Could someone please explain to me 1 thing about interest payback on a transfer credit card..

Matthew1279

Hello, ive noone really to ask, just wanted to know, i am looking at barclay card, 0% tranfer fee for 15months. So, i have approx £3300 on which im paying intrest and unlikely to pay it all off for a year or so...SO...thought i would get a creditcard, transfer the money, so at least im not paying intrest which so far is about £45 month - better in my pocket than theres.  

My question is, before I apply, i looked at the deal etc - and its says, 'Repayment  intrest after 56 days ' ...so....i dont quite understand. I just want to pay eg £150/month off the £3300 which would now be on the new barclay card...0% for 15months.....so...what is this 'repayment'...does it mean...IF...i borrow money on top of the balance transfer of £3300 I will be charged?  is that what that means? 

I dont plan to purchase on the barclay card, just to use it to pay off the £3300 ideally within the 15months - without paying off the interest i was having on the Sainsburys card.

Am i correct with that?  

THANKS for your time.

WillPS

Matthew1279 said:

Hello, ive noone really to ask, just wanted to know, i am looking at barclay card, 0% tranfer fee for 15months. So, i have approx £3300 on which im paying intrest and unlikely to pay it all off for a year or so...SO...thought i would get a creditcard, transfer the money, so at least im not paying intrest which so far is about £45 month - better in my pocket than theres.  

My question is, before I apply, i looked at the deal etc - and its says, 'Repayment  intrest after 56 days ' ...so....i dont quite understand. I just want to pay eg £150/month off the £3300 which would now be on the new barclay card...0% for 15months.....so...what is this 'repayment'...does it mean...IF...i borrow money on top of the balance transfer of £3300 I will be charged?  is that what that means? 

I dont plan to purchase on the barclay card, just to use it to pay off the £3300 ideally within the 15months - without paying off the interest i was having on the Sainsburys card.

Am i correct with that?  

THANKS for your time.

The 'interest after 56 days' refers to any purchases you make outside of the promotional window. The transferred balance will be at a promotional rate.

As a bit of advice - do not use a Balance Transfer Card for purchases; your lender might not apply your payments to the balances in the order you expect.

grumbler

My question is, before I apply, i looked at the deal etc - and its says, 'Repayment  intrest after 56 days ' ...so....i dont quite understand.

That's normal interest on purchases when you don't pay any interest if you pay the statement balance in full before the due date. So, for some purchases it's up to 56 interest-free days.

0% balance transfer creates a promotional balance with 0% interest for, say, 15 months. All you have to do is to make at least minimum monthly payments.

IIRC, for my Barclaycard the minimum payment is 2.25% of the current balance. Of course, you can pay more, e.g. £150.

born_again

WillPS said:

Matthew1279 said:

Hello, ive noone really to ask, just wanted to know, i am looking at barclay card, 0% tranfer fee for 15months. So, i have approx £3300 on which im paying intrest and unlikely to pay it all off for a year or so...SO...thought i would get a creditcard, transfer the money, so at least im not paying intrest which so far is about £45 month - better in my pocket than theres.  

My question is, before I apply, i looked at the deal etc - and its says, 'Repayment  intrest after 56 days ' ...so....i dont quite understand. I just want to pay eg £150/month off the £3300 which would now be on the new barclay card...0% for 15months.....so...what is this 'repayment'...does it mean...IF...i borrow money on top of the balance transfer of £3300 I will be charged?  is that what that means? 

I dont plan to purchase on the barclay card, just to use it to pay off the £3300 ideally within the 15months - without paying off the interest i was having on the Sainsburys card.

Am i correct with that?  

THANKS for your time.

The 'interest after 56 days' refers to any purchases you make outside of the promotional window. The transferred balance will be at a promotional rate.

As a bit of advice - do not use a Balance Transfer Card for purchases; your lender might not apply your payments to the balances in the order you expect.

Exactly. Many people fall for this.
Balance transfer a amount, then make a purchase. Then transfer the amount of purchase, thinking it has cleared it from the statement.
Sadly it does not. Any payment pre statement date goes to the last statement, balance.
So in the above situation. The payment goes towards the balance transfer, NOT the purchase.

grumbler

born_again said:

WillPS said:

Matthew1279 said:

Hello, ive noone really to ask, just wanted to know, i am looking at barclay card, 0% tranfer fee for 15months. So, i have approx £3300 on which im paying intrest and unlikely to pay it all off for a year or so...SO...thought i would get a creditcard, transfer the money, so at least im not paying intrest which so far is about £45 month - better in my pocket than theres.  

