markpm

Hi all,

Thinking about getting a CC, but I know **** all about them as Ive managed to survive without one for 32yrs so far!!
Dont really want to get into huge debt or anything and prob wont use it much, but Im thinking it may be handy for Scoob services and stuff like, wheels, backbox etc
So I have a few questions...

Would I be best getting one from my bank?
Are you guaranteed a good deal if you bank with the same company?
What sorta interest would I be looking at paying, and is it fixed or does it jump up and down all the time
How does payment actually work?
Are they worth having or am I nuts, and bound to get into large debt?

Any thoughts appreciated...

Phil

Tesco's are doing Interest Free on Purchases and Balance transfers until june 2003

Then I think 18.9% after that

phil

ChrisB

http://moneycentral.moneyextra.com/v...re/creditcards might be helpful.

You only get into debt if you're too weak too stop yourself using it (IMO)...

Apple

Sounds a bit like me - managed to get into 30's without but then watch it as it's so easy to use (unless you're loaded )

If you haven't had a cc before it's unlikely you'll want an interest free balance transfer and if you're trying to pay it off every month without getting into the debt side of things, go for something with a low APR just in case.

I've got a capital one card with something like 11 or 12% APR all the time rate rather than 6 months @ 0% then 18%+ APR onwards (at a guess they make it cheap to lure/hook you then make their money back knowing you keep a certain amount of debt going )

Things might have changed so have a look at the link above and see what deals are about...

Apple

PeteT

Get a Halifax one, they give you 1% cash back on all your purchases. It doesn't sound a lot but if you add it up over a year it mounts up. I don't know how competitive they are with interest charges and stuff 'cos I pay mine off every month.

MattN

Barclaycard are the best.

Credit cards are a useful tool, for example I've just been quoted £1000 for some plumbing work, it's essential and I don't have 1k in the bank so I'd be stuffed without one (although I do actually have 7!!)

south-star

I've just opened a Nationwide one...no interest on balance transfers or purchases for 6 months.
If you intend to pay off every month then just go to your local bank.I dont think there's much between them.

south-star

A credit card allows you to borrow money for up to 7 weeks without any charges or interest.Every month you will get your bill and if you pay it off in full you will pay no interest.If you only pay off a certain amount the remainder is carried forward to the next month and interest is charged.
If you spend your £500 then pay it off when your bill comes,no charge...only the £500.

As for balance transfers,forget about them for the time being.

APR is interes yes.

Gold ,Platinum.forget about that too.

If you want one i'd advise going to your local bank.If you intend to pay it off each month dont worry about the interest rate.

markpm

Ok thanks South!
Its a little clearer but not much...

So, I'd get a bill about every 7 weeks then would I?

Oh dear, I think I'd better do some reading and or go and see my bank...

south-star

Mark....i think your best bet is to visit your local bank.Its pretty straightforward to be honest, and like i said,interest rates only matter if you intend to run up a debt.

markpm

Ok, Thanks for trying anyway!

<goes off to scratch head in corner!>

markpm

Oh dear,
Ok Im confused!
You'll have to explain in dummy terms here...!
I dont understand the money world at all, Im a nerdy computer engineer that plays with screwdrivers every day FFS!
What the **** are balance transfers??
And how does 'paying off each month' work?
If for example I bought something for £500 at the start of the month, do I then have to pay off the 500 plus whatever the interest is at the end of the month??
Does APR = Interest?
And how do I actually go about getting one?

And the first question on that link stumped me!
'What type of card are you looking for - Standard, Gold Platinum etc'
I dont know

Sorry, but I did say I know NOTHING about them or how they work!!

[Edited by markpm - 1/5/2003 6:36:09 PM]

south-star

You get a bill every month.Then you have about 2/3 weeks to make a payment.
That means,in theory you could borrow for a max of seven weeks.

[Edited by south-star - 1/5/2003 7:12:15 PM]