Credit Card Costs

[annieigma]

hi all,
trying to get the answer to this from google , but failed. If i buy a car with a credit card £1500, what would be the minimum monthly payment, for a santander card? If i drew out £1500 cash, what would the payment then be? I know all about loans are cheaper etc. but this is a short term thing until existing car is sold and other car will not wait until i have the cash, so i am going in feet first. just need to know what the repayment is likely to be please.
thanks,
annie.

[ubasses]

Santander have more than 1 credit card but if you have the basic card you will pay 18.9% on any purchases but 29.9% on cash withdrawals.

[fiction-factory]

The minimum poaymen is usually around 5% of the outstanding balance but if you look on one of your statements or on their website you should find the exact answer

[Buenchico]

Quote (re the minimum payment):
"All default fees, annual fee (if applicable), payment protection insurance premiums, and interest plus 1% of the remaining balance shown on your statement, plus any arrears payable (subject to a minimum of £5)"

Source:
http://www.santander.co.uk/csdlvlr/ContentServer?c=SANDocument_C&pagename=WCSUKPublicaLte%2FSANDocument_C%2FSANDocumentPreview&cid=1324580957647

Taking out £1500 in cash will cost you a 3% fee (£45), so you'll owe £1545 (assuming that you're starting from a zero balance).

So your first monthly minimum payment would be £15.45, leaving you owing £1529.55.

You'd then be charged 2.207% interest per month on the remaining balance, so your balance would actually rise to £1563.31 for the next month, requiring a minimum payment of £15.63.

. . . and so on!

[Buenchico]

5%, Fiction-Factory?

I've never come across any card that requires more than 2% of the balance (subject to a minimum of either £5 or £10) as the minimum monthly payment!

[hc4361]

And remember the interest on cash withdrawals starts immediately, unlike purchases.

[fiction-factory]

You're probably right Buenchico- I have never looke dtoo closely as I always repay in full (unless it's a 0% balance transfer where I just ensure I pay it off by fixed DD payments over the interest free period), but whether it's 2% or 5% it's a fairly small amount

[Buenchico]

^^^If that's always the case, Hc436, (which I have to admit that I'd forgotten about) then my figures above won't be entirely accurate. However they're still indicative of what Annieigma would have to pay.

[Buenchico]

^^^Actually, F-F, I now seem to recall that I did have (quite a while ago) a card that wanted a minimum of 5% per month, so I apologise for doubting you!

(The 1% figure for Santander's standard credit card remains correct).