@Anonymous wrote:
@Anonymous wrote:Sorry if these are basic questions, I just want to be really sure before I initiate another balance transfer. I understand that I shouldn't use a balance transfer card to make any new purchases, but I'm confused about what happens with the balance already on the card prior to the BT.
1) If my balance transfer card (0% APR on BTs for 12 months) already had a balance on it, I only need to pay off the pre-balance transfer amount to avoid interest, correct? For example, if the amount due on my statement is $1,015 and $500 of that was from before the balance transfer, and the amount of the balance transfer is $500 plus a $15 fee, would I only have to pay $515 this month? Or do payments start applying towards the BT amount first?
2) Can I add another balance transfer onto this same card (another 0% APR for 12 months offer)? Is there a limit to how many times I can do that?
1. Yes, once you pay off the old balance you won't accrue anymore interest. The new FCRA changes require everything above the minimum payment to go towards the highest APR balance first. So even if you add higher APR spend to a 0% APR card, you can payoff the higher APR charges first by making payments above the minimum payment.
2. Read the T&Cs of your card. For full disclosure, I have only made use of BTs twice and I have had over 50 CCs. I am a rewards/bonus person and not a BT person. From what I have seen the restriction is usually to have the BT post within X days where X is often around 45-60 days. There usually is not a restriction on the number of BTs. Read the T&Cs though to be sure.
+1 on #1.
For #2, if you know you will be doing multiple BT, do them in a spree. You can do several in the same session, provided your CL is there. There may be a delay requirement, once you pass a day, but I've never looked for it because I'm either putting two items on at the same time, or just one item BT then not worrying about it for months.
