barclays 6.9% lifeofbal - as good as it sounds? what is interest rate on the interest

italia

my current barclay card has an offer on 6.9% for the life of the balance on anything i transfer

i was thinking though, the CL is 3000, so interest a month if i transfer that much is around £17.25 at 6.9%. so at the end of the year i would have £207 interest on the account (ignoring compound for now) i take it all my payments go off the lowest rate balance i,e off the outstanding 3000 rather than the interest added, and i suspect being barclaycard by interest added would be at a much higher rate (i cant find my t&c's), say 27% which would hike my effective apr up quite a bit, anyone got any thoughts, am i roughly correct?

Milarky

No, any interest simply adds to the balance at 6.9% - it is not charged at a higher rate

(But don't then use the card for any spending, of course, or this will happen!!)

Richard019

For all my cards the minimum payment each month is the greater of the following:

a) £x
b) y% +all interest +all fees

I've only ever used 0% BTs but I would assume that on that card you would be made to pay the interest off in full each month so there'd be no interest on the interest.

italia

thanks richard, i didn't know that you had to pay all interest off and all fees i hadn't read that before.

i knew that if you spent on a card that the spending would be at a higher rate and your payment would go off the 0% balance.

thanks again i didnt know they had to pay the interest portion off. super!

italia

also yes i would like to use 0% but ive had just about every card over the years and am running out! plus if the fee is 2.5% for 6 months thats 5% over a year anyway.