Credit Card for Spending Discussion Area

JJW101

Hello,

I've read on MSE that you shouldn't spend on a card you've transferred a balance to, but this NatWest card offers 0% on purchases for 6 mths, as well as 0% balance transfer for 13 mths.

So, I was wondering if it's safe to spend on the card - I know card companies now have to pay off the most expensive debts 1st, but this is a bit different... Will I be able to just pay off the purchases in 6 mths, leaving the transferred amount for another 7 mths?

Any help gratefully received

comicmankev

Are their limitations on 'spending'? For example, if I was to pay an outstanding balance on a holiday, or a sofa etc, does this still count as 'spending'? I am assuming it does, but thought I'd check!

grumbler

comicmankev wrote: »

Are their limitations on 'spending'?

Yes, there are some. Spending is everything except the transactions classed as 'cash advances' (e.g. gambling transactions or purchasing foreign currency - check the T&C).

For example, if I was to pay an outstanding balance on a holiday, or a sofa etc, does this still count as 'spending'? I am assuming it does, but thought I'd check!

I don't see any problems except some credit accounts cannot be paid off by a CC and most travel companies charge extra for CC payments.

LoveMS

Hi, anyone who applied Tesco 0% interest for 16 month credit card ?
My hus and I applied it back to Jan and received finally last month. However neither of us unable to use cards so far ! Cards are simply not working and whenever we tried to use it, they are not accepted.
My hus called their 0845 customer service twice so far, and suppose to receive new card by post but hasn't arrived yet, and when I called them - to be honest, a guy who dealt with me must have been sleeping or doing something else. He put me on hold for long time and when I asked if I am still on line, he simply told me that he is waiting for me to tell credit limit - which I didn't have right there. But what most annoyed me was past two transactions dates which were my hus' spending - I had no idea ! Is it normal or common for such security question that you have to know the dates every time used even your partners':( ? Besides he could not use it so far & what's a big deal. Now it is approaching later March and wonder if we could ever use our cards ? And wonder whether we already lost nearly a month though these are not our fault! Let me know your experience.

alexlg

Me and my bf applied for and received our Tescos cards no problem but I have to admit we haven't tried spending anything on them yet.

We both got the 0% balance transfer deal and immediately transferred £3300 to 2 other cards (when we did the applications), so I've currently got less than £250 remaining to spend on this card.

As regards the security questions, they don't sound unusual but I'm a bit a*a* about keeping a record of my spending and credit limits so they wouldn't have been a problem for me! (If you've got a smart phone, I can't recommend Graham Haley's 'Account Tracker' app highly enough for easy record-keeping in that dept.

HOWEVER I've just applied for a Nat West 0% card and for the first time EVER (and I've had A LOT of bank/credit cards!) they had to send me a special form to complete because 'your name is too long to fit on the card': all I had to do was change 'Miss' to 'Ms' and drop my middle initial!! An unexpected hiccup.

a_man_oxford

Hi, I've recently got a new credit card (for the first time in many years having had an HSBC card all that time.)
However having recently wanted to do some DIY etc for my new home I got a Tesco Credit Card with the 18-months 0% purchases deal, and after quite a while of waiting received my new card and its credit limit.

Now I have found that for 3 out of the last 5-months where I didn't check the small print on my statement closely enough I hadn't realised I'd been charged a £12 fee for 'going over my credit limit'
It turns out that unlike my existing credit card which was just declined if I ever tried to accidentally purchase beyond my credit that with a Tesco card they will continue to authorise your purchases knowing it will take you above your credit limit, and will then charge you a £12 fee for having done so. In the most recent case I went over my limit by a couple of pounds, then a day after my statement date - but prior to having received my statement - I made another purchase still unaware I was over my limit, and thus got charged £12 in the statement for the month just ended, and then another £12 in the following month even though by the end of that month I was under my limit having made a payment upon receiving my statement.
I contacted Tesco and they say that they do not enforce the so-called 'credit limit' by declining transactions above that level and you cannot have them do so, and that I should set up a warning text facility on my card - when I went to check out this facility online it turns out that even with that so-called 'warning feature' I would not get a text from them about getting close to my limit until some time the following day!! By which time of course I may have gone accidentally over my limit already - which I would guess is what they are hoping for!

I'm not sure whether this is a ploy that many credit card providers use and which most people are aware of, but as the only card I've ever had always blocked me at my "limit" if I reached it then I figured it's worth pointing out to other people just in case as it can become quite an expensive mistake, as it has been for me!

I'm surprised they are allowed to use the phrase "credit limit" give the definition of the word limit, but that's financial non-regulation for you I guess! Hope this helps at least one other person from falling into the same trick that I did

I will now be no longer spending on my Tesco card, paying it off, then cancelling it - I won't be a customer of such underhanded tactics!

reclusive46

a_man_oxford wrote: »

I'm not sure whether this is a ploy that many credit card providers use and which most people are aware of, but as the only card I've ever had always blocked me at my "limit" if I reached it then I figured it's worth pointing out to other people just in case as it can become quite an expensive mistake, as it has been for me!

I'm surprised they are allowed to use the phrase "credit limit" give the definition of the word limit, but that's financial non-regulation for you I guess! Hope this helps at least one other person from falling into the same trick that I did

Actually there is a very good reason for this. As a traveller I end up with sometimes thousands of pounds worth of hotel authorisations and car rental authorisations that take my available balance over my credit limit. By allowing you to spend over the limit it means that you can continue to spend as those transactions will never post.

You also have to remember that not all transactions happen in real time, Tesco might not have known about some of the transactions until they were settled.

a_man_oxford

reclusive46 wrote: »

Actually there is a very good reason for this. As a traveller I end up with sometimes thousands of pounds worth of hotel authorisations and car rental authorisations that take my available balance over my credit limit. By allowing you to spend over the limit it means that you can continue to spend as those transactions will never post.

You also have to remember that not all transactions happen in real time, Tesco might not have known about some of the transactions until they were settled.

I hadn't actually thought of those situations - good point for some people/circumstances I guess.
However if my other card can decline a transaction then surely this one could too if they wanted but when I asked that they decline the card if a transaction would make me go over the limit they said no! If I'd done a load of transactions in a few minutes then I understand there might be an issue with having them all cleared on their systems, but this wasn't the issue - in one case I filled up the car with petrol, the amount of that took me £4 over my 'limit' and I got charged £12 - even with their reminder/warning I wouldn't have found out about that until the next day some time.

vladman

Hi,

Can anyone clarify something for me. Martin's eligibility checker includes an option of "Homemaker" under the Employment drop down box. Presumably, most, if not all those who'd class themselves as a homemaker, don't have an income, and I assume no bank would issue a credit card to someone with no income (but I'm not 100% sure about this). To add to the confusion, when looking at the eligibility criteria for some of the credit cards, it says "Minimum income: N/A".

So, would anyone entering homemaker and income as 0 stand even the remotest chance of getting accepted for one of these credit cards?

If anyone with an income of £0 would automatically get declined, then I'm not sure why the options of Homemaker and Unemployed are even available in this tool.

For info, I'm currently in this position, although I'm planning on working again in a year or two. Right now, we're living off my partner's income and some of my savings. I have an excellent credit score, am a home owner, and already have several credit cards, and I have no debt.

Many thanks.

grumbler

vladman wrote: »

... Presumably, most, if not all those who'd class themselves as a homemaker, don't have an income, and I assume no bank would issue a credit card to someone with no income (but I'm not 100% sure about this). ...

CLAPTON wrote: »

... my stay at home wife has successfully applied for several CCs over the years.

One has a higher credit limit than mine.

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