0% on purchases meaning

Eternal1

If a credit card says 0% on purchases for 3 months, does this mean when you buy something on the card, you have 3 months to pay it off before you start getting charged interest?

Or does it mean when you get the card, the first 3 months are interest free and that's it?

Thanks.

Willing2Learn

Eternal1 wrote: »

If a credit card says 0% on purchases for 3 months, does this mean when you buy something on the card, you have 3 months to pay it off before you start getting charged interest?

Correct, anything you buy will be at 0% for the first three months. After three months the APR shoots up, so it is best to clear the balance at the end of the third month.

Eternal1

Willing2Learn wrote: »

Correct, anything you buy will be at 0% for the first three months. After three months the APR shoots up, so it is best to clear the balance at the end of the third month.

But I mean is it only for the first 3 months of receiving the card?

Willing2Learn

Since it is a new card, it will be three months from the date of account opening...

molerat

Eternal1 wrote: »

But I mean is it only for the first 3 months of receiving the card?

Yes, usually from date of the agreement which is often a week or so before you actually receive the card and can use it.

Eternal1

Willing2Learn wrote: »

Since it is a new card, it will be three months from the date of account opening...

Ah ok, was hoping it was 3 months from date of purchase 😕

Thanks for the reply.

[Deleted User]

You still need to make the minimum payments though

Terry_Towelling

Depending on the exact wording in the T&Cs you might actually want to check this with the card company because it is a little ambiguous given the wording as you present it in your original post.

As written, it could mean that any purchases made within the first 3 months of opening will qualify for 0% interest - until they are paid off. It almost certainly doesn't mean this but I still feel it is quite ambiguous and should be checked.

PRAISETHESUN

You will need to examine the T&Cs thoroughly to know the exact terms of your agreement. It's most likely that you'll have 0% on any purchases made in the first 3 months of having the card, but it could also be that any purchase has 0% interest for 3 months on an indefinite basis (eg. PayPal credit).