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**WARNING: Consider this ONLY if you can responsibly handle a Credit Card**
This may have been posted about previously, but I couldn't find a note about it, so I thought I would add one.
I opened new accounts at Wells Fargo the other day. Nothing special. We have a new mortgage with them, and had been looking to consolidate and move our banking services anyhow. At WF, it will allow me to efficiently manage extra principal payments against the mortgage and bring in my business accounts, etc.
So the banker mentions that I am eligible for a new WF credit card... blah, blah, blah. At least that's what I heard. I wasn't really interested because we are finally at a point where we dont really use credit cards, with the exception of a grocery card that we use for groceries and gas, and get a percentage back in store dollars. I set a weekly recurring payment that automatically pays down the balance on the card an amount roughly equivalent to the amount we spend in a week. (had to stop this program when we moved, because they dont have those stores here)
Anyhow, the banker continues talking, and I caught the part where she says "automatically pays 1% against your mortgage principal"! No that's what I'm talking about! A card that pays me back, 1% of spend, no annual fee, no need to request reward checks, just an automatic post against the principal of my mortgage every time the reward balance reaches $25!
I ran some quick calculations of what I could potentially pay with the card, and I figure with standard bills, that we currently pay now anyway, I could reap about $500 a year against my principal. Not big money, but by the time we would finish paying down the mortgage, God willing, in 5-6 years, we could have earned the equivalent of 1% off our mortgage principal! That's not even counting the occasional major expense, like appliances or electronics.
And yes, I will set it up with recurring weekly payments again to avoid interest (which would diminish the advantage), but I think it is pretty cool.
If anyone is interested, here is the link to the WF card details. (https://www.wellsfargo.com/credit_cards/home_rebate/) I am sure other institutions can be found to offer similar products.
This may have been posted about previously, but I couldn't find a note about it, so I thought I would add one.
I opened new accounts at Wells Fargo the other day. Nothing special. We have a new mortgage with them, and had been looking to consolidate and move our banking services anyhow. At WF, it will allow me to efficiently manage extra principal payments against the mortgage and bring in my business accounts, etc.
So the banker mentions that I am eligible for a new WF credit card... blah, blah, blah. At least that's what I heard. I wasn't really interested because we are finally at a point where we dont really use credit cards, with the exception of a grocery card that we use for groceries and gas, and get a percentage back in store dollars. I set a weekly recurring payment that automatically pays down the balance on the card an amount roughly equivalent to the amount we spend in a week. (had to stop this program when we moved, because they dont have those stores here)
Anyhow, the banker continues talking, and I caught the part where she says "automatically pays 1% against your mortgage principal"! No that's what I'm talking about! A card that pays me back, 1% of spend, no annual fee, no need to request reward checks, just an automatic post against the principal of my mortgage every time the reward balance reaches $25!
I ran some quick calculations of what I could potentially pay with the card, and I figure with standard bills, that we currently pay now anyway, I could reap about $500 a year against my principal. Not big money, but by the time we would finish paying down the mortgage, God willing, in 5-6 years, we could have earned the equivalent of 1% off our mortgage principal! That's not even counting the occasional major expense, like appliances or electronics.
And yes, I will set it up with recurring weekly payments again to avoid interest (which would diminish the advantage), but I think it is pretty cool.
If anyone is interested, here is the link to the WF card details. (https://www.wellsfargo.com/credit_cards/home_rebate/) I am sure other institutions can be found to offer similar products.
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