I dont understand my Credit Card - 6 months interest free

M

momomo

Registered User
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Hi All
My new credit card statement just closed off, and it says total due and minimum payment due. These figures are both the same. So even though my card is interest free for 6 months, do I stil have to pay the bill off in total?
When I set the credit card up, I set it up as paying 100% minimum charge. Should I have set this up as 5% minimum charge?

Thanks in advance
momomo
 
Are all purchases interest free, or were balance transfers interest free?

What does the bill look like. i.e.

Total purchases €100
Total due €5
Minimum due €5

What card do you have?

I'm not sure, but you may still have to make the minimum payment even though your purchases are interest free.

It will depend on the ts and cs of the card in question.
 
I didnt balance transfer so it was the 6 months purchase interest free option.
I have BOI mastercard.

The minimum payment is the full amount, so I dont see how thats interest free?
 
If there's no interest added on the statement, then it's interest free. This sounds like the account was somehow set up wrongly. Contact them and see what's the minimum you can pay.
 
momomo said:
... do I stil have to pay the bill off in total? When I set the credit card up, I set it up as paying 100% minimum charge.
Click to expand...

I take it you set up direct debit with this CC to pay the bill in full....so interest free or not is not relevant as you opted to pay the bill in full , i.e not used credit facility.
Call the bank if you want to change that, simple form to fill in..


liteweight said:
If there's no interest added on the statement, then it's interest free.
Click to expand...

Not necessarily..... Interests appear on the bill for the following period

1 - receive the bill
2- 28-day or so to pay it
3 - say you only pay min
4- next statement would show interest due if applicable..

So, the first statement never shows any interest (unless the card has been used to withdraw cash as interest kicks in at time of getting the cash if balance goes below 0).

At least, that's my understanding of how it works....
 
The answer to your dilemma is that you set the account up to pay 100% as the minimum charge. You should have set it up to 5%. Ring them, explain and they'll probably change it.
 
I just rang them there and they said the full amount will be coming out as I set up a direct debit for 100% (doh!). Have changed the direct debit to 5% for the next one. Dont want to sound thick, but the form never really explained that.
ah well thanks lightweight, bacchus and ccovich for your help
 
momomo said:
I just rang them there and they said the full amount will be coming out as I set up a direct debit for 100% (doh!).
Click to expand...

That's the best thing you may have even done.... no risk to accumulate debts..

Until recently, out of habit, I have always used my CC instead of Laser as the institution i used to bank with was charging fees on laser transactions but not on CC transactions (i had 100% DD setup up so no worries)
So laser usage was restricted to get cash.
So to me a CC is an international recognised Laser card (Laser can be used at CIRRUS cash machine abroad but i have never managed to pay a bill while abroad with it :( )
 
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