Disney Visa vacation financing

[fitgirl36]

Hello all,

I hope I can word my question without being too confusing. If I use my Visa for the 6 months interest free for a Disney vacation, how does that work when you purchase something else? Currently I cashed in my rewards (I pay my card balance off every month) and now only have the interest free vacation balance on the card. So, if I charge a purchase to the card, will my next payment go towards the interest free vacation purchase first or the purchase which will have interest on it after 30 days? Thanks for any help.

 

[ValpoCory]

Hello all,

I hope I can word my question without being too confusing. If I use my Visa for the 6 months interest free for a Disney vacation, how does that work when you purchase something else? Currently I cashed in my rewards (I pay my card balance off every month) and now only have the interest free vacation balance on the card. So, if I charge a purchase to the card, will my next payment go towards the interest free vacation purchase first or the purchase which will have interest on it after 30 days? Thanks for any help.

Congress changed this a couple years ago, requiring any money above the minimum payment be applied to the highest interest pool of money. So if you have $3K interest fee, charged $500 in new charges, and have a $150 minimum payment, you would have to pay $650 to cover the new charges and avoid all interest charges.

 

[bedogged]

Hello all,

I hope I can word my question without being too confusing. If I use my Visa for the 6 months interest free for a Disney vacation, how does that work when you purchase something else? Currently I cashed in my rewards (I pay my card balance off every month) and now only have the interest free vacation balance on the card. So, if I charge a purchase to the card, will my next payment go towards the interest free vacation purchase first or the purchase which will have interest on it after 30 days? Thanks for any help.

As long as you pay off any ADDITIONAL charges monthly, you will not accrue interest on the account for the promotional period of six months.

 

[Marionnette]

Congress changed this a couple years ago, requiring any money above the minimum payment be applied to the highest interest pool of money. So if you have $3K interest fee, charged $500 in new charges, and have a $150 minimum payment, you would have to pay $650 to cover the new charges and avoid all interest charges.

Just be careful, because your promotional rate may end in the middle of your billing cycle. If that's the case, you will be charged the usual APR from that date until you pay it off. So, you really don't get a full 6 billing cycles at 0% interest. You get 6 months.

Another thing that you need to be aware of is that any additional funds, above whatever your new charges were, will be applied to the promotional balance. This can be a problem for people who like to make mid-cycle payments in order to avoid a large bill. Those mid-cycle payments will be applied to the promotional rate if you have already paid off any charges that appeared on your statement. It will not be applied to any new charges. You have to wait until the next statement is generated to pay anything on those new charges.

 

[fitgirl36]

Thanks everyone for the insightful answers!