0% Credit card - purchase or balance transfer

marshwhitfield

Hi
We currently dont have a credit card but we are thinking of getting one to half our monthly payments of 250 by splitting a zero interest kitchen loan over a longer period on a zero % credit card.
So at the mo the 0% loan is with Hitachi finance and to pay it off I would log in and then pay balance...
My question is would I need a 0% balance transfer or 0% on purchases... because would me paying it off be classed as purchase?
Cheers
Andy

dr_adidas01

marshwhitfield said:

Hi
We currently dont have a credit card but we are thinking of getting one to half our monthly payments of 250 by splitting a zero interest kitchen loan over a longer period on a zero % credit card.
So at the mo the 0% loan is with Hitachi finance and to pay it off I would log in and then pay balance...
My question is would I need a 0% balance transfer or 0% on purchases... because would me paying it off be classed as purchase?
Cheers
Andy

It would depend on if they let you pay off the Loan with a credit card and the card issuer may class it as a cash purchase which will in cure fee and interest on the balance of the purchase.

If not you could see about getting a Money transfer card which will let you transfer money to your bank account and then pay off your loan via debit card if that's an option.

You may also find that the Credit card provider may not give you a credit limit high enough to cover the whole cost of your kitchen.

MallyGirl

marshwhitfield said:

Hi
We currently dont have a credit card but we are thinking of getting one to half our monthly payments of 250 by splitting a zero interest kitchen loan over a longer period on a zero % credit card.
So at the mo the 0% loan is with Hitachi finance and to pay it off I would log in and then pay balance...
My question is would I need a 0% balance transfer or 0% on purchases... because would me paying it off be classed as purchase?

The alternative way of handling this is to get a 0% purchases card and put £150 of spend on there to free up extra cash for the loan repayment. Then when the loan is finished use the money you are no longer paying there to pay off the purchases balance. No fees this way but you must make sure you can pay off what you have built up before the 0% runs out. No fees this way but you need to control what you are putting on the card and you need to make the minimum payment (why I said spend £150 not just the £125 you were looking for)