Very.co.uk issue/question about credit and interest rate

rdn3433

This is probably going to sound a bit silly, as I'm a bit of a newbie when it comes to matters of finance etc. I signed-up to Very and placed an order for an item costing around £40. I notice that they give me £600 worth of credit and that there is an interest rate of 44.9%. Under what circumstances would I need to pay any interest? If I pay the full charged amount now (taking the credit down to £560 or thereabouts) will that spare me from any interest? And does interest only apply to purchases in general - that is, I won't pay any interest/charges if I never use the account again, with the hundreds of pounds of credit still in the account? Again, sorry if this sounds silly/paranoid etc.

unholyangel

Im positive very uses the same model as littlewoods (think they're both the same retail group) which means they'll give you the option of paying by card, taking it over 3 months in equal instalments (so if £40 then £13.33 a month) and paying no interest or taking it over longer and paying interest. Unless they've changed their practices - bought one thing years ago due to introductory offer (normally they're more expensive than purchasing elsewhere outright). 

The credit is the amount available to you to borrow from them. If you don't borrow it (dont make purchases) then you won't have interest to pay.