Questions on Balance Transfers?

Question

I recently got offered for a new CC, with 0% on balance transfers till 8-08, How do they work. Will I have to pay the balance in full to keep the 0% on BT's or can I make over the Min payment each month till I get it paid off.

I mean will they raise the interest if I don't pay it in full? I can make min and over min payments, I just can pay it off at one time. Its the Citi Dividend Plantinum Select Card?

Should I can there company and ask?

Answer 1

You do not have to have it paid in full until the balance transfer (BT) expires in 8/08

If you fail to pay it in full by the BT expiration date you will have to pay interest on the full amount you BT'd and at your regular interest rate.

You will be expected to make a payment each month, that BT promo is probably not a same as cash deal where you can wait until the BT promo is almost up and make a large lump sum payment.

They generally have a small amount that they require for a minimum payment - if you only pay that you will have a large lump sum payment at the end of the BT promo.

What I normally do when I have a 12 month 0% promo is divide the full amount I placed on the card by 11. (it's always better to pay a promo off one month early) Then I pay that amount, or more, every month.

Having a 0% interest BT is an excellent way to have a payment history reporting on your credit reports without having to pay interest.
Just be sure you have it paid off on time.

There may be a BT fee, so be sure to fully read the BT terms.

If you have any questions about it, your best bet is to call Citi and ask them.

Answer 2

You can keep paying the minimum, but after the 'intro period' ends-- you'll start paying interest (which means your minimum will go up). Either way, you end up saving a lot of money with a 0% deal. But I would compare other offers before you settled on this card. You can find a complete list of 0% APR credit cards here:

http://www.asapcreditcard.com/0-apr.html

The Citi Platinum Select Card is a good offer, but you might also consider the Discover More or the Rewards Advantage Platinum Card. Also great offers-- but they'll give you the ability to earn higher rewards.

Hope this helps. GOOD LUCK!

Answer 3

With balance transfers, you don't have to pay it off in full. You can keep it there until the end of time for all they care. You should try to pay it all off before the end of the 0% rate or transfer it to another account in order to save money on interest.