My question is, before I apply, i looked at the deal etc - and its says, 'Repayment  intrest after 56 days ' ...so....i dont quite understand. I just want to pay eg £150/month off the £3300 which would now be on the new barclay card...0% for 15months.....so...what is this 'repayment'...does it mean...IF...i borrow money on top of the balance transfer of £3300 I will be charged?  is that what that means? 

I dont plan to purchase on the barclay card, just to use it to pay off the £3300 ideally within the 15months - without paying off the interest i was having on the Sainsburys card.

Am i correct with that?  

THANKS for your time.

The 'interest after 56 days' refers to any purchases you make outside of the promotional window. The transferred balance will be at a promotional rate.

As a bit of advice - do not use a Balance Transfer Card for purchases; your lender might not apply your payments to the balances in the order you expect.

Exactly. Many people fall for this.
Balance transfer a amount, then make a purchase. Then transfer the amount of purchase, thinking it has cleared it from the statement.
Sadly it does not. Any payment pre statement date goes to the last statement, balance.
So in the above situation. The payment goes towards the balance transfer, NOT the purchase.

Many people get killed when crossing roads without due caution. The post that you quoted said  'might' (= or might not)

https://www.barclaycard.co.uk/personal/credit-cards/your-interest-rates-and-balances

WillPS

grumbler said:

born_again said:

WillPS said:

Matthew1279 said:

Hello, ive noone really to ask, just wanted to know, i am looking at barclay card, 0% tranfer fee for 15months. So, i have approx £3300 on which im paying intrest and unlikely to pay it all off for a year or so...SO...thought i would get a creditcard, transfer the money, so at least im not paying intrest which so far is about £45 month - better in my pocket than theres.  

My question is, before I apply, i looked at the deal etc - and its says, 'Repayment  intrest after 56 days ' ...so....i dont quite understand. I just want to pay eg £150/month off the £3300 which would now be on the new barclay card...0% for 15months.....so...what is this 'repayment'...does it mean...IF...i borrow money on top of the balance transfer of £3300 I will be charged?  is that what that means? 

I dont plan to purchase on the barclay card, just to use it to pay off the £3300 ideally within the 15months - without paying off the interest i was having on the Sainsburys card.

Am i correct with that?  

THANKS for your time.

The 'interest after 56 days' refers to any purchases you make outside of the promotional window. The transferred balance will be at a promotional rate.

As a bit of advice - do not use a Balance Transfer Card for purchases; your lender might not apply your payments to the balances in the order you expect.

Exactly. Many people fall for this.
Balance transfer a amount, then make a purchase. Then transfer the amount of purchase, thinking it has cleared it from the statement.
Sadly it does not. Any payment pre statement date goes to the last statement, balance.
So in the above situation. The payment goes towards the balance transfer, NOT the purchase.

Many people get killed when crossing roads without due caution.

https://www.barclaycard.co.uk/personal/credit-cards/your-interest-rates-and-balances

It's great that Barclays process in this favourable way, and that they explain it so clearly. I still think as a rule of thumb just don't do it is safest - keep spending and long term balance transfers completely separate and it'll never be a problem regardless of which provider you choose.

It's also sensible from a spend-efficiency point of view as it's rare for the top balance transfer offers to also have anything other than mediorce cashback/rewards (i.e. Tesco, Sainsbury's).

grumbler

ha-ha

In your post you correctly said 'might' - and I added this to my post now.

born_again

grumbler said:

born_again said:

WillPS said:

Matthew1279 said:

Hello, ive noone really to ask, just wanted to know, i am looking at barclay card, 0% tranfer fee for 15months. So, i have approx £3300 on which im paying intrest and unlikely to pay it all off for a year or so...SO...thought i would get a creditcard, transfer the money, so at least im not paying intrest which so far is about £45 month - better in my pocket than theres.  

