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Posted: 7/4/2012 2:15:40 PM EDT
Wife had 10K worth of necessary dental work done and I paid for it with my normal credit card to get the points. Intent was to pay it off art the end of the month as is my policy for the last 15 years. Well, in the mean time I received an offer for a 0% and zero fee balance transfer from a major credit card. Deal is good for the next 12 months....

So I just did the balance transfer.  I think I just got a 12 month, interest free loan...Did I miss anything?  The money is in the bank, so no worriers there and the CC can be paid at any time , if required.  

What's the catch, if any? Never did this before and I don't normally trust CC companies....but a 12 month, interest free 10K loan looked pretty good.
Link Posted: 7/4/2012 2:17:25 PM EDT
[#1]
Usually there are balance transfer fees.
Link Posted: 7/4/2012 2:18:01 PM EDT
[#2]
Did they charge a % of the balance to transfer it? Usually it's anywhere from 1.5-3% of the total amount transferred.

If not, you did get a 'free' loan on a card that will probably mature to 29.99% interest on day 366.
Link Posted: 7/4/2012 2:18:05 PM EDT
[#3]
They charge you a percentage of the amount transferred to your new card  to make up for lost interest.
Link Posted: 7/4/2012 2:18:29 PM EDT
[#4]
Yeah, I would look to see what the BT fee is. Usually they are ~3.0%
 
Link Posted: 7/4/2012 2:19:59 PM EDT
[#5]
As far as I know you got a free loan.


eta: as said though make the payments.
Link Posted: 7/4/2012 2:20:47 PM EDT
[#6]
As far as I can tell there was zero transfer fees and zero interest for 12 months. Let me try and cut/paste...



Here it is:

Balance Promo APR: 0%
Balance Transfer Fee: 0%
Balance Transfer APR Expiration: N/A
Link Posted: 7/4/2012 2:21:15 PM EDT
[#7]
Quoted:
Wife had 10K worth of necessary dental work done and I paid for it with my normal credit card to get the points. Intent was to pay it off art the end of the month as is my policy for the last 15 years. Well, in the mean time I received an offer for a 0% and zero fee balance transfer from a major credit card. Deal is good for the next 12 months....

So I just did the balance transfer.  I think I just got a 12 month, interest free loan...Did I miss anything?  The money is in the bank, so no worriers there and the CC can be paid at any time , if required.  

What's the catch, if any? Never did this before and I don't normally trust CC companies....but a 12 month, interest free 10K loan looked pretty good.




if true, you should be good.  

they're betting you won't pay it off in the allotted time, and interest is accruing from today.

i put the construction of my shop on a 0% CC and paid it off 2 months before the term expired.  credit ain't bad as long as you use it to your advantage!
Link Posted: 7/4/2012 2:22:17 PM EDT
[#8]
Quoted:
Did they charge a % of the balance to transfer it? Usually it's anywhere from 1.5-3% of the total amount transferred.

If not, you did get a 'free' loan on a card that will probably mature to 29.99% interest on day 366.


Got that....I'll pay it off on day 330...just too be sure, because I'm sure the payoff will be "lost" in the mail....

Link Posted: 7/4/2012 2:23:33 PM EDT
[#9]



Quoted:


As far as I can tell there was zero transfer fees and zero interest for 12 months. Let me try and cut/paste...
Here it is:



Balance Promo APR: 0%

Balance Transfer Fee: 0%

Balance Transfer APR Expiration: N/A


What are the penalty clauses?



For example, if you are late on a payment I bet that fees and interest start up.





 
Link Posted: 7/4/2012 2:23:41 PM EDT
[#10]
Quoted:
Quoted:
Did they charge a % of the balance to transfer it? Usually it's anywhere from 1.5-3% of the total amount transferred.

If not, you did get a 'free' loan on a card that will probably mature to 29.99% interest on day 366.


Got that....I'll pay it off on day 330...just too be sure, because I'm sure the payoff will be "lost" in the mail....



you likey do have to make your monthly minimum payments
Link Posted: 7/4/2012 2:49:04 PM EDT
[#11]
Quoted:
Quoted:
Quoted:
Did they charge a % of the balance to transfer it? Usually it's anywhere from 1.5-3% of the total amount transferred.

If not, you did get a 'free' loan on a card that will probably mature to 29.99% interest on day 366.


Got that....I'll pay it off on day 330...just too be sure, because I'm sure the payoff will be "lost" in the mail....



you likey do have to make your monthly minimum payments



That's interesting and thanks. I guess a 10K interest free loan for 12 months had to have some strings attached!
Link Posted: 7/4/2012 2:51:37 PM EDT
[#12]
Be careful you never miss a payment, not even by a day, I'd almost guarantee your CC contract spells out an astronomical rate increase and some are retro-active.
 
Link Posted: 7/4/2012 2:54:26 PM EDT
[#13]
Any debt incurred on that account will be paid after the 0% debt is paid in full.
 






eta But, yeah, managed properly it looks pretty good.
Link Posted: 7/4/2012 3:04:57 PM EDT
[#14]
Never charge with that card until you pay it down to zero.

