Questions about decreasing credit limit on BT card and interest on new purchases

irelavv

I managed to get a 0% BT Barclaycard. There's also a 3 mth 0% interest on new purchases.

I want to do a balance transfer and intend to pay the minimum payment each month (it's why I got a 0% BT card), but if I were to make any new purchases within the first 3 months - how would that be tabulated? I.e. which interest gets payed first?

For example, can I pay the minimum payment for the first 3 months. Then, in month 4 pay in full all new purchases on the card + minimum payment for old purchases. And after that, pay out minimum payment each month and not accrue any interest?

One final question: would it be "wise" to manually decrease the credit limit on this card? I'm asking because I wasn't expecting to get a high credit limit and don't intend on utilising it. The only reason I would decrease my credit limit is so that future lenders won't see me as having too big of a limit already, and I don't really want to close any accounts just yet.

Thanks in advance 

Nasqueron

Don't touch the credit limit, lenders don't see why it was changed, they may see it as the bank lowering your limit as they don't trust you, just keep paying down, ideally though minimum + a few quid so it's not marked as minimum only, even if on a promo rate

Barclays payment allocations have been covered several times on the forum, have a search of old threads, it should also be in the Ts & Cs of your card

daivid

Is it the fee free barclay card? If so could you spend on another card and BT again during the 0% window? 

irelavv

Nasqueron said:

Don't touch the credit limit, lenders don't see why it was changed, they may see it as the bank lowering your limit as they don't trust you, just keep paying down, ideally though minimum + a few quid so it's not marked as minimum only, even if on a promo rate

Barclays payment allocations have been covered several times on the forum, have a search of old threads, it should also be in the Ts & Cs of your card

Solid advice on payments and credit limit @Nasqueron !
I've never thought of allocating payments in that way and I'll take on board your suggestion.

First minimum payment should be around £70 so the option I'll choose as monthly DD will be a set amount of £75 for the entire offer period. No fuss, no hassle, and it will always be a few extra quid on top of min payment.

I'll make sure to look into the other Barclays payments allocation threads. Also, definitely not going to touch the credit limit, thanks for the heads up on that one 

daivid said:

Is it the fee free barclay card? If so could you spend on another card and BT again during the 0% window? 

Yeah, it's the fee free Barclaycard which allows BTs in the first 60 days at 0%. My plan is to spend as much as I can on previous CC and then BT everything on Barclaycard.

surreysaver

You shouldn't normally mix balance transfers and purchases on the same card, but with Barclaycard its relatively safe. Just make sure you pay off the whole of the statemented purchases and you will be okay.
I have about £10k at 0% on my Barclaycard, and my minimum payment is around £280 each month. I just make sure I keep my purchases within this £280 and I also earn cashback on that