Credit Card for Spending Discussion Area

[Deleted User]

No.  It means you'll be charged the appropriate rate in force at the time, which for the BT, will be 0%.

choppers730

Perfect, thank you for the quick reply.

kmbushell

Having filled in the eligibility checker I got 100% probability of being accepted for Virgin 0% card, but when I applied got rejected with no explanation. There appears to be a glitch somewhere in the system

Snapdragon

Just a note of caution on the new Lloyds 0% on spending for 21 months and suggestion to perhaps consider the other options.

Whilst you may qualify in the eligibility checker, the credit limits they are giving are ridiculously small, which makes the card you get totally useless as it would barely cover one month's spending, so nothing left for the rest of the period and you couldn't put any big item purchases on it, which is usually what people use these cards for, so they can spread the cost!

Would NOT have applied for this card had I known the limit would be a fraction of what I normally receive and my financial circumstances haven't changed since previous applications.

Reynolt

Hi, can someone advise me on this please?  If I use my new M&S credit card with 0% on purchases for 24 months to pay off a loan to a bank, does that count as a "purchase" or will this incur interest/fees?

Ebe_Scrooge

Reynolt said:

Hi, can someone advise me on this please?  If I use my new M&S credit card with 0% on purchases for 24 months to pay off a loan to a bank, does that count as a "purchase" or will this incur interest/fees?

It's usually better to start your own thread rather than resurrecting one that's well over a year old

However, you can't usually use a card directly to pay off a loan - and even if you are allowed to use it, it would count as a cash advance with the associated fees and interest.

Consumerist

Reynolt said:

Hi, can someone advise me on this please?  If I use my new M&S credit card with 0% on purchases for 24 months to pay off a loan to a bank, does that count as a "purchase" or will this incur interest/fees?

What you might find more useful for your purposes is a <credit-card money transfer>. The card transfers money to your current account (which you can then use to repay the loan).

Ebe_Scrooge

Consumerist said:

Reynolt said:

Hi, can someone advise me on this please?  If I use my new M&S credit card with 0% on purchases for 24 months to pay off a loan to a bank, does that count as a "purchase" or will this incur interest/fees?

What you might find more useful for your purposes is a <credit-card money transfer>. The card transfers money to your current account (which you can then use to repay the loan).

Good point.  A couple of caveats for Reynolt to bear in mind.  Firstly, there's very often a fee to pay for the transfer, which needs to be factored into your calculations.

But most importantly, you must make absolutely sure that you'll be able to repay the full credit card balance by the time the promotional rate expires.  Any remaining balance will start to attract interest at the card's standard APR which will likely dwarf the rate you were paying on the original loan - with no guarantee that you'll be able to do another balance transfer.

Consumerist

Ebe_Scrooge said:

. . .  A couple of caveats for Reynolt to bear in mind.  Firstly, there's very often a fee to pay for the transfer, which needs to be factored into your calculations. . .

Yes, you need to run the numbers so that's why I put a link to MSE's page on the subject since money transfers are not really the topic of this thread.

alexlg

Reynolt said:

Hi, can someone advise me on this please?  If I use my new M&S credit card with 0% on purchases for 24 months to pay off a loan to a bank, does that count as a "purchase" or will this incur interest/fees?

I am 99% certain it will NOT count as a purchase and WILL incur interest and charges VERY LIKELY to be higher than those charged by a bank.