Paying part of final PCP payment on 0% credit card

onefromyorkshire

My final PCP payment is due in April. I want to keep my car and pay off the final payment by some cash and some on a 0% credit card. I’ve spoken to the finance company today and they will accept part payment by CC and then the rest from my bank account. Is this possible or is there something I’m not seeing that will incur a fee on the credit card? I’ve tried looking on the cards website but the rules are so complicated that I just can’t work out whether it’s going to be classed as a balance transfer or a purchase. Any help or suggestions would be appreciated. Thanks.

Sandtree

So if you hand over your card number to the PCP Finance company then it won't be considered a balance transfer... that would be initiated by you talking to your credit card company.

The question is if your credit card company will consider it a Purchase or a Cash Advance. If you ask the finance company what their credit card merchant ID is and then with that ask your credit card company how they would classify the transaction they hopefully should be able to tell you.

If you are yet to get the credit card then there is another option which would be to get a card with a money transfer 0% offer which works similar to a BT card other than the funds go into your current account and you can then pay the PCP finance company all cash... this removes the risk that your card company classify the payment as a Cash Advance with its high fees and interest.

born_again

Odds on, as you are paying a finance co it will be classed as a cash payment and incur all the resulting fee's & interest from day one.

Might be better looking for a money transfer card to put cash in bank account and then pay the balance that way, as per above.

MrFrugalFever

I believe this would be classed as a cash advance payment, which obviously doesn’t make any sense to do.

as Sandtree has suggested, it would be worth finding out merchant code and how it would be treated. A Curve card is an option to use to avoid any potential 3% credit transaction fee but does still charge the credit card as per their own codes.