Sunday, December 4, 2011

Balance Transfer offers - What does this mean to paying on current balance?

Let say I transfer $150 onto an existing credit card with a 0% on transfer for 6 months. How are my future payments applied? Does my current balance or anything I charge (which is accruing interest) get credited first and than the balance transfer amount?|||Check the terms of the balance transfer agreement. It should tell you how future payments are applied and the fee to transfer. Typically the fee is a flat percentage of the amount being transferred with a minimum, like 4% fee minimum $50. If the amount is $150, it could cost you more to transfer it than to keep it where it is.|||Why don't you just pay off that $150?


Did you know that carrying balances doesn't do your credit any good.


It can actually ruin credit and in some cases.


Anytime you use more than 30% of your limit you are reducing your credit.


It is best to use credit wisely - charge something you need and pay in full when you get the bill.


Remember employers check credit reports, so do landlords and car insurance companies.


Don't foul up your future by playing these credit card games.


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