Making finance repayment on credit card

steve2095

Hi,

I am struggling to find a clear answer to this online.

I had to take get a new boiler fitted at the end of last year at short notice and had to do so on finance.

Since then I have picked up a new credit card that has 0% on purchases (sainsburys).

I can make additional repayments against my boiler finance (back by Barclay's), if I was to make a repayment using the Salisburys credit card, does that count as purchase and therefore incur no interest?

Everywhere online seems to refer to balance transfers and not this scenario I am looking at.

Thanks for your help

Steve

CLAPTON

steve2095 wrote: »

Hi,

I am struggling to find a clear answer to this online.

I had to take get a new boiler fitted at the end of last year at short notice and had to do so on finance.

Since then I have picked up a new credit card that has 0% on purchases (sainsburys).

I can make additional repayments against my boiler finance (back by Barclay's), if I was to make a repayment using the Salisburys credit card, does that count as purchase and therefore incur no interest?

Everywhere online seems to refer to balance transfers and not this scenario I am looking at.

Thanks for your help

Steve

if you have a loan then it's unlikely they will accept payment by CC, what do their T&C say about payments?

steve2095

They accept payment by cc so I assume that will fall under the 0% purchase intro offer.

Can't find the terms right now though

Consumerist

If you want to pay off a non-credit card loan then what you really need is a money transfer to your bank account so that you can pay off the loan from there. Unless you have a 0%-interest period for money transfers from your credit card then it is unlikely to be worth your while.

grumbler

Consumerist wrote: »

If you want to pay off a non-credit card loan then what you really need is a money transfer to your bank account so that you can pay off the loan from there.

Why - if "They accept payment by cc"?

takman

Paying off a loan will probably be in the category of cash advance and not a purchase so you will be charged interest.

[Deleted User]

Really depends on the company though - and what their definition of paying credit with credit is.

For example to pay a Next/Littlewoods/Very etc account you can use a credit card - that's therefore the same situation given that you could build up a £X,000 balance on Very etc, then get approved for a 0% card.

I paid a credit card with another a few years ago, one of the few that allow (or used to!) it - think it was paying off Sygma Bank, didn't get charged interest/fees from Nationwide.

From my experience if it's a online payment page (e.g. the next/very scenario, or some form of partner finance site (e.g. Dabs/Apple) payable online) it will go through as a purchase, even though they *could* categorize it based on merchant ID, they don't.

It's only ATM withdrawals or physical withdrawals at a bank which have attracted cash fees for me.

It may be worth paying it, then checking your online statement a few days later to see if you can see the category - if it is coming up as cash advance, write in and query/complain and they'll probably refund fees as a goodwill gesture....

grumbler

I think it's easier just to make a small payment first to make sure.

Anthorn

My guess is that Sainsburys Bank will have a database of loan companies and not allow the payment as a purchase. I'm saying that because when I cleared a catalogue account with my purchase credit card the payment was classed as a cash advance with a higher APR. But you'll never know for certain until you do it.