Card Repayments

Befuddled_4

I currently have a balance on MBNA which am looking to move, but the joy with MBNA is the repayment figure is based on a percentage of the interest rather than the debt meaning that on a 0% deal the minimum payment has been only £5 per month. Does anyone know of a similar repayment structure on a 0% deal? Any help would be much appreciated.

Cheers

Befuddled

CLAPTON

No,it's not the joy of MBNA

its the trap they set you so you pay virtually nothing off the debt and then get trapped into paying high apr once the promotion period is over.

Befuddled_4

Thanks Clapton you are correct. This system does however suit our requirements at present. Its only a joy if you can make it work for you. We want to avoid the trap that you highlighted by transferring away from MBNA but would be looking to continue on a similar repayment system for the present.

King_Weasel

I suspect only the MBNA group of cards have this low repayment level. You could try and open another, such as Virgin, but you WON'T be allowed to transfer your balance from another MBNA card.

I can only suggest you apply for, say, a Virgin card with the 0% offer, plus another 0% card and use the latter as a "stepping stone" for your balance. But you will have two lots of transfer fees to pay (unless you can still find a zero fee card) and you might not be able to open up two cards in quick succession (adverse effect on credit rating).

YorkshireBoy

King_Weasel wrote: »

I suspect only the MBNA group of cards have this low repayment level.

The (Santander run) Abbey card also has a £5 minimum payment requirement.