Balance transfer Q&A: “Should I do a balance transfer?” If you’re currently paying credit card finance charges each month, a balance transfer is probably a good idea. While it’s not uncommon to pay interest on your credit card balance(s), it’s not a healthy habit. Millions of Americans are essentially throwing money down the drain because… Continue reading Should I Do a Balance Transfer?
While a balance transfer request may come with a temporary credit score ding (does a balance transfer hurt your credit score?), it could actually improve your credit score in the long term. When you apply for new credit, whether it be a standard credit card or a balance transfer credit card, you are deemed a… Continue reading Balance Transfers Can Boost Your Credit Score
Santander Sphere Card Offers Two Years of Zero Interest File this one under aggressive balance transfer offer! Santander Bank is offering a 0% APR balance transfer for 24 months (a full two years) via their new Sphere Card. The card also comes with 0% APR for the first 12 months on purchases. The Sphere Card… Continue reading Balance Transfer with 0% APR for 24 Months!
Consumers looking to execute balance transfers typically look for offers with no fee. But nowadays those usually aren’t the best deals, considering it’s near impossible to find a 0% APR balance transfer with no fee. If the balance transfer doesn’t come with a fee, there’s a very good chance it’ll come with APR above 0%.… Continue reading No Balance Transfer Fee Doesn’t Mean Best Deal
For some reason, certain people out there seem to think it’s okay to make their mortgage payments with a credit card. While there are (possibly were) a few services out there that allow you to pay your mortgage with a credit card, it doesn’t make a lot of sense. Credit cards tend to have variable… Continue reading Don’t Use a Balance Transfer to Pay Off the Mortgage!
More in my series of balance transfer pitfalls… The credit card issuers warn you themselves about this common problem if you read the fine print. I dug down into Citibank’s disclosures, and found the following line: “You should not transfer the amount of any disputed purchase or other charge. If you do, you may lose… Continue reading Don’t Balance Transfer Disputed Charges
While I believe credit card balance transfers are a great tool to manage debt and get rid of finance charges, it’s still important to point out all the possible drawbacks. One such issue is missing a payment on your old credit card after executing a balance transfer request. Let’s look at an example: Credit card… Continue reading Continue Making Payments During a Balance Transfer
I’ve already spoken about the benefits of balance transfers in depth, along with the problems and pitfalls. But one thing I forgot to mention was the default rate on balance transfer credit cards. By default rate, I mean the interest rate your credit card will adjust to if you fail to make an on-time payment,… Continue reading Watch Out for the Default Rate on Balance Transfer Credit Cards
How Much Are You Required to Pay Each Month? One downside to a credit card balance transfer is that the minimum payment may be higher than that on a standard credit card balance tied to purchases. For example, Discover calculates minimum payments on purchase balances by asking that you pay 2% or $40, whichever is… Continue reading Balance Transfer Minimum Payment
When comparing balance transfer offers, be sure to compare balance transfer fees as well. Ultimately, a balance transfer fee can be likened to the balance transfer APR, as you’ll be charged a certain percentage of your credit card balance for accepting the offer. The big difference is that a balance transfer fee is charged one… Continue reading Compare Balance Transfer Fees