Interest on Cash advance (how to pay off?)

neilsj_2

I have occasionally used my HSBC Credit Card to withdraw cash in the past - the interest rate charged is now higher than for Purchases so I want to be able to pay off the cash part of the cc debt.

No-one at HSBC (in India that is) knows how to help me (save to say "pay balance in full to avoid interest..").

1. Do my monthly repayments contribute to cash withdrawn at all? (I know it's BT first, Purchases second, Cash third)
2. If interest is charged separately, are HSBC not obliged to tell me on what basis so I can reduce accordingly?

Thanks..

YorkshireBoy

neilsj wrote: »

...so I want to be able to pay off the cash part of the cc debt.

You can't, until you completely clear the card's balance.

"pay balance in full to avoid interest..").

...is the correct answer.

Never, ever, ever...withdraw cash on a credit card, especially if you already have a revolving purchase/BT balance on it.

Yolko

YorkshireBoy wrote: »

Never, ever, ever...withdraw cash on a credit card, especially if you already have a revolving purchase/BT balance on it.

Nationwide's credit cards apply payments to the most expensive debt first - http://www.nationwide.co.uk/creditcard/GoldCard/order_of_payments.htm

I don't think there are any others that do that.... they apply payments to your cheapest debt first, keeping the expensive cash withdrawals until last.

YorkshireBoy

Yolko wrote: »

Nationwide's credit cards apply payments to the most expensive debt first -

£50 withdrawn the day after statement date will still cost you nearly £5 if you repay on payment due date (and some more residual interest the month after) though.

I suppose if you need a taxi home...?