10-12-2009 12:40 PM
After much thought, I have to take advantage of my 9 months 0% APR Citi card offer. There's a lot of naysayers on this board that will say bad idea, but this time I have to trust my instinct and experience.
My pay off amount is $5,194.75 until 10/16. After 10/16 I will have to add $1.54 per day to the balance. My loan is scheduled to be paid off 10/2010. I have 10 payments left. I will take $2,194 from savings, and xfer the remaining $3000 to Citi. If I go ahead with the BT would save $632.35- $90 BT fee= $542.35 in savings.
I currently have $24,100 in available credit. I have no credit card balances. Xferring $3000 will put me at 12.45% utilization. The BT balance will be paid off before the teaser rate ends.
I don't see this as being a bad idea. Any input is greatly appreciated.
10-12-2009 02:16 PM
10-12-2009 02:27 PM
I would do it as long as you are 1000% certain you can PIF before the BT term ends and your Ctit card is 0 balance. I would also try not to let any other CC report a balance to minimize any idea of Citi to do AA on you.
I would also pay as much as I could as soon as I could. Also sock drawer the Citi card until the BT is PIF.
10-12-2009 02:58 PM - edited 10-12-2009 02:59 PM
Thanks for the replies.
I did this before with my State Farm card. I had a 0% APR for 12 months and $0 BT fee. I divided the total BT amount by 12 and made 12 equal payments. Never late!! I didn't use the card at all during the 12 months. I know credit card rules. I am very dicipline. I will have the BT paid off by 5/2010 rather than take the full 9 months.
10-12-2009 03:18 PM
10-12-2009 03:29 PM
I'm going to go through with it pending what creditwherecreditisdue says
10-12-2009 08:59 PM - edited 10-12-2009 09:01 PM
I did this earlier this year with the remaining 24 payments I had left on my car loan. I don't remember at the moment how much I saved but it was about $1000, I believe. It has worked out fine for me even though I put a much larger amount on the 0% cards.
It sounds like you have a well thought out plan and Hauling has given a lot of good advice above.
I say, Trust yourself and "Go for it!"
It's all about saving money!
10-12-2009 09:27 PM