General Forum

Re: Bang & Olufsen Virtuoso Card

Peter — Fri, 03 Apr 2009 17:33:40 GMT

My Virtuoso card lets me pay off what I want when I want during the interest free period. Not used it for a while - did make the mistake of actually paying a little too much one time! That really messed it up! They clearly thought I was laundering money (rather than just being incompetent!) I was in credit by about £10 and they stopped accepting it! All sorted now though!

Re: Bang & Olufsen Virtuoso Card

symmes — Fri, 03 Apr 2009 13:26:58 GMT

There are many ways to do the no-charge extended payments, but I assure you the credit company got paid.

My experience in the US with a couple of providers is that the store pays the credit company a sales percentage for the no-payment period. If the buyer completes the transaction according to the original terms and conditions, it is win-win. The customer gets a benefit that the cash customer might have received as a discount, the store might have picked up a sale because of it, and got paid quickly.

If it is not paid off, then the fine print takes over and very high variable interest rates and new terms kick in for the consumer. In Virginia, that can be over 30% annual rate. As noted, the store is no longer in the picture after the initial purchase.

And when the customer uses the special boutique cards with cash back, miles, etc, the store is charged a premium that is often more than the normal transaction percentage. I am sure Best Buy and Wal Mart get a better deal than a small business.

In other words, the credit card company always makes the money. It is the world in which we live......

Re: Bang & Olufsen Virtuoso Card

timhanna — Fri, 03 Apr 2009 10:14:15 GMT

OK,

Lets see what happens! I've asked... :)

Re: Bang & Olufsen Virtuoso Card

moxxey — Fri, 03 Apr 2009 10:10:55 GMT

timhanna:

But cant we over pay on purpose? I.E.

£4000 / 12 = £334 per month?

It's within the credit companies interest to 'encourage' people to get in to the interest zone. They don't want to give everyone free credit!

So, the payments over the interest free period are fairly limited and fixed. You then get a large lump sum at the end that needs paying off in full. If you can't or don't pay this off in full, you enter the interest period.

They may have changed the system so you can overpay during the interest-free period. It's worth checking with your dealer?

Re: Bang & Olufsen Virtuoso Card

timhanna — Fri, 03 Apr 2009 09:05:59 GMT

Ahh I see!

I did that for the BV7-40. I paid a big deposit upfront and then smaller monthly payments. I assumed that the store card was the same deal, etc etc.

But cant we over pay on purpose? I.E.

£4000 / 12 = £334 per month?

Re: Bang & Olufsen Virtuoso Card

moxxey — Fri, 03 Apr 2009 09:02:39 GMT

timhanna:

Moxxey, I like interest free payments because if they can be sorted by direct debit, they limit me buying stuff.

Yeah, but the amount you pay back during this period is limited. The key part is the lump sum at the end. That can come as a shock. For example, £4000 of credit may leave you with over £3000 to pay at the end. Some people can find it hard to put away enough money to cover that at the end of the period and, quite frankly, within this current period, no-one knows where they'll be, financially, at the end of the interest free part.

Which is why I said it's better to save or even do a deal with your dealer where you can pay a deposit and then pay back over a few months. I did that once with my old dealer, mainly as I had an excellent relationship (not now!) between customer and store.

Re: Bang & Olufsen Virtuoso Card

timhanna — Fri, 03 Apr 2009 08:58:10 GMT

I actually got the reply via email.

Thanks for the feedback guys.

Moxxey, I like interest free payments because if they can be sorted by direct debit, they limit me buying stuff.

I just need to tell myself that i can pick 1 big product per year and when its done, get another one. However, if I have to fork out 9,000£ cash straight, I'd pass...

Re: Bang & Olufsen Virtuoso Card

Medogsfat — Fri, 03 Apr 2009 08:53:52 GMT

moxxey:

I replied to this with my experiences, but the post went to be moderated. Shame really. I don't understand what key words the moderators use to check through posts.

BTW the card can only be used with B&O and your relationship is with the credit provider (HFS, I think) and not with B&O.

I've approved the post in question moxxey. I don't know why it was put into the approval area from reading it but it has nothing to do with any "moderator" as such. The automatic filters are set very sensative on Beoworld and automatically put anything which could be construed as being risky into a holding area awaiting moderator approval. I know this can be a bit of a pain at times but we believe it is worth it to keep any unsavoury posts appearing and on the whole it works extremely well as can be seen by the lack of such material on the fora.

As always apologies are offered for any inconvenience caused.

Chris.

Re: Bang & Olufsen Virtuoso Card

moxxey — Fri, 03 Apr 2009 08:38:00 GMT

I replied to this with my experiences, but the post went to be moderated. Shame really. I don't understand what key words the moderators use to check through posts.

BTW the card can only be used with B&O and your relationship is with the credit provider (HFS, I think) and not with B&O.

Re: Bang & Olufsen Virtuoso Card

timhanna — Fri, 03 Apr 2009 08:11:38 GMT

I can see them trying to catch us out! Personally I would pay it back monthly, direct debit so no 'risk' there.

Is this a 'store card' or credit card, in the sense that can I only use it in B&O stores?

Re: Bang & Olufsen Virtuoso Card

RayTheWash — Fri, 03 Apr 2009 07:31:30 GMT

I have had one for over three years now and have used it a lot.

No problems with it but you do have to watch the finance company when the period is almost up, don't rely on them sending the last statement on time! they do try to catch you out

Re: Bang & Olufsen Virtuoso Card

Spiros — Fri, 03 Apr 2009 07:25:29 GMT

Katastrofi sketi. Kai alli pistotiki karta???!!?? Na leipei to visino

Pure disaster. Another credit card? (Greek saying!)

Re: Bang & Olufsen Virtuoso Card

JoC — Fri, 03 Apr 2009 06:38:28 GMT

I never heard of the card, but when I went to buy my BV7-40, the dealer told me about it.

So I paid for half the TV when I signed the order, then the other half a few days before the years interest free credit ran out, which gave me a bit of time to actually save for the TV

I thought it was a good idea at the time, as it did let me pay for the TV I wanted, I aint used it since tho...

Re: Bang & Olufsen Virtuoso Card

timhanna — Fri, 03 Apr 2009 06:27:51 GMT

Ella Spiro,

Consider yourself lucky, because its these cards that helped us chain ourselves in debt.

Apla eivai mia pistotiki kapta ths Barclay's gia thn B&O (Its just a credit card of barclays for B&O).

Re: Bang & Olufsen Virtuoso Card

moxxey — Fri, 03 Apr 2009 06:12:56 GMT

I used the Virtuoso card and I'm not going to use it again. I'm a big believer that you should either save up for what you want or attempt to pay in full.

The problem with anything like the Virtuoso is that you only get the interest free for a period of time and then it reverts to a 29.9% loan (APR may have changed) if you don't manage to pay it off on time or simply forget. It works as follows: you pay off a small amount per month, during the interest free period and then are liable for the 'lump sum' at the end of this period. If you're struggling financially at the time or forget to pay this lump sum, you end up with a 29.9% loan for the remaining amount of money owed.

This happened to me. I was working abroad at the time, was paying it off as planned, but completely forgot that the period of interest free was coming to an end. Missed paying of the 'final lump sum' and ended up on the 29.9% interest rate. However, I quickly paid that off, when I returned to the UK.