Basic beginners' question about 0% interest credit cards

Suz8674

Hello, I am feeling dumb and confused!

If I got a 0% interest card, that had say a 24 month interest free period. Then I used it to immediately make a large purchase (say £1000).

Would I have to pay off the whole £1000 the next month to avoid interest?

If I only paid say £50, would they start charging interest on the £950 balance?

Or do they only add the interest after 24 months?

Sorry, I am a credit card novice and can't get my head around it!

Thanks

[Deleted User]

If you don't pay in full, interest is always charged on the balance.

However, for the duration of the promo, interest would be charged at 0%.

[Deleted User]

But never forget to make the payment on time and at least the minimum (best to set up a DD) or else the 0% deal is off.

ricky_v

And remember to pay off any remaining balance when the 0% ends, which will be 24 months from account opening.

Suz8674

Thanks, I think I get it. So it's a bit like a 24 month interest free credit deal? I would only have to pay £1000 over 24 months?

Weybridge78

Suz8674 wrote: »

Thanks, I think I get it. So it's a bit like a 24 month interest free credit deal? I would only have to pay £1000 over 24 months?

Yes. If you fail to make the minimum payment, you may lose the 0% interest deal. Divide £1000 by 24 and set up a direct debit to take that fixed amount each month.

Suz8674

That's what I initially thought, then I confused myself and was worrying it was only 0% if I paid it all the next time. Thanks!

Sncjw

I wouldn't buy and forget about it as you may forget when the deal is ending plus you need to make a minimum payment which will be shown on the statement to make sure you keep the deal