BT and Purchases on the same card

Money, investing, mutuals etc

BT and Purchases on the same card

Postby planteria » Mon Aug 20, 2018 3:34 pm

i have been stoozing for years, and consistently use credit cards for all purchases, but i've never done the following before:

i have a c£21k balance with MBNA which needs to be cleared before the 0% deal comes to an end on 1st September. i have already moved just under £5k to Nationwide, and i want to move the remainder rather than pay off the balance.

i have a Barclaycard with a £30k+ limit which I have been using for spending, and generating cashback in the process. In order to use this card to transfer the c£16k i was planning to clear the current Barclaycard balance in full, do the BT, and then leave the card at home - potentially spending on the MBNA card as an Amex backup from then onwards.

However, Barclaycard are assuring me that I don't need to. I can complete the BT and leave the purchase balance on the account, and as long as I clear the purchase balance each month they are assuring me that I will be charged any interest at all. I would change my Barclaycard DD from Full to Minimum, and then make a payment from my current account, by FP, each month to clear the full purchase balance by the due date.

is this right? or should this really be avoided?
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Re: BT and Purchases on the same card

Postby AAAlphaThunder » Mon Aug 20, 2018 4:35 pm

Careful, make sure you get that in writing from Barclaycard. If they don't honour it that's going to cost you more in interest than the earned cashback for several years.
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Re: BT and Purchases on the same card

Postby kevinchess1 » Mon Aug 20, 2018 4:37 pm

I agree with Thunder fog
That’s a highly unusual arrangement
Get it In writing
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Re: BT and Purchases on the same card

Postby planteria » Mon Aug 20, 2018 5:45 pm

thank you both. having clarified further on the phone, i've gone with it.

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Re: BT and Purchases on the same card

Postby Sarah » Mon Aug 20, 2018 6:00 pm

Something missing here... have Barclaycard given you a 0% balance transfer offer? Your post doesn't say so, but that seems to be implied otherwise surely there'd be interest to pay on most of the balance. I presume you'd also need to repay any fee first, unless they agreed 0% for that too.

Thereafter, I think it's just a question about the interest free period for purchases, which according to the Barclaycard T&Cs published 1 February 2016 (first Google result) is much more complicated than it used to be as they've split outstanding debt into lots of different types (main balance, standard balance, cash balance, non-promotional BTs, payment plan balance, promotional balance, etc).

Have a read and make your own mind up - it's sure to be fun. My interpretation (not intended as advice) of the terms effective on the above date is that the standard balance needed to be cleared in full to benefit from an interest free period, which seemed to mean all new purchases, previous purchases, non-promotional BTs and promotional balance... basically everything except the payment plan balance. However, check the latest T&Cs as they'll no doubt have changed so could be more favourable to the situation you describe now. The online Barclaycard help says they'll post your personal T&Cs within 10 days on request if you don't already have a copy.

Oh, you already followed-up whilst I was replying, but nevermind, I'll post this anyway! :lol:

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Re: BT and Purchases on the same card

Postby planteria » Mon Aug 20, 2018 6:44 pm

Sarah wrote:Something missing here... have Barclaycard given you a 0% balance transfer offer? Your post doesn't say so, but that seems to be implied otherwise surely there'd be interest to pay on most of the balance. I presume you'd also need to repay any fee first, unless they agreed 0% for that too.


yes 0% BT deal, inclusive of the fee.

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Re: BT and Purchases on the same card

Postby milo55 » Sat Aug 25, 2018 9:03 pm

did this a few years ago with barclaycard - got stung with interest ( which was refunded after i complained )- they said the 0% balance transfer was null and void as i hadn`t paid of the full balance ( just paid what i had spent that month )and i had small previous balance on the card - so i don`t use any card with a balance transfer on for spending - period .
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Re: BT and Purchases on the same card

Postby planteria » Sun Aug 26, 2018 12:45 am

I never have done until now milo.

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