some people do it to get airline mileage points i assume, or other spending perks…..and a lot of cards provide travel benefits if you tickets etc are paid for with their card…...but from a convenience standpoint, it's also much easier to just transfer cash online from your bank acct into credit card than having to arrange a bank wire for large purchases
^^^ also a credit card purchase can be easily reversed or disputed if something goes wrong with the merchant or service provided…….paying in cash, with bankwire, or check…..good luck w/ that
another question about my CC guys.. On my discover I have: $358 in purchases at 20% interest rate $3,432 balance transfers at 0% interest (until October) ... How do payments work? If I make a $400 payment towards my CC, will they put it towards my PURCHASES or BALANCE TRANSFERS? Or would they split it up %wise (small % going to Purchases, larger % to Balance transfer)
i'm not sure how this works with 0% balance transfers. but usually for them to make the most money your payment will be credited first to the balance that has the lowest interest rate.
oh God! So I basically have to make $3900 worth of CC payments before i start working on the purchases w/ interest charges. Ugh! My plan was to pay off the CC as much as I could and then around August get a new CC that has a 0% balance transfer deal like this one did lol
here's what i found at creditcards.com 7. Where payments go. To make matters more complicated, you can't tell your card issuer how to apply your payments if you have both a 0 percent balance transfer balance and a new purchase balance on the same card. According to the Credit CARD Act of 2009, issuers are required to apply any amount in excess of the minimum payment to the debt with the highest interest first. The clincher? Most issuers will apply your total minimum amount payment to the lowest interest debt first, which will draw out the repayment time (and interest charges) on the higher interest debt. Because of this, it may be best to avoid using a balance transfer card for any new purchases to avoid dual-interest-rate balances. Read more: http://www.creditcards.com/credit-c...bout-balance-transfers-6000.php#ixzz2qV1BbwiH Follow us: @CreditCardsCom on Twitter | CreditCards.com on Facebook Compare credit cards here - CreditCards.com
damn, thanks bro for your time. Im not so sure I could've found that myself. Appreciate it and reps to you!
A little of topic. Is it easy these days for students with no credit history to get credit cards? I've applied twice with BofA for the most basic student CC and have been denied both times. Do I need to have a co-signer?
no problem. i learned something new too. the Credit CARD Act of 2009 definitely helps people taking advantage of the 0% transfer balances.
Cool, I was unaware of that 2009 law change and always stuck to the rule of not touching 0% APR transfer cards.
