0% Credit card what will minimum payment be?
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Dolly123
Posts: 189 Forumite
Update: please see below
We have £7140 on a MBNA credit card which thought I have just changed to a MBNA 30 month 0% Balance transfer credit card how much will minimum payment be?
Can this be done Is this possible?
We have £7140 on a MBNA credit card which thought I have just changed to a MBNA 30 month 0% Balance transfer credit card how much will minimum payment be?
Can this be done Is this possible?
0
Comments
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Confused.
Have you changed the MBNA credit card into a 30 month 0% balance transfer card or have you applied elsewhere for such a card and transferred the MBNA balance to it?
Assuming the latter, you will have to check the minimum payment amount with the card issuer.
Using the card will not affect the 0% rate on the balance transfer but with the vast majority of cards you will be charged interest on the purchases unless you also have a 0% purchases offer.0 -
Your minimum payment will be shown by the bank on your statement or online banking. Or you could read the terms and conditions of the new card you moved it to (you don't say which firm runs it?)
If you use the card as well as having a BT on there, they have to apply the funds to the most pressing payment i.e. the new spending which will incur interest so the money won't pay off the balance.
Given you have run up that much debt (no idea if it's affordable for you but seems like running up that much on a sub-prime card you probably aren't minted) then I'd be paying £238 a month to clear that balance after 30 months unless you are confident you an get a new BT card at the end to shift whatever debt you have left onto0 -
The minimum payment calculation will be specified in the T&Cs of your particular card product. They tend to range from 1% to 2.5% of the outstanding balance.
The interest rate on the £7140 BT will remain at 0% for the 30 months as long as you make payments that meet the minimum required and make them before the due date.
Using the card for additional daily spending is not generally recommended (unless your card allows that at 0% for a promotional period too). Issuers vary in the way they treat additional spending. It is likely that such extra spending will attract interest at the rate applicable to your card (statement information should tell you or talk to MBNA to find out) even if your monthly payments are enough to completely clear that additional spending.
Some issuers treat additional spending differently. Barclaycard keeps it separate to the promotional 0% balance, so using it for spending is OK as long as you clear the additional spending in full each month (and meet the minimum payment amount). At least that's what they have told me (twice) but I've never put it to the test and MBNA are probably different anyway.
At the end of the day, the information provided with your card should tell you all of this. If it doesn't, ask MBNA.0 -
My MBNA 0% card charges 1%.0
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i would use a different card for additional spending
not sure what mbna does but eg john lewis
https://forums.moneysavingexpert.com/showthread.php?t=59797980 -
Confused.
Have you changed the MBNA credit card into a 30 month 0% balance transfer card or have you applied elsewhere for such a card and transferred the MBNA balance to it?
Assuming the latter, you will have to check the minimum payment amount with the card issuer.
Using the card will not affect the 0% rate on the balance transfer but with the vast majority of cards you will be charged interest on the purchases unless you also have a 0% purchases offer.
It will be from an MBNA card with a 29% interest rate to a new MBNA 0% interest card with 20 months purchases and 30 months balance transfers0 -
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You can’t transfer mbna to another mbna card. Why did you think you could?0
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Your minimum payment will be shown by the bank on your statement or online banking. Or you could read the terms and conditions of the new card you moved it to (you don't say which firm runs it?)
If you use the card as well as having a BT on there, they have to apply the funds to the most pressing payment i.e. the new spending which will incur interest so the money won't pay off the balance.
Given you have run up that much debt (no idea if it's affordable for you but seems like running up that much on a sub-prime card you probably aren't minted) then I'd be paying £238 a month to clear that balance after 30 months unless you are confident you an get a new BT card at the end to shift whatever debt you have left onto
We've not had a statement yet hence me being curious, I was planning on sticking to £300 a month to clear it quicker, its actually my husbands card which he's had for about 12 years (I dread to think how much interest he's paid) and as long as I've known him he's just used it and pay it off then used it for something else and its back up to £7140 at this time, Its only recently ive actually taken notice and see how high the interest rate is and done something about it.0
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