I have a 0% interest deal on a credit card balance, which will be paid off in full by the end of the interest free period in December.
I just purchased something on Groupon for £14.95, and without thinking/paying much attention I clicked on 'buy' and as it went through, I noticed the card number was not my debit card. It was that split second realisation that while I recognised the saved credit card number, it was not my normal bank account! I haven't used Groupon for quite a long time, and obviously used my CC last time I did. Which I can't remember what for as normally I pay by Paypal, and because I no longer use that card, for day to day purchases, only my bank account, I didn't pay attention.
So, my question now is, how much will that cost me in interest? The interest on normal purchases is very high on the CC (29%) which is not normally a problem as we have never paid interest on it!
I think when you pay off each month your payment goes to the highest interest thing first so as long as you pay extra and cover it the interest charge will be very small for this month and then back to 0%
Interest will only be due on the £14.95 if you don't pay it off in full. I'mm pretty sure it will only be around 14.95 x 0.29/12 per month - so not much really. You should be ok to pay it off when the statement cones in as most cards now pay off the highest interest 1st.
thebreeze I think I need to go read the terms and conditions again, as I was pretty sure the zero balance was paid off first (on purpose so that they get max interest on any other payments!) If it pays the highest balance off first, I will just pay it all now as it was meant to come out of my bank account so the money is available to pay the £14.95 straight off. Or should I wait until my next statement? not til next month now. I always pay off significantly more than the minimum payment (use it like an interest free loan).
paid. will that be a day's interest, or will it be no interest because I paid it straight away before the next statement? Not that it matters, as I paid £16 in, but probably useful to know these things