Virgin - Monthly payment of only £5?

myfairlady

I got a Virgin card two months ago and immediately transferred 9k to it. The minimum monthly payment this month is only £5? That cant be right can it? It was the same last month but I thought maybe that was because I had just done the balance transfer....

Anyone got any idea or should i just call them?

Thanks guys

Nelski

No thats right. £5 per month min payment is what I pay for my virgin card and I too have 9.5k on it

aliasojo

This will be right. Virgin is from the MBNA stable of cards and the MBNA card has a £5 minimum payment also.

lipidicman

Wow, thats tiny.....that would take a long time to pay off!

michaels

When I called to set up dd for min ammount I was told that during the zero interest period £5 was the minimum - after this period (when of course I won't have the card anymore anyway) it will revert to the normal 2%

Nelski

9.5k = 1900 months

or 158 years by my calculation! and thats at 0% the whole time!!!!

Good job its just stoozed!

lipidicman

Imagine how long it would take at a normal credit card interest rate! OMG!

YorkshireBoy

michaels wrote:

When I called to set up dd for min ammount I was told that during the zero interest period £5 was the minimum - after this period (when of course I won't have the card anymore anyway) it will revert to the normal 2%

Are you sure? From the Summary Box...

===========
Monthly minimum payment

The lesser of:
• 2.25% of your balance (min. £5) or
• charges for Payment Protection Cover plus interest and fees, plus £5 or
• your balance, if it's under £5.

===========
The T & C's make no mention of minimum payments being different after the 0% introductory period ends.

As always, the T & C's/Summary Boxes govern the contract, not what one of the customer services advisors says on the phone (and MBNA are notorious for giving out innacurate information due to the large number of cards they issue).

Chadsman

YorkshireBoy wrote:

Monthly minimum payment

The lesser of:
• 2.25% of your balance (min. £5) or
• charges for Payment Protection Cover plus interest and fees, plus £5 or
• your balance, if it's under £5.

Its the LESSER of those three amounts.
:beer:

[pedant]...shouldnt it be the LEAST of those amounts :eek: [/pedant]

mountainofdebt

£5 is right.

I recently posted about this on ths board about a £10K transfer I had made with MBNA and was querying the fact that MBNA only wanted about £59 in repayment.

I was told that this was a) the £50 transfer fee + b)the interest +c) £5

Subsequent payments have asked for b) + C).

myfairlady

Well thanks guys...I have to say Im shocked though! The other cards I have had always charge a percentage of the amount. Looks like I have some extra cash that I can put to good use elsewhere!!!! Woooo hooooooo!