I have a BOA credit card and I have a good history in it. The thing is that it has an annual fee and 13% variable APR. Chase offered me 8% fixed APR with no annual fee. I called BOA and they agreed to remove my annual fee BUT CAN'T match the 8% fixed! I don't use my credit card a lot - just need a credit history and religiously pay my monthly fees. Will I keep my BOA or I'll switch to Chase?
2006-06-23 06:05:36 · 9 answers · asked by kirsten_natalie1985 1 in Business & Finance ➔ Credit
The old credit card is serving its main service - giving you a credit history - don't close it. If you want to ever use, just pay it off in full every single month.....
Good for you calling and getting the annual fee removed....Call again in six months to lower the interest rate.....
In the meantime, ask yourself.....do you "plan" on carrying a balance on any new credit cards you receive? Even though it is smart to have a low interest rate, it still is not a benefit to carry a balance - ever.
I'd certainly get the 8% card, activate it, and save it for the real emergency - like when your transmission falls out on the road, or plane tickets to visit a sick family....or whatever....brain transplant....and the like.....real emergencies...
It sounds like you are off to a great start....Lastly, if you currently have a balance on the BOA @ 13%, you should transfer it to the new card (xfers should be 0% for a finite period of time) and pay that off in full
Be careful w/ xfers - don't use the new card until you've paid the xfer off in full because any payments will be applied toward the xfer balance and not "current" purchases.
2006-06-23 06:14:28 · answer #1 · answered by Paula M 5 · 2⤊ 0⤋
If you carry a balance on your BOA credit card, pay that off first before cancelling the card. Some companies have a policy that if you cancel the card but carry a balance, your interest rate shoots up REALLY high. The status of the card will show up as "cancelled by owner" on your credit report, and that's not a bad thing.
When you choose a new credit card, go for something that you'll get something out of. Some cards offer credits toward free gas, or you build up points toward something like coupons to restaurants or frequent flyer miles. If you're a bookworm, Amazon.com has a credit card through Chase where you earn points toward free books. Lots of companies are offering incentives like that. Personally, I would not pay interest to a company that was not offering me something in return.
2006-06-23 06:12:27 · answer #2 · answered by Anonymous · 0⤊ 0⤋
I recently went through your type of situation.. I have a BOA visa and took an offer for a chase card.. But turns out after having chase for about 7 months the APR raised... They never warn you about the changes in the long run.. I was disapointed because I was given a low APR at first an it nearly tripled.. I only owe like $90 and have been on time with my payments... SUX
2006-06-23 06:11:43 · answer #3 · answered by voiceofanangell 3 · 0⤊ 0⤋
Do you carry a balance or not? If no, stick with your BOA cc, if yes, go to whichever has the lowest rate, in this case Chase. Or, you can go online and find a card with 0% for 12 months, 8.9% thereafter, and no annual fee. Those credit cards you mentioned above do not sound like such good deals.
2006-06-23 06:10:51 · answer #4 · answered by xls8000 2 · 0⤊ 0⤋
Don't "switch." Keep BOTH! Having another credit card will increase your debt to credit ratio. This will almost certainly improve your score.
Just remember to be RESPONSIBLE! Just because you have two cards doesn't mean you have to use them. Live within your means. Use the cards only for things you absolutely need and emergencies.
Get the Chase card and use that when you need to use a credit card. Hell, you can cut up the BOA card if you want -- just keep the account open and check it periodically to make sure there's no fraud.
2006-06-23 06:13:41 · answer #5 · answered by Dr. Killbot 2 · 0⤊ 0⤋
If you pay the balance off every month then interest isn't a factor in your problem so stick with the BOA card; however, if you don't it would be smart to change to the 8%.
2006-06-23 06:13:01 · answer #6 · answered by BeC 4 · 0⤊ 0⤋
If it rather is your oldest account then you certainly ought to shop it open for a on an identical time as. the final answer is to Sock Drawer it!. Stick the cardboard on your scok drawer. approximately each ninety days by potential of a tank of gas, groceries or another single small purchase. Pay in finished on the subsequent assertion and then sock drawer the cardboard for ninety greater days. motives why you opt to apply the sock drawer approach is that in case you leave the cardboard inactive too long, the mastercard agency will close down the account by way of inactiveness. additionally with low utilization and you paying the cardboard in finished each and every time you utilize it, the mastercard agency supply you modest shrink will advance immediately. the better limits will help your over all utilization ratios which will force your score up.
2016-10-31 08:48:55 · answer #7 · answered by ? 4 · 0⤊ 0⤋
You pay it off at the end of the month every month? Then the interest rate shouldn't matter because you're never going to have to pay interest. You could get the Chase and keep your old one if you want.
2006-06-23 06:10:14 · answer #8 · answered by Christina 7 · 0⤊ 0⤋
If you don't carry a balance on the card, the difference in the interest rate will be negligible to zero
2006-06-23 06:16:31 · answer #9 · answered by davidmi711 7 · 0⤊ 0⤋