Minimum Payments

mezzor

OK so I have a few CC's.

On a ASDA one I have I transferred £2000 around a year ago on a 0% for 24 months deal which is almost paid off, when I set it up, there was no minimum payment at all the same as a Barclays one I had years ago, the minimum payment was set at £0.

I have recently transferred £4500 to a HSBC 0% for 33 months card and they have added a whopping £130 minimum monthly payment which seems weird considering I have never had a minimum payment on a 0% transfer account before.

Is this now the norm or is just something HSBC do?

shortcrust

I've had loads of 0% credit cards and every single one has had a minimum payment. In fact I've never heard of a card which didn't have a minimum payment.

Cycrow

AFAIK, its always been that, credit cards have always had minimum payments if theres a balance. Doesn't matter if that was transfered at 0% or not.

My barclaycard has always had a minimum payment

[Deleted User]

Agred - all cards have a minimum payment.

Are you sure you're not confusing it with a BT transfer fee? £130 would be in the right ballpark for a 3% fee.

Ebe_Scrooge

I think the OP must be mistaken, if there's a balance on a card then there'll always be a minimum payment. Always has been. And a £130 minimum against a £4500 balance is roughly 2.8 % which sounds about right - if anything it's a touch lower than I would have expected.

mezzor

Hi guys,

No definitely not, just checked my statements on my ASDA bill and minimum payments are 100% £0, even though I had a Direct debit of £150 to clear the debt ASAP.

If I am to transfer a balance what % is the normal minimum payment due?

[Deleted User]

Normal min payment is 1% of balance plus fees and interest. Some have a minimum amount (eg £25). But it can be higher.

How did you set up a DD if the card wasn't calling for any minimum payment? Do you mean a standing order?

MisterBaxter

Could it be that the DD of £150 was effectively wiping out the normal minimum payment somehow so when the statement was produced it was showing that the minimum payment due was £0 because £150 had already been paid and was greater than the minimum would have otherwise been?

Only cards I know of with £0 minimum would be store cards offering 'Buy Now Pay Later' and they would be £0 during the promotion period.

bengal-stripe

mezzor wrote: »

On a ASDA one I have I transferred £2000 around a year ago on a 0% for 24 months deal which is almost paid off, when I set it up, there was no minimum payment...

If you "almost paid off" the 2k transfer in about a year, you must have made considerable payments onto the card, which of course would have been in excess of the minimum payment required.

You might have missed the fact a minimum payment was needed as your payments did exceeded the minimum.

CLAPTON

probably paying early by standing order, which would mean that the 'minimum ' payment would indeed be zero

mezzor

Well as soon as the balance transferred I made a £150 payment and set up a Direct debit to pay £150 each month. I suppose if the £150 exceeded the total minimum payment that may have caused it to display £0.

Thank you all for your input.