Credit card help please, we usually pay it off what happens when don't

[Credicardconfusion]

So we normally pay it off each month but I need to put 400 on there for about 4 or 5 months.

IT'S A tesco mastercard one, silly question but what interest would I pay on 400 or 600 pounds please.

Entirely depends on what the interest rate of your card is

It depends on your interest rate

It says 24 9 Apr representative

Look at your statement your rate of interest wilk be on there. You must pay a minimum amount which wilk be stated on your statement

Find a zero percent card and swap your balance. There are plenty around. Might not be worth it for 400 though.

If your rate is 24.9% the interest on £600 is around £12.45 per month. You 2ill need to pay a minimum amount every month.

Your statement should also say an estimated amount of interest you will be charged for the next month..assuming minimum payment only

This is how you work it out.

£400 x 30 days = 12000 (debit interest products) x 24.9% divided by 365 = £8.18

That's what you'll pay at the end of the month. That is added to the balance though, and then your minimum payment will be deducted, so the next month the balance won't be £400 anymore.

I'd account for £60 total interest over the 6 months.

I used to have to work out interest manually in the 1980's, working for a bank.

I just typed out my calculations but I see someone else has wildly different numbers do go with that. Mine come from Google.

I make it £12.28 😂

My dh has statement on line and panics about paying it. We have always paid it and I'd like the info to encourage him to pay for this as a one off for a while. In that time it will be getting paid off slowly

Ball park figures on 600 are around 13 pounds mark?

Is klarna an option? I bought something recently for about 400 and paid it off with them interest free

Not sure, flights for next year are on there and I want theatre tickets

This kind of thing really, really needs to be taught in school. And taught well, not just a half hour lesson in Y11.

You have a high interest rate so if you have savings you're probably better paying it off. You could get an interest free credit card and move it the debt, but then it becomes very tempting to leave it and think of it as 'free money'.

I think people are saying £13 pm not in total (CBA to work out if this is accurate or not).

You can get 0% spending cards that let you pay for things and pay it off over a stated period without interest or charges so it would probably be worth applying for one of those although check when the qualifying period is because sometimes it's something like 12 months interest free on all purchases made within the first 3 months.

There's all sorts they could teach in schools.

How credit cards work

Mobile phone contracts - which is best - paying £800 for a phone and £7 pm for a SIM only contract or a 'free' phone and a £45 pm contract for 24 months.

How student loans work

How much it costs if you spend £10 a day on lunch and coffee over 1/5/10 years.

Are theatre tickets worth getting into more debt for you? Do you have savings you could use instead, this would be cheaper then paying the high interest. If no savings then really don’t put more on your credit card.

Dh said to move it to a 0 % it wouid cost 3%?

Dh really ott panics about money and we pay off cc each month.

We are not in debt and I don't need advise on money management.

I'm ignorant about this because I manage my money 😂🤑.

But I need to borrow this for a few months and don't know the best way to do that if I ask dh he will immediately panic and tell me it's not possible so I want to say it is
... It will cost abc

PayPal credit offers 0% interest over 4 months on every purchase £99 or more.

Dh said to move it to a 0 % it wouid cost 3%

That's if you do a balance transfer and choose a card with a charge of 3%, they're not all that high. You can get them without any fee at all.

If you haven't made the purchase yet, you can use a 0% money purchase card - if you've already made the purchase and as you're only talking about a relatively small amount of money, you can also use this sort of card in a roundabout way by using the card to pay for the equivalent amount of your normal spending (eg groceries, petrol) on the 0% card, and then paying off the other card with the money you would have spent on these things, so you get your purchase amount on the offer card that way.

Have a look at:

https://www.moneysavingexpert.com/credit-cards/best-0-credit-cards/

Best to do your own research on this sort of thing rather than listen to your panicking OTT DH determined to put the brakes on the idea.

But just checking, you're not talking about leaving some balance on your existing credit card and then continuing to use it for other things are you? Don't do that because you end up paying interest on a lot more, because you lose the interest free period on all your spending, not just the amount you're not paying off. If you want to borrow this money, you need a card that's separate from your main spending card.

@Bjorkdidit thank you so you think I need to open a new cc

Why don't you call your credit card company and ask them?

@Bjorkdidit at the moment there is about 400 on it and I want to add another 200

You could apply for this card.

https://www.barclaycard.co.uk/personal/credit-cards/platinum-no-fee-bt

You'd be able to transfer the balance and pay it off interest and fee free over 12 months, also use it to pay for the theatre tickets and if you pay the £200 off within the first 3 months, that's interest free (if you go over the 3 months, you'll start paying interest, but if you're only slightly over it won't be much, and this balance will get paid off before you start on the balance transfer).