Posted Via AR15.Com Mobile
Link Posted: 7/4/2012 3:07:15 PM EDT
[#15]
I've got a couple going right now as well.


As long as you know their rules (game) and play by them you will be good to go.

Posted Via AR15.Com Mobile
Link Posted: 7/4/2012 3:20:31 PM EDT
[#16]
I have been using them since 1992, haven't paid a dime in interest since then.

Bought cars and houses with them works great.

You have to make sure you pay off the balance or transfer it to another bank 30 days prior to the end of the promo rate date.  Do not use that card for everyday purchases, and save thousands in interest.
Link Posted: 7/4/2012 4:13:33 PM EDT
[#17]
Quoted:
Usually there are balance transfer fees.


This
Link Posted: 7/4/2012 4:17:04 PM EDT
[#18]
Don't use the card for anything else either...the payments will go toward the 0% balance first while the other purchase accrues interest.
Link Posted: 7/4/2012 4:21:06 PM EDT
[#19]
quit screwing around and just pay it off
 
Link Posted: 7/4/2012 4:24:38 PM EDT
[#20]
Quoted:
Quoted:
Quoted:
Quoted:
Did they charge a % of the balance to transfer it? Usually it's anywhere from 1.5-3% of the total amount transferred.

If not, you did get a 'free' loan on a card that will probably mature to 29.99% interest on day 366.


Got that....I'll pay it off on day 330...just too be sure, because I'm sure the payoff will be "lost" in the mail....



you likey do have to make your monthly minimum payments



That's interesting and thanks. I guess a 10K interest free loan for 12 months had to have some strings attached!

Interesting? Of course you have to make minimum monthly payments. That isn't a string, that's what every credit card ever will require. You still have a helluva deal and an interest free loan for all intents and purposes.
Link Posted: 7/4/2012 4:39:40 PM EDT
[#21]
10K? You could've got her a full set of dentures for about 3K.

You get the factor and save 7K.
Link Posted: 7/4/2012 5:27:53 PM EDT
[#22]
Yea as others have said, transfer the balance and put it in the safe.


My wife used one a couple years ago that had a 0% transfer going and we had to pay intrest on the $15 bucks she charged until the 0% part was paid off.

Posted Via AR15.Com Mobile
Link Posted: 7/4/2012 5:39:23 PM EDT
[#23]
I've done the same thing a couple of times (though for much smaller amounts). Usually they charge a percentage of the transfer as a fee, but even with that it's still a very low cost "loan". If you weren't charged a fee, all the better. Pay $1,000 a month since there ARE minimum monthly payments. By month ten you'll have paid off the card and have an extra month of buffer in case anything was "lost" or "unprocessed" or whatever. Just don't use that card any more, now. If this card offers points then you just doubled up on your rewards.

Yes, credit is great if you are responsible and manage it correctly.
Link Posted: 7/4/2012 5:49:42 PM EDT
[#24]
I used to do it regularly.  Sometimes you pay a small percentage that usually has a cap to it for the transfer fee.  Then its like borrowing money for free so long as you make your payments on time.  You could transfer the balance again to another zero percent card if you are unable to pay it off by the end of the promotional period.  

The strangest one I've ever had is where I was allowed to do a balance transfer deal and requested a large sum of money, nearly the limit, and they deposited it straight to my bank account where I could then use it for whatever.  I bought a used car for zero interest and also avoided the full coverage insurance as well.  I simply wrote a check for the vehicle I bought.  I paid about $200 for the transfer, but it was far less than I would have paid for an auto loan, IF I could have even gotten one on a ten year old vehicle.
Link Posted: 7/4/2012 5:49:44 PM EDT
[#25]
Quoted:
I have been using them since 1992, haven't paid a dime in interest since then.

Bought cars and houses with them works great.

You have to make sure you pay off the balance or transfer it to another bank 30 days prior to the end of the promo rate date.  Do not use that card for everyday purchases, and save thousands in interest.


Rgr. It goes in the safe!
Link Posted: 7/4/2012 5:52:39 PM EDT
[#26]
Quoted:
10K? You could've got her a full set of dentures for about 3K.

You get the factor and save 7K.


Massive car wreck 20 years ago. Comple set of chompers! Total was 18k to have everything replaced.  I really was hoping that the Obama
Money was going to kick in
Link Posted: 7/4/2012 5:54:22 PM EDT
[#27]
Quoted:
Usually there are balance transfer fees.

This.  A couple of coworkers got ripped-off by a "no fee" scam by Chase.  Chase claimed no interest and no fees, but in the coworker's bill I looked at, he was hammered with over 30% in fees and interest the first month.z
Link Posted: 7/4/2012 6:02:55 PM EDT
[#28]
Quoted:
Don't use the card for anything else either...the payments will go toward the 0% balance first while the other purchase accrues interest.


Here's the kicker.  
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