0% credit cards

[Shannow]

Can't understand building up a credit card debt...buy stuff that you can afford, and pay it off every month. If you need a loan for something, identify what it is that you need, get a proper, reasonable interest rate loan, and repayment plan.

Had a nice gentleman from India ring me one day and explain that I'd never paid interest on my card, and if it continued, they reserved the right to terminate the agreement.

I pointed out that I survived just fine on a debit card, and would happily do so again...so he then asked if I wanted to increase the limit.

 

[joaks]

I used the Slate card to save some money while I paid off my balance many years ago. I *tbink* it was 12 months zero interest.

 

[Panzerman]

Credit cards are the devil, no doubt. You got to be careful but they are tools that can be used wisely if you are a responsible person. Usually the 0 % intro period is trying to hook you on spending more than you can pay back.
I am redoing two bathrooms right now and I have $2500 on a Lowe's card, 18 months at 0%. I'll pay it off. I have money to back it but why use my money when theirs is free.
But be careful because Lowe's, Hone Depot, Sam's club and even Walmart pull the dirtiest trick and that's if you don't pay it off in 18 months they go back and nail you for the accued interest back to day one usually at like 18%.
Most Bank cards don't pull this but it's best to read the fine print because after all they are the Devil.

 

[93cruiser]

creditcards.com will show you the best option for balance transfers. do the math, they usually charge 3% fee on transfer, so make sure it works in your favor. new charges are not 0% for balance transfer cards.

nothing wrong with cc's, if you pay them off. if not, they suck. can get in trouble quick, been there.

pay off the 500 a month, as you said. you mentioned possibly 600, but I would say throw that 100 in a savings account instead. you have to pay bills, but you have to pay yourself too, so you have the money to not get into debt hopefully.

after debt is done, now put 400 into that savings, and having fun with the 100-200. or save it all. just don't spend it all

 

[Lolvoguy]

I've never heard of a 0% credit card.
Closest thing we have in Canada is a pre-paid Visa/MC that you can "purchase" for whatever amount you want.

Man, a 0% interest credit card. What will they think of next?!

 

[JHZR2]

Why not just pay it?

Your plan is only valid if you're not going to aggressively pay it off, in which case you'll end up with this one reverting to some rate. Why not pay it off on the current card, and live within your means?

Do the math, how much will you actually save?

 

[02SE]

My advice: Live within your means.

 

[spasm3]

I would put all my efforts into paying off that card. Then when its paid off, take what you are paying on the card, an put it in an account for emergencies. At least 3 months worth.

 

[Johnny2Bad]

Beware, if you are not good at reigning in credit or have someone in the household who does. The danger is you will now have two (at least) cards to run up debt with. Since your Credit Score is partly derived by how long you've had credit, you can't close the first account, or at least you shouldn't.

 

[Garak]

Originally Posted By: Lolvoguy
I've never heard of a 0% credit card.

I get a bunch of 0% balance transfer offers all the time. I don't carry a balance on any of them anyhow, so I don't bother.

 

[ZeeOSix]

My "0% credit card" is achieved by paying it off every month before any interest accrues.

 

[grampi]

Originally Posted By: JHZR2
Why not just pay it?

Your plan is only valid if you're not going to aggressively pay it off, in which case you'll end up with this one reverting to some rate. Why not pay it off on the current card, and live within your means?

Do the math, how much will you actually save?


If I pay on my current card @ $500 a month, it would take me just under two years and I would pay roughly $1000 in interest. If I used a 0% card and paid the same amount each month, it would get paid off a couple months earlier, and I would have to pay the 3% balance transfer fee, which would be $300...so I would save $700 by using a 0% card vs just paying off the card I have now...I don't know if it's really worth opening up another line of credit to save $700...

 

[grampi]

Originally Posted By: 02SE
My advice: Live within your means.


Thanks for the completely useless reply...FWIW, you try paying for two weddings within a year's span and see if you can do it without barrowing any money...

 

[Al]

Originally Posted By: grampi
Originally Posted By: 02SE
My advice: Live within your means.


Thanks for the completely useless reply...FWIW, you try paying for two weddings within a year's span and see if you can do it without barrowing any money...

With all due respect..I raised my kids paid for their education. Insured they were debt free when they left the house. Gave them an older servicable vehicle. Both kids had ridiculously small weddings which they paid for. I realize this the internet but both are successful. Son is a computer engineer, daughter is a nurse practicioiner.

I sometimes scratch my head when I see others doing what you do. Not slamming you. I just don't understand it.

 

[grampi]

Originally Posted By: Al
Originally Posted By: grampi
Originally Posted By: 02SE
My advice: Live within your means.


Thanks for the completely useless reply...FWIW, you try paying for two weddings within a year's span and see if you can do it without barrowing any money...

With all due respect..I raised my kids paid for their education. Insured they were debt free when they left the house. Gave them an older servicable vehicle. Both kids had ridiculously small weddings which they paid for. I realize this the internet but both are successful. Son is a computer engineer, daughter is a nurse practicioiner.

I sometimes scratch my head when I see others doing what you do. Not slamming you. I just don't understand it.

Both of my kids are successful as well...one a cosmologist, the other is a service dog trainer, but I don't see what that has to do with their weddings. My wife and I agreed to pay for both of their schools, and their weddings. We only get one life, and I have no problem paying for an education to get them off on the right foot, and spoiling them a little with nice weddings. Not everyone wants a justice of the peace wedding, and both of my daughters know my wife and I will only pay for one wedding each. After this they're on their own. Besides, I'm still very much on track to be debt free by my retirement in 2 years, 4 months, and 29 days...

 

[HemiHawk]

Originally Posted By: grampi
Originally Posted By: 02SE
My advice: Live within your means.


Thanks for the completely useless reply...FWIW, you try paying for two weddings within a year's span and see if you can do it without barrowing any money...


02SE's reply isn't all that useless... I think most people wouldn't try to pay for two weddings within a years span... especially if doing that would put them into debt.

On the topic of 0% cards, most will offer balance transfers at 0%, sometimes with a 3% or so fee for doing it. But that would still save you quite a bit in interest most likely. Some will be 0% for 12 months, other 18.

 

[SHOZ]

Originally Posted By: grampi
The Citibank card I looked up has no annual fee, and is 0% for purchases and balance transfers, good for 21 months. The only fee I saw was for 3% on a balance transfer. I'm looking the diamond preferred card...

https://citicards.citi.com/usc/dual/value/dc/dp/2017/December/PS/A/default.htm?m=93BF111111W&cmp=KNC~01~110901~CRDACQXX~Google&BT_TX=1&ProspectID=56EFEE3CAB76474F801DDA237DE33758
I have that and transferred a balance when it was offered with a no balance transfer fee.

I've had one form or another of 0% interest credit cards for the last 20 years at least. I dump a balance into them, if there is no fee and I have something that needs transferred, or use them for short term loan purposes and then pay them off within the time frame, not using them for anything else.

 

[grampi]

Originally Posted By: HemiHawk
Originally Posted By: grampi
Originally Posted By: 02SE
My advice: Live within your means.


Thanks for the completely useless reply...FWIW, you try paying for two weddings within a year's span and see if you can do it without barrowing any money...


02SE's reply isn't all that useless... I think most people wouldn't try to pay for two weddings within a years span... especially if doing that would put them into debt.


That's when the weddings took place, so I had no choice, and I highly doubt many people these days pay for weddings (unless they're nothing but justice of the peace weddings) without barrowing money for it. Weddings are not cheap. My daughter's weddings were $10K each, and those are inexpensive ones for these days...I think the average cost of a wedding today is closer to $25K...I know people are going to chime in and say they'd make their kids pay for their own wedding, or they would only pay what they could without barrowing money, and if that's the way you deal with it, fine, but my wife an I decided we would pay for both of our daughter's weddings knowing that we would have to put some of the cost on our credit card. To us it's worth it. We only have one life and why not spoil your loved ones as much as possible? It isn't like we went so far in debt that we can't pay it off, or have to declare bankruptcy over it, it's just going to take us a couple years to pay it off...some of you act like it's so irresponsible to barrow money for a wedding. People barrow money for less important things all the time...

 

[SHOZ]

A new set of tires is going on my long term 0% card in a couple months.

 

[02SE]

Originally Posted By: grampi
Originally Posted By: 02SE
My advice: Live within your means.


Thanks for the completely useless reply...FWIW, you try paying for two weddings within a year's span and see if you can do it without barrowing any money...


It's not my fault you and lots of other people don't like sound financial advice.