SavingsTalk.com

briansol · 11-12-2007, 07:42 PM

i got screwed pretty good on the used truck i bought in terms of interest rate... 9.6%. i got a mailing with those balance transfer checks from my credit card company. they are offering 4.9% fixed until paid off, which is half price basically compared to my auto loan.
there's a 3%, max $199 fee to use them... so it will be $199 bucks to do it.

8000 x .096 = 768 in interest (not compounded)
8000 x .049 = 400 in interest (not compounded) + the $199 one-time fee = $599

compounded, the savings advantage will only be greater.

i have more than enough room on my card to put the 8k on it...

would you do it? or just keep my standard loan?

does an auto loan look "better" on credit reports than a high credit card debt?

James · 01-27-2008, 11:01 PM

I'm pretty sure it depends. Credit card debt really isn't what they look at is it? The length of your line of credit with good payment history is what helps.

A few of my 1, 3 and 5 year loans never showed on my report, but my credit cards all did.

reckedracing · 06-25-2008, 03:18 PM

Read the fine print
that $199 charge will get thrown in the highest interest bracket and doesn't get paid off till everything else is paid off.

titan22 · 06-25-2008, 03:23 PM

i think you can direct where the payment goes. it all depends on where you would save the most money and if you plan on applying for credit any time soon. if you are set, i say go with the lower interest rate.

briansol · 06-25-2008, 03:33 PM

i never ended up doing it. i thought about it hard.

the card is empty with a 20k limit, so i could easily do it and pay only on the truck so to speak.

titan22 · 06-25-2008, 03:37 PM

did you have to request a limit increase or did they do that for you?

briansol · 06-25-2008, 03:51 PM

i have mad credit limits on my 3 cards

chase card - 24k
citibank card - 20k
discover card - 4.5k

titan22 · 06-25-2008, 03:58 PM

i would like to get a credit card with a 10k limit and less than 6% interest rate. not gonna happen though.

reckedracing · 06-25-2008, 03:59 PM

Quote:

i think you can direct where the payment goes. it all depends on where you would save the most money and if you plan on applying for credit any time soon. if you are set, i say go with the lower interest rate.

you can't direct with that sort of thing
i was looking into it for balance transfers when i was thinking of playing with cards, i opted to get a new card with 0% and just pay the old one off before the 0% ended

i'm the cc companies worst nightmare

i have a couples cards with credit over 10K
not sure why they are that high, i'll never use it

briansol · 06-25-2008, 05:49 PM

none of my cards are over 9%... and that's fixed, non-intro crap or anything

11-12-2007, 07:42 PM	#1
briansol Savings Advisor Join Date: Aug 2006 Location: Central CT Age: 32 Posts: 761 Rep Power: 7	pay off auto loan with credit card i got screwed pretty good on the used truck i bought in terms of interest rate... 9.6%. i got a mailing with those balance transfer checks from my credit card company. they are offering 4.9% fixed until paid off, which is half price basically compared to my auto loan. there's a 3%, max $199 fee to use them... so it will be $199 bucks to do it. 8000 x .096 = 768 in interest (not compounded) 8000 x .049 = 400 in interest (not compounded) + the $199 one-time fee = $599 compounded, the savings advantage will only be greater. i have more than enough room on my card to put the 8k on it... would you do it? or just keep my standard loan? does an auto loan look "better" on credit reports than a high credit card debt?

01-27-2008, 11:01 PM	#2
James broke n' stuff Join Date: Jul 2007 Posts: 77 Rep Power: 5	I'm pretty sure it depends. Credit card debt really isn't what they look at is it? The length of your line of credit with good payment history is what helps. A few of my 1, 3 and 5 year loans never showed on my report, but my credit cards all did.

06-25-2008, 03:18 PM	#3
reckedracing Greenhorn Join Date: Aug 2006 Age: 32 Posts: 30 Rep Power: 6	Read the fine print that $199 charge will get thrown in the highest interest bracket and doesn't get paid off till everything else is paid off.

06-25-2008, 03:23 PM	#4
titan22 Super Moderator Join Date: Aug 2006 Location: West Coast Posts: 773 Rep Power: 7	i think you can direct where the payment goes. it all depends on where you would save the most money and if you plan on applying for credit any time soon. if you are set, i say go with the lower interest rate.

06-25-2008, 03:33 PM	#5
briansol Savings Advisor Join Date: Aug 2006 Location: Central CT Age: 32 Posts: 761 Rep Power: 7	i never ended up doing it. i thought about it hard. the card is empty with a 20k limit, so i could easily do it and pay only on the truck so to speak.

06-25-2008, 03:37 PM	#6
titan22 Super Moderator Join Date: Aug 2006 Location: West Coast Posts: 773 Rep Power: 7	did you have to request a limit increase or did they do that for you?

06-25-2008, 03:51 PM	#7
briansol Savings Advisor Join Date: Aug 2006 Location: Central CT Age: 32 Posts: 761 Rep Power: 7	i have mad credit limits on my 3 cards chase card - 24k citibank card - 20k discover card - 4.5k

06-25-2008, 03:58 PM	#8
titan22 Super Moderator Join Date: Aug 2006 Location: West Coast Posts: 773 Rep Power: 7	i would like to get a credit card with a 10k limit and less than 6% interest rate. not gonna happen though.

06-25-2008, 05:49 PM	#10
briansol Savings Advisor Join Date: Aug 2006 Location: Central CT Age: 32 Posts: 761 Rep Power: 7	none of my cards are over 9%... and that's fixed, non-intro crap or anything

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