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  • FIRST POST
    • jonjon123
    • By jonjon123 9th May 18, 12:04 PM
    • 44Posts
    • 1Thanks
    jonjon123
    Credit card cash interest advice please
    • #1
    • 9th May 18, 12:04 PM
    Credit card cash interest advice please 9th May 18 at 12:04 PM
    Hi all, hope you are well.

    I just wanted to ask some advice please, as recently taken out a credit card with 12 months 0% interest in purchases and 19.9% interest in cash withdrawals......

    I know I shouldn't do it, but ive taken out approximately 1000 in cash over a 3 month period, so was thinking when I got paid, to pay off say 1000 of the balance.

    What i need to ask is, if i do this will this flush out all of my cash interest in one go?

    Ive been informed that because i have 0% in purchases then any money i pay towards my balance will always go on the highest rate of APR first (i.e cash withdrawals) so firstly is this true?

    I was thinking of paying off a huge balance with my wages and then surviving that month using my credit card and that way i would get rid of all of my cash interest and not pick up any interest.

    Can i ask does this work and is this the right way to do it?

    Never done it this way before, so kind of doubting myself for some reason, so just wanted some advice really. Thank you.
Page 1
    • zx81
    • By zx81 9th May 18, 12:14 PM
    • 17,656 Posts
    • 18,795 Thanks
    zx81
    • #2
    • 9th May 18, 12:14 PM
    • #2
    • 9th May 18, 12:14 PM
    It will pay off the highest rate statemented balance.
    • PeacefulWaters
    • By PeacefulWaters 9th May 18, 12:18 PM
    • 8,318 Posts
    • 10,664 Thanks
    PeacefulWaters
    • #3
    • 9th May 18, 12:18 PM
    • #3
    • 9th May 18, 12:18 PM
    How not to use a 0% purchases card.
    • jonjon123
    • By jonjon123 9th May 18, 12:35 PM
    • 44 Posts
    • 1 Thanks
    jonjon123
    • #4
    • 9th May 18, 12:35 PM
    • #4
    • 9th May 18, 12:35 PM
    Very helpful, thanks.

    Think i already stated that didnt i?
    • Gary_Dexter
    • By Gary_Dexter 9th May 18, 12:58 PM
    • 1,462 Posts
    • 837 Thanks
    Gary_Dexter
    • #5
    • 9th May 18, 12:58 PM
    • #5
    • 9th May 18, 12:58 PM
    How not to use a 0% purchases card.
    Originally posted by PeacefulWaters
    How not to use any credit card...
    • PeacefulWaters
    • By PeacefulWaters 9th May 18, 1:31 PM
    • 8,318 Posts
    • 10,664 Thanks
    PeacefulWaters
    • #6
    • 9th May 18, 1:31 PM
    • #6
    • 9th May 18, 1:31 PM
    Very helpful, thanks.

    Think i already stated that didnt i?
    Originally posted by jonjon123
    You did.

    But I felt a one liner warning to others was in order.
    • MallyGirl
    • By MallyGirl 9th May 18, 3:55 PM
    • 2,808 Posts
    • 7,817 Thanks
    MallyGirl
    • #7
    • 9th May 18, 3:55 PM
    • #7
    • 9th May 18, 3:55 PM
    Hi all, hope you are well.

    I just wanted to ask some advice please, as recently taken out a credit card with 12 months 0% interest in purchases and 19.9% interest in cash withdrawals......

    I know I shouldn't do it, but ive taken out approximately 1000 in cash over a 3 month period, so was thinking when I got paid, to pay off say 1000 of the balance.

    What i need to ask is, if i do this will this flush out all of my cash interest in one go?
    Originally posted by jonjon123
    You need to pay off the 1000 you withdrew plus all the interest that has accrued, and then next month there will be a little bit more trailing interest that will also need paying off. Then you need to not do this again!
    • jonjon123
    • By jonjon123 11th May 18, 12:56 PM
    • 44 Posts
    • 1 Thanks
    jonjon123
    • #8
    • 11th May 18, 12:56 PM
    • #8
    • 11th May 18, 12:56 PM
    You need to pay off the 1000 you withdrew plus all the interest that has accrued, and then next month there will be a little bit more trailing interest that will also need paying off. Then you need to not do this again!
    Originally posted by MallyGirl
    Ok, so basically pay off all the cash i have withdrawn and then I have to do it again next month? Correct?

    Will that then flush out literally EVERYTHING I have built up? Regardless of whether I did it all in same month or previous months?
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