not have late payment fees plus you will most likely have lost the 0% as you have breached the terms of your agreement which it seems you failed to read
If they have withdrawn the 0% you will now be incurring interest as well as having missed/late payment markers on your credit file
Not reading the T&Cs or understanding how credit cards work may well have damaged your credit file as this will show that you have not been making required payments

SeduLOUs

Whoops! Balance transfers are not 'buy now, pay later'.

I can totally understand why this might confuse people, but unfortunately there's no way of getting out of the consequences as it's simple user error and failure to understand basic terms.

If you beg Santander for forgiveness for your mistake, they 'might' reverse some of the charges and reinstate your 0% period, but I wouldn't hold your breath.

It's probably time to look for another BT card ASAP to move this lot to in order to minimise your losses, and set up a DD for the minimum payment this time!

Candyapple

Killerseven wrote: »

I did a balance transfer on Santander cc it was a year no interest until 2016. It cost about sixty quid one off charge which I paid.

Now I'm getting letters you are falling behind with payments, £20 month, we phoned up to clarify it should be nothing to pay for 12 months, but they say no you still have to pay £20 minimum every month,

What can w do please?

Did you do a balance transfer to your Santander credit card? Or did you do a do balance transfer off your Santander credit card to another card?

Basically, who charged you the fee, Santander or another card company?

What is the minimum monthly repayment % as written in your card T&C's? Most card companies charge between 1% - 2.5%.

Whatever that amount is, if the balance is less than £5, most companies will charge £5.

So say you transferred £1000, your minimum monthly repayment as an example at 2.5% would be £25 you would have to pay monthly.

If you have fallen behind with your payments, chances are that the company you have the 0% deal with, have pulled your offer, as part of their terms usually involves you maintaining the monthly minimum repayments.

You should call up the company with whom you have the 0% deal with and ask them if they have withdrawn the offer from your account, if they have, ask them to politely reinstate it as you didn't understand the terms, they may say yes, they may say no. In which case if they say no, you'll need to find another card to use with a 0% deal and this time don't forget to set up your direct debit for the minimum monthly repayment so as to never find yourself in this situation again.