My question is, before I apply, i looked at the deal etc - and its says, 'Repayment  intrest after 56 days ' ...so....i dont quite understand. I just want to pay eg £150/month off the £3300 which would now be on the new barclay card...0% for 15months.....so...what is this 'repayment'...does it mean...IF...i borrow money on top of the balance transfer of £3300 I will be charged?  is that what that means? 

I dont plan to purchase on the barclay card, just to use it to pay off the £3300 ideally within the 15months - without paying off the interest i was having on the Sainsburys card.

Am i correct with that?  

THANKS for your time.

The 'interest after 56 days' refers to any purchases you make outside of the promotional window. The transferred balance will be at a promotional rate.

As a bit of advice - do not use a Balance Transfer Card for purchases; your lender might not apply your payments to the balances in the order you expect.

Exactly. Many people fall for this.
Balance transfer a amount, then make a purchase. Then transfer the amount of purchase, thinking it has cleared it from the statement.
Sadly it does not. Any payment pre statement date goes to the last statement, balance.
So in the above situation. The payment goes towards the balance transfer, NOT the purchase.

Many people get killed when crossing roads without due caution. The post that you quoted said  'might' (= or might not)

https://www.barclaycard.co.uk/personal/credit-cards/your-interest-rates-and-balances

Take a look at the 3rd box & what it states.

Then look @ what I said "Any payment pre statement date goes to the last statement, balance"

If you pay after statement is received, yes it will pay off the purchase in that statement period, pay before. It will not. That is where people go wrong. They think make purchase & pay it off straight away.

grumbler

born_again said:

grumbler said:

born_again said:

WillPS said:

Matthew1279 said:

Hello, ive noone really to ask, just wanted to know, i am looking at barclay card, 0% tranfer fee for 15months. So, i have approx £3300 on which im paying intrest and unlikely to pay it all off for a year or so...SO...thought i would get a creditcard, transfer the money, so at least im not paying intrest which so far is about £45 month - better in my pocket than theres.  

My question is, before I apply, i looked at the deal etc - and its says, 'Repayment  intrest after 56 days ' ...so....i dont quite understand. I just want to pay eg £150/month off the £3300 which would now be on the new barclay card...0% for 15months.....so...what is this 'repayment'...does it mean...IF...i borrow money on top of the balance transfer of £3300 I will be charged?  is that what that means? 

I dont plan to purchase on the barclay card, just to use it to pay off the £3300 ideally within the 15months - without paying off the interest i was having on the Sainsburys card.

Am i correct with that?  

THANKS for your time.

The 'interest after 56 days' refers to any purchases you make outside of the promotional window. The transferred balance will be at a promotional rate.

As a bit of advice - do not use a Balance Transfer Card for purchases; your lender might not apply your payments to the balances in the order you expect.

Exactly. Many people fall for this.
Balance transfer a amount, then make a purchase. Then transfer the amount of purchase, thinking it has cleared it from the statement.
Sadly it does not. Any payment pre statement date goes to the last statement, balance.
So in the above situation. The payment goes towards the balance transfer, NOT the purchase.

Many people get killed when crossing roads without due caution. The post that you quoted said  'might' (= or might not)

https://www.barclaycard.co.uk/personal/credit-cards/your-interest-rates-and-balances

Take a look at the 3rd box & what it states.

Then look @ what I said "Any payment pre statement date goes to the last statement, balance"

If you pay after statement is received, yes it will pay off the purchase in that statement period, pay before. It will not. That is where people go wrong. They think make purchase & pay it off straight away.

Yes, that was exactly my point. It's fine to combine BTs and purchases if you know what you are doing (it's fine to cross roads with caution). Your post was absolutely categorical - "never do this". At least this was my impression.

Alex9384

If I can give you another advice, apply for the Barclaycard on the 1st day of the month. Their interest-free offers always end on the 1st of the month, so if you apply for example on the 29th, you lose almost a whole month of that 0% period.

Example:

If you apply on the 29th April, the interest free period will end on the 1st June.
But if you apply on 1st May, the interest free period will end on the 1st July, a whole month later, even though you only applied 2 days later.

I have currently 2 separate money transfer offers on Barclaycard. I applied on different dates than 1st, but both offers have ending dates on the 1st of the month.

Some other providers such as Nationwide say that whichever day your balance is transferred, that will be the date of the 0% interest ending after X months.