Tesco Now Separating Spending And BT / MT Balances

molerat

Just received an e-mail from Tesco stating that they are separating spending and transfer balances so that you can spend on a card with a 0% BT / MT balance and not pay interest on that spend as long as you pay it off in full each month.

We’ve updated how we charge interest to make your credit card more flexible for spending. If you have a 0% interest rate on a balance transfer or money transfer, you can now spend on your card without being charged interest.

What does this mean for me?

As you normally pay your balance in full each month, you could now take advantage of a 0% interest balance transfer or money transfer rate and continue to pay no interest on your spending - as long as you repay your purchase amount in full and on time every month.

Asghar

That's good, it's how all credit cards should allocate payments.

Otherwise, whilst paying off a balance transfer over one or two years, means you cannot spend on the card and therefore they are not making any more money from you.

eskbanker

Asghar said:

That's good, it's how all credit cards should allocate payments.

Otherwise, whilst paying off a balance transfer over one or two years, means you cannot spend on the card and therefore they are not making any more money from you.

You can spend on the card, but can't do so without incurring some interest....