Credit card - balance transfer/spending what gets paid off first

davidcooper33153

My credit card company  are offering a balance transfer with 0% interest i until 1 august 2023 with a 2.4% fee

iff I transferred say £1000. Then used my regular spending which is at I think around 20% interest, let’s say purchases are £50 that month

if I was to then pay off £50 would I be paying off the purchase interest (20%) or the balance transfer (0%)

[Deleted User]

Payments go to your highest interest statemented balance.

A few providers will pay your highest interest balance, statemented or unstatemented.

However, in most cases it's a bad idea to mix spending with a BT on the same card, as you'll pay interest on the spending with a few exceptions.

Alex9384

In your example, the payment would go towards purchases first.
I would recommend to always pay off slightly more than you spent. If you transfer a larger balance, then the monthly minimum payment can be actually higher than your spending. Let's say you transferred 5.000 and then spent 50 on purchases. You receive statement and the minimum payment can be 150, so I would pay at least 152 or more, just to be a little over the minimum payment to make sure they don't charge any interest.