Too many credit cards? aka "The Credit Card thread"

Got an email from Barclaycard for their usual transfer offers - the 0% cash transfer has a fee of 2.8% but their monthly minimum payment is 1% and is for until July 2016 (18 months).
 
Mysterae_ said:
Got an email from Barclaycard for their usual transfer offers - the 0% cash transfer has a fee of 2.8% but their monthly minimum payment is 1% and is for until July 2016 (18 months).
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The annoying thing with Barclaycard is you can only have once of their cards at a time. And their rewards card is still the best non amex and travel card going...
 
But Barclaycard (and other similar cards) offer guarantee on goods.

In the 80s my mum and dad had a joint credit card. After 6 months he cut the card up and they never wanted another credit card.
 
dlockers said:
Mate that's nuts
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It's been worth it for introductory year 1 bonuses. Within the first year of each:
  • 2x US biz class return flights booked (Virgin companion voucher)
  • 2x biz class Sydney flights one way booked (BA companion voucher)
  • Will get the return Sydney flight sorted out
  • Have enough points banked for another US biz class return x2
  • Plus travel insurance, lounge access and £550 dining credit on the Amex Platinum for year 1.
Going forward though, without the introductory offers I probably won't get enough points to make use of 2x companion vouchers a year. Will probably end up keeping just the Virgin one and pro rata refund back 75% of the £650 Amex Platinum fee.
 
dlockers said:
The annoying thing with Barclaycard is you can only have once of their cards at a time. And their rewards card is still the best non amex and travel card going...
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I agree, and it takes careful management if you are going to make use of a transfer and also use it for day to day purchases. If the 1% minimum doesn't cover all the purchases made then you'll get stung.
 
EvilRob said:
It's been worth it for introductory year 1 bonuses. Within the first year of each:
  • 2x US biz class return flights booked (Virgin companion voucher)
  • 2x biz class Sydney flights one way booked (BA companion voucher)
  • Will get the return Sydney flight sorted out
  • Have enough points banked for another US biz class return x2
  • Plus travel insurance, lounge access and £550 dining credit on the Amex Platinum for year 1.
Going forward though, without the introductory offers I probably won't get enough points to make use of 2x companion vouchers a year. Will probably end up keeping just the Virgin one and pro rata refund back 75% of the £650 Amex Platinum fee.
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Ah tidy. Not just letting them run then :). I am tempted to do the Natwest Premier black for lounge and whatnot. Just can't stomach £26/mo effective rate (you get £10 back for logging into online banking/2 dds).

Mysterae_ said:
I agree, and it takes careful management if you are going to make use of a transfer and also use it for day to day purchases. If the 1% minimum doesn't cover all the purchases made then you'll get stung.
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Interestingly MBNA stung me on this. I had a BT and then used it for purchases - and when I paid minimum plus spending, it didn't apply the payment as you'd expect (purchases attracting like 40% interest, BT attracting none). I can't remember their exact reason but it was some mumbojumbo and they refunded the interest I had accrued but said basically that's how the card works, like it or lump it. I ended up leaving the card totally unused other than for BT; no skin off of my nose. Closed it as soon as the BT was up.
 
dlockers said:
Interestingly MBNA stung me on this. I had a BT and then used it for purchases - and when I paid minimum plus spending, it didn't apply the payment as you'd expect (purchases attracting like 40% interest, BT attracting none). I can't remember their exact reason but it was some mumbojumbo and they refunded the interest I had accrued but said basically that's how the card works, like it or lump it. I ended up leaving the card totally unused other than for BT; no skin off of my nose. Closed it as soon as the BT was up.
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Indeed! I think the law changed to stop credit card companies from doing this shady tactic, any payment must be applied to the higher interest applicable balance now.

However, they thought of a few more to pull - your purchase balance at the statement date must be cleared in it's entirety, even of you are out by a penny they will charge interest on the full lot. You can't buy something at £35 and something else at £150 and opt to pay off only the £150 thinking the interest will be lower on the £35 purchase; as the full £185 wasn't paid back, interest is applied on the full £185.
Also, with Barclaycard lowering their minimum payment to 1% makes it enticing to exploit the cash transfer but also makes it a lot more easier to fall in to this "trap".

I got stung a while back when the other half used her card (same account) right before the statement date which I didn't spot. That £25 purchase cost me about £40 in interest iirc :rolleyes:. A good spreadsheet and monitoring would avoid this, but stopping using the card is much easier! But it's 0.5% cashback.....:D. The cashback did more than cover the interest, but still....
 
Mysterae_ said:
However, they thought of a few more to pull - your purchase balance at the statement date must be cleared in it's entirety, even of you are out by a penny they will charge interest on the full lot. You can't buy something at £35 and something else at £150 and opt to pay off only the £150 thinking the interest will be lower on the £35 purchase; as the full £185 wasn't paid back, interest is applied on the full £185.
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That's rough - never knew that! Try and keep my cards distinctly separate since the MBNA issue.
 
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