topic Re: Less likely to get a CLI when doing balance transfers? in Credit Cards

Less likely to get a CLI when doing balance transfers?

masscredit — Wed, 02 Sep 2015 00:33:07 GMT

I was wondering something tonight. Would a person be less likely to get a CLI on a card that they use for balance transfers? My thinking is the lender might see that and think the card holder can't afford to pay their other cards so they tramsfer the balances over to that one. I don't totally believe this but I'm just wondering if it might be a possibility. Or, they might totally welcome BTs.

Re: Less likely to get a CLI when doing balance transfers?

Anonymous — Wed, 02 Sep 2015 01:07:24 GMT

I wouldnt think so. I would think you would be more likely to get a CLI on a card you wouldnt use otherwise. You get a higher line to transfer more and they get 3% of whatever your transfering and maybe interest if you dont pay by the due date.

Re: Less likely to get a CLI when doing balance transfers?

taxi818 — Wed, 02 Sep 2015 01:47:25 GMT

I don't think so. My Discover has been a bt machine the last year. and ive gotten several credit limit increases. Im hoping for another tomorrow. as long as you pay on time and more than minimum it should be ok. some lenders like heavy heavy usage on their cards. Discover, Barclays, Capital one to name a few. and BTs don't bother them in the least.

Re: Less likely to get a