ppl with a credit card and has used it..

[Fritz]

Never used a credit card before...

I wanna spend $3000 using my card http://www.aussiecreditcard.com.au/. APPROX how much would I have to pay back per month ??? Cos i have not the slightest clue...

[cdejonge]

You pay back $3000 if you pay it on time ...

[Fritz]

deffinatly wont be within 55 days.

[cdejonge]

Then you shouldn't have got a credit card :p If you don't play to pay back on time, and with that amount, you'll be paying a bit of interest. If you tell me the interest rate, I can work it out for you.

[-George-]

Credit cards are a bad idea full stop IMO.. :p

[Colezy]

Yeah, I plan to not go near one for a long time! :p
Fritz, hopefully you can sort everything out and not have to pay a shitload of interest!

[Fritz]

its cheaper than me getting a personal loan. lol I'm expecting to pay interest

my cards interest is 10.24 % p.a


i havent seen a personal loan under 12 %

[cdejonge]

There should be some sort of loan around which is lower than credit card interest ...

I've never paid a cent interest on my credit card :p

Anyway, I'll work out that interest for you in second.

[Fritz]

thank you :)

I just need to know an approx minimum figure i'd be looking at repaying per month

[cdejonge]

my cards interest is 10.24 % p.aI still think you should avoid it or borrow off somebody and pay them back less interest. But I'm a tightarse so what would I know :p

Okay, annual interest is 10.24%

10.24% of $3000 = $307.20

Each month, you'll owe $25.60 interest (plus the $3000). So in first month, $3025.60.

I'm pretty sure that's right. Of course, if you don't pay it all back each month, it'll keep getting higher and higher. You'll have to pay at least the $25.60 to avoid that happening. Then if you buy more stuff on the card, it gets worse.

Hope you've got a rewards scheme with this and not paying too many fees :p I still can't stress enough not to get a credit card if you can't afford to pay it back.

*shrugs* Hope that helped!

[Fritz]

Ok cool thanks for that !!

Ok basically......................................

If I pay back $250 a month, never use my card with anything else, i'll be fine yeah ???? lol

[cdejonge]

I don't think it's that simple ... because you'd have to pay it back eventually. If you can't afford to pay it back eventually don't do it ... haha

You'll have to pay more than the interest off each month, to pay the original $3000 off.

[Fritz]

Oh yeah I understand that.

I can comfortably pay back $250 (two hundred and fifty dollars) a month (not to get confused with the $25 or so interest a month).

So if I kept that up (paying $250 on my card a month) i'd be fine ?? I wouldnt use my card again until its all paid off

[cdejonge]

Sounds okay. Just get some more advice and/or wait for replies from others here. I've never paid interest so don't want you getting into serious debt because of me!

[Fritz]

i know that way i'd technically be paying like $225ish a month off the initial $3000. With the other $25ish of the $250 going straight to interest

But yeah thats all well and good yeah ??? Sounds safe if I'm definatly able to pay at least $250 a month ???
Like seriously... january for example i'd be able to pay $1000 of it off in that month (life of a musician)

[cdejonge]

Should be right. Just keep in mind, the amount you haven't paid off will be gaining interest on it while it's not paid off.

[Fritz]

So overtime as i pay more and more of the 3k off, the interest ammount (not the percentage 10.24%) will get lower and lower ???

Example.... If I have $1000 left to pay back, my monthly interest wont still be $25 ??? or will it ???

[Strider]

Police & NUrses (Dunno if they're only WA) www.pncs.com.au. They have the cheapest credit card I know of. There's no bullshit points or anything, just a really low rate of 9.99%. Personally I think you shouldn't get a credit card. Save up the money cash, it's a lot better. There's also a standard fee that applies to most credit cards upon starting (usually around $35ish)

Remember also that interest on a credit card is compounding. So for every month you leave the money hanging it's just going to compound on top of itself. If you REALLY need to use your credit card why don't you work it out so you can cover yourself after 45 days. Save up the necessary amount, and then the amount you can pay back in 45 days borrow that amount only.

You really have no idea how much of a burden having a credit card is until you're stuck having to pay it off. Although "Buy now" seems really appealing to most people you get much more satisfaction if you save the money yourself. Works out a lot cheaper as well. Plus if you put that money away in a savings account you'll be able to gain interest on it (hence buying the desired object even quicker)

[cdejonge]

Well said Strider. Also, with that percentage Fritz, it may only be for first year if it's lower than most others. Then it might go up. Just check on that.