0% on balance transfers - 6 months - how does it work

[Nordkapp]

I switched credit card to KBC from Tesco bank. There was a €3K balance transfer but I normally pay out in full each month and did that for the first KBC bill.

If I have a bill for 3,400 going forward each month for the next 5 months and pay 400 off each month does the balance owed attract any interest?

As my bank is closed due to weather I am hoping Red Onion or someone more enlightened than I can answer this question?

Many thanks

 

[RedOnion]

I'm afraid Credit Cards aren't my area - they're a bit of a dark art when it comes to how interest is charged.
I would imagine once you've reduced your balance to zero then you've effectively lost the 0% aspect, but that's just guessing.

 

[Nordkapp]

All I see on my account is the 0% available for 6 months with no conditions attaching.

 

[Andrew Murphy]

I would imagine once you've reduced your balance to zero then you've effectively lost the 0% aspect, but that's just guessing.

RedOnion would appear to be right. Read KBC T&C's kbc.ie/KBC/media/Online-PDFs/terms-and-conditions.pdf

91.3 A reduced interest rate shall be applicable to the Agreed Transfer Balance Amount for a specified period...

The reduced interest rate is available specifically on the balance transfer amount only (whilst that balance remains outstanding). Any subsequent card purchases will accrue interest depending on whether you settle those new purchases in full or not, as per term 97.2

97.2 If you discharge the entire balance payable (including balances outstanding from previous statements) on your Credit
Card Account by the due date specified in your monthly statement we will not apply interest (other than interest on cash
advanced as set out in Clause 93.4 above) to your Credit Card Account in respect of the outstanding balances detailed in
that monthly statement. If the entire balance is not discharged by the payment date specified in your monthly statements
we will apply interest to your Credit Card Account in respect of the outstanding balances from the transaction date up
to the date of repayment at the then applicable interest rate. All purchases, cash advances, fees, charges, Government
Stamp Duty and any other amounts debited to the Account are eligible for interest calculation purposes.

So if the amount you settled in the first month included the balance transfer (i.e. the transfer wasn't delayed to your second bill) then I'd say you lost the benefit to the 0% the moment you settled.

 

[Nordkapp]

Cheers Andrew