Do you think this is illegal?

Question

I use my credit card whit conveniences check from a 2 % to 8 % that cud last from 6 month to unlimited of time I have 140.000 I put it in my country to a 12 % and I pay it hear in USA with may business do you think this is illegal

Or you think 6this cud be good idea.

Answer 1

Here is what I think you are asking: Can you use convenience checks from your credit card to get money for investments.

Yes, you can. You can normally do anything you want with them. So it is not illegal. If you can't use them for some certain purpose, it will tell you on the check, or your bank will tell you when you try to use them.

Is it worth it? Well, usually the convenience checks are given a special interest rate that will last for a few months. In addition, you will have to pay a "cash advance fee" or "transaction" fee for using them. You would need to look at your investment and see if the pay off will truly be larger than the fees and interests that you pay to your credit card company. (Remember to figure your interest on your investment monthly, not what you think you will get annually.)
Also keep in mind that credit card companies often give lower or promotional rates because people fail to pay off the balance in full by the time the promotional rate ends. Therefore, the company is making it's full percentage rate. If you are juggling things like this, you have to be careful to pay them BEFORE the time is up. Also, look at the restrictions of the promotional rate. Usually, that rate only applies to the amount that is charged with those checks (or whatever way you got that rate.) So, if you use a convenience check for $140, whenever you pay $140 to your credit card company, that is when your rate on that amount ends, so you can't charge other items on your card. You will need to continue to make regular payments.

Plan Thoughtfully and be careful. You may end up paying too much.

Answer 2

I can't follow you.

You used convenience checks to access your credit limit to invest in something else? You think the credit card is only charging you 8% and the investment will pay at least 12% so you think you will come out ahead?

If so, I think you are nuts. In the US, credit card advance fees are more like 20% and safe investments only pay 5%, so you would lose your money.

Answer 3

not illegal but down right dumb-- better check your figures i think you will find you will be losing money each month!!!!