0% Balance Credit Card Transfer Tip
Author: J Strawfram
Posted: Mon Jul 05, 2004 9:20 pm
Post subject: 0% Balance Credit Card Transfer Tip
/30/2002 2:04 pm CDT
I have received a ton of 0% balance transfer offers in the mail. Some of these offer no payments for 12 months.
Is there any downside to transferring a balance to these cards or rotating a balance several times?
I could pay off my balances with cash if I wanted to (I am saving to buy a home so I won't), but with 12 months no interest - why would I want to pay them off?
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: J Strawfram
Posted: Mon Jul 05, 2004 9:20 pm
Post subject: 0% Balance Credit Card Transfer Tip
3/30/2002 2:12 pm CDT
~Some of these offer no payments for 12 months.~~
I meant to say they offer no interest charges for 12 months. I pay the mimimum payment each month.
Author: Ira Stoller
Posted: Mon Jul 05, 2004 9:21 pm
Post subject: 0% Balance Credit Card Transfer Tip
3/30/2002 5:47 pm CDT
A few years ago there was absolutely no downside and you could do as I did and continually transfer funds from card to card to card. However, the banks have gotten smart and if you read the fine print you will see that they charge a 3% balance transfer fee every time you do a balance transfer. Most of the banks cap it at $50.00, but you have to decide if spreading payments over 12 months is worth the $50.00. Will it really save you more than that in finance charges.
Author: J Strawfram
Posted: Mon Jul 05, 2004 9:21 pm
Post subject: 0% Balance Credit Card Transfer Tip
3/31/2002 1:23 pm CDT
Many cards have no transfer fee.
Out of curiousity...I am assuming the cards are willing to make 0% offers because:
1) in the hope that you will use their credit card for other purchases in addition to the transfer
2) that you will not pay off the balance in 12 mos (or whatever the term is) and then you are forced to pay interest.
anything else?
Why would I not take a $10,000 cash advance, transfer that balance to a 0% promo and then stick the money in a 12 month CD....
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Posted: Mon Jul 05, 2004 9:20 pm
Post subject: 0% Balance Credit Card Transfer Tip
/30/2002 2:04 pm CDT
I have received a ton of 0% balance transfer offers in the mail. Some of these offer no payments for 12 months.
Is there any downside to transferring a balance to these cards or rotating a balance several times?
I could pay off my balances with cash if I wanted to (I am saving to buy a home so I won't), but with 12 months no interest - why would I want to pay them off?
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: J Strawfram
Posted: Mon Jul 05, 2004 9:20 pm
Post subject: 0% Balance Credit Card Transfer Tip
3/30/2002 2:12 pm CDT
~Some of these offer no payments for 12 months.~~
I meant to say they offer no interest charges for 12 months. I pay the mimimum payment each month.
Author: Ira Stoller
Posted: Mon Jul 05, 2004 9:21 pm
Post subject: 0% Balance Credit Card Transfer Tip
3/30/2002 5:47 pm CDT
A few years ago there was absolutely no downside and you could do as I did and continually transfer funds from card to card to card. However, the banks have gotten smart and if you read the fine print you will see that they charge a 3% balance transfer fee every time you do a balance transfer. Most of the banks cap it at $50.00, but you have to decide if spreading payments over 12 months is worth the $50.00. Will it really save you more than that in finance charges.
Author: J Strawfram
Posted: Mon Jul 05, 2004 9:21 pm
Post subject: 0% Balance Credit Card Transfer Tip
3/31/2002 1:23 pm CDT
Many cards have no transfer fee.
Out of curiousity...I am assuming the cards are willing to make 0% offers because:
1) in the hope that you will use their credit card for other purchases in addition to the transfer
2) that you will not pay off the balance in 12 mos (or whatever the term is) and then you are forced to pay interest.
anything else?
Why would I not take a $10,000 cash advance, transfer that balance to a 0% promo and then stick the money in a 12 month CD....
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
posted by CardRatings.com at 1:33 PM
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