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Regular Contributor
lawskool09
Posts: 171
Registered: ‎03-04-2008
0

Is this WAMU BT offer a good idea?

I have the following offer on my online account.  Does anyone think this is a good idea?
I was only going to transfer between $400-$500, which would bump my UTI from 11% to 44%.
All of my other cards have a UTI between 0 and 18%
I do have am AMEX that I just received.  I do not want the increased UTI on the WAMU to trigger anything.
Thoughts?
Take advantage of a 2.99% rate on balance transfers until March, 2009!

For any balances you decide to transfer today, you'll receive a low introductory rate of 2.99% until your March, 2009 statement date. After that, your balance transfers will be at a variable rate of Prime + 19.99%. Using the Prime Rate in effect for billing cycles beginning in July, 2008 as an estimate, this APR would be 24.99%.

There is a balance transfer fee of 3.00% of each balance you transfer with a minimum of $5.00 and a maximum of $75.00 per transfer.

All other terms of your Account Agreement, including the APRs for Purchases and Cash Advances, remain in effect. Keep in mind that your APRs may change due to changes in the Prime Rate or as otherwise provided in your Account Agreement. In order to keep your APR, you must keep your account in good standing; your Account Agreement includes a provision that would increase your rates, including any introductory or promotional rates, in the event of certain account defaults (for example, if your payments are late). Your payments will be applied first to finance charges and fees and then to Balance Categories (including new transactions) in order of lowest to highest APR. This means that balances subject to promotional or introductory APRs will be paid before balances subject to higher APRs.
4/23/08 EX-614 EQ-624 TU-635
5/6/08 EX-660 EQ-628 TU-685
5/12/08 EX-660 EQ-652 TU-685
12/08/08 EX-670 EQ-670 TU-674
Moderator Emeritus
cheddar
Posts: 6,794
Registered: ‎09-29-2007
0

Re: Is this WAMU BT offer a good idea?

What is the APR on the balance now, and how long do you expect to take to pay it off?
 
----------------------------
App free since 7/11/08.
TU 744 / EX 710 / EQ 694 (Starting to slip. :smileysurprised: )
Regular Contributor
lawskool09
Posts: 171
Registered: ‎03-04-2008
0

Re: Is this WAMU BT offer a good idea?

I believe the APR is 10.99%.  I plan to pay it off in the next month or two.
4/23/08 EX-614 EQ-624 TU-635
5/6/08 EX-660 EQ-628 TU-685
5/12/08 EX-660 EQ-652 TU-685
12/08/08 EX-670 EQ-670 TU-674
Moderator Emeritus
cheddar
Posts: 6,794
Registered: ‎09-29-2007
0

Re: Is this WAMU BT offer a good idea?

[ Edited ]


lawskool09 wrote:
I believe the APR is 10.99%.  I plan to pay it off in the next month or two.


You would pay a BT fee of $15 to transfer $500.  The interest on a $500 balance @ 10.99% for two months would be less than that.  The BT would actually cost you more.
 
BT: $15 BT fee + ~$2.49 in finance charges (@ 2.99%) = $17.49
No BT:  ~$9.16 in finance charges (@10.99%) = $9.16

Edited to fix math error.

 



Message Edited by cheddar on 07-08-2008 01:14 PM
----------------------------
App free since 7/11/08.
TU 744 / EX 710 / EQ 694 (Starting to slip. :smileysurprised: )
Regular Contributor
lawskool09
Posts: 171
Registered: ‎03-04-2008
0

Re: Is this WAMU BT offer a good idea?

Thanks for your reply and doing the math on this! 
 
4/23/08 EX-614 EQ-624 TU-635
5/6/08 EX-660 EQ-628 TU-685
5/12/08 EX-660 EQ-652 TU-685
12/08/08 EX-670 EQ-670 TU-674

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