Fairer promotional credit card charges


#1

#2

This is also interesting on the other side of the coin…

http://www.travelweekly.co.uk/articles/308475/regulator-to-review-card-acquirer-costs


#3

Confused by this, I thought legislation was introduced a few years ago so that any payments to a credit card would have to pay off the part of the balance with the highest interest rate first.


#4

That is true, what they are saying here is that if you have a balance transfer deal on your card, then you don’t get the “up to 56 days interest free period on any new purchases” because you have an unpaid balance, so interest is added to your purchase immediately until you pay it off. Most card issuers stopped doing this ages ago. Really have to trawl through T&C’s of credit cards to see how they charge interest


#5

Unfortunately, it is meant to confuse all of us, in my opinion. Instead of providing reasonanble charges to customers, credit card companies come up with even more complicated rules in a hope to get people into paying more. Yes, it is 0% but it is only just the begining of a long list of other conditions that need to met to avoid being charged.

I prefer transactions/withdrawals/transfers fees being transparent, simple and shown to users before they execute them. They don’t always have to be complete free. I am happy to pay fees if they seem reasonable and rationale behind them is explained. I know it is a completly different area, but to give an example, Transferwise is doing just that.


#6

Interesting. This is good news for those that have only one card remaining after they’ve transferred their balance to it. As they can still make purchases at zero percent interest and maintain their existing 0% deal.
Currently, if I transfer a balance to a card, that card is never used for purchases. Its not used for anything until the balance is paid off. It’s easier to manage that way and avoid invalidating the 0% deal.