Interest free credit cards

2012paddy2012

I have a couple grand on credit card at mo. Thinking I might change to one of these advertised free interest for 6/8 months.

Is it the case say I switched with current balance of 2000.... I have the 6 or 8 months to pay txt 2000 off without interest? In the meantime with the odd time I use it would does transactions be kinda dealt with separately within the card or how does it work?

Like on line access to keep an eye and anyone recommend present deals

Thks

Paddy

slimjimmc

Moved to Banking

2012paddy2012

Cheers jim

Nervous Wreck

2012paddy2012 wrote: »

I have a couple grand on credit card at mo. Thinking I might change to one of these advertised free interest for 6/8 months.

Is it the case say I switched with current balance of 2000.... I have the 6 or 8 months to pay txt 2000 off without interest? In the meantime with the odd time I use it would does transactions be kinda dealt with separately within the card or how does it work?

Like on line access to keep an eye and anyone recommend present deals

Thks

Paddy

The way it works is you don't pay interest on the amount of the balance transfer for the agreed time, no matter what. However, and it's a big however, you do pay interest on any further transactions you make. This is important to be clear on because payments that you make to your Credit Card are applied against the oldest transaction first and, in this case, the oldest transaction will be the 2k that you transfer from your existing card. So, until you clear the amount of the balance transfer, you will continue to accrue interest on all subsequent transactions.

For example:

Balance transfer = €2000
Subsequent transactions = €100

You don't pay interest on the €2000 but you do pay interest on the €100 and will continue to do so until you have paid €2100 off your card.

2012paddy2012

Oh gee Thks .. Really you can't use the card at all if you want to use it as a vehicle to pay off money interst free sems a bit of a gimmick so.
If I have you correct , if I got the card tomorrow with my 2000 balance on it and I did say 50 food shop Monday morning I will pay interest on the 2050 until paid off in full. That's a bit of bummer ...delighted for that info , Thks nervous.

smcgiff

2012paddy2012 wrote: »

If I have you correct

You don't. Read their post again.

2012paddy2012

Oh ya pay interest on the 50 till the2k paid off v. Good mod