Quote:
|
Originally Posted by dealsaver
Most 0% offers come with new credit card applications and their terms can vary greatly depending on the card issuer.
Of my existing credit card lines, Chase frequently sends me 0% offers for 6 months on Balance Transfers with a 3% fee up to $75. If you are transfering large amounts($15,000 or more), the fee is minimal. I then use that cash to take advantage of account opening bonuses on checking accounts, savings accounts, and cds where the return with the bonus included is often greater than 10%. If none are available, then I look for high rate specials at banks and credit unions where you often can find a 6% or higher promotional yield.
A trick to use when taking advantage of 0% offers is to reallocate your existing credit lines with the same credit card issuer onto the card that is offering a 0% offer. This way you can exploit the offer to the maximum. For example, say you have 3 Chase cards with limits of $20,500, $15,500, and $3,000. If you recieve a 0% offer on the card with a $3,000 limit, you can call Chase and reallocate $35,000 of your credit limits from your other 2 cards and have $38,000 available to take advantage of that 0% rate.
Of course if you follow Ramsey's advice, you wouldn't take advantage of opportunities like these.
|
Right, if you follow his advice you won't need any credit cards because you won't be in debt. Good lord, why in the world would you need a limit of 20k, and on ONE credit card of many? Do you buy cars with your card? "Take advantage" how? Debt is debt is debt. Even if you were to use that zero percent for real estate or stocks or some other appreciating assest, the average transfer length is 6 months to a year. So you have to get back your initial investment amount plus whatever "profits" you intend to get by that time or you pay interest anyway. I know you will disagree with me, but I see absolutely no reason to have a credit card with those balances when you are supposed to pay them off every month. And if you are transfering 15k I think there are more pressing matters to attend to than if you can open up savings accounts with that money. Thats how people become enslaved. I'd much rather follow Dave's advice than yours. Its a dangerous game you're playing, one missed payment and its hurtin' time.
Edit: I MUST be reading your posts wrong. "Of my existing credit card lines, Chase frequently sends me 0% offers for 6 months on Balance Transfers with a 3% fee up to $75. If you are transfering large amounts($15,000 or more), the fee is minimal. I then use that cash. . . " WHAT cash? These are BALANCE TRANSFERS. You don't get cash to open accounts or cds. Wires must be crossing. . .you'll have to detail.