Hi all! Normally I would never even consider this as an option, but I've got a student loan tradeline so close to being gone and done with I am wondering if this is a good option for me.
I currently have a student loan tradeline sitting at ~$1,800 with a 6.55% interest rate. I just got my tax return and I am planning on throwing $1,000 at this tradeline specifically, bringing the balance down to $800 and some change.
With barclays nerfing my beloved sallie mae mastercard, I have been looking for a use for the new card they are replacing it with and I think I may have found one. I have a balance transfer offer on the card for 0% interest until April 2018. Plus it only has a transfer fee of 1%. So if I use this balance transfer, the fee wouldn't outweigh the amount I'm saving in interest, if I'm figuring this correctly.
To pay it off before the 0% is up, I'd have to pay about $67 per month, which I am pretty sure I could do in addition to the regular $255 I pay toward my student loans now--and by paying off that tradeline, wouldn't more of my payment be allocated to my other 8 tradelines? (They are all serviced by Navient so I make one lump sum payment per month, if that matters).
I just want to get some opinions before I do this--normally I wouldn't advocate for replacing debt with different debt, but in this case I think it makes sense. Is my reasoning right?
Paypal MC - $7,200 (12/13) | TJX MC - $10,000 (5/14) | Torrid - $3,000 (7/14) | Discover IT - $11,000 (11/14) | AMEX BCE - $5,000 (11/14) | Victoria's Secret - $2,850 (6/15) | Barclays Rewards MC - $10,800 (7/15) | AMEX ED - $7,500 (9/15) | Chase Freedom - $3,500 (6/16) | Maurices - $1,000 (6/16) | Citi Double Cash - $6,300 (7/16) | Ulta Rewards MC - $2,250 (7/16) | Chase Freedom Unlimited - $4,000 (4/17) | David's Bridal - $3,500 (11/19) | Capital One SavorOne - $8,000 (1/20)
CU Auto Loan - $10,684 - 60 Months @ 2.14%
Federal Student Loan - $28,218/$32,000 - Payoff Date: 12/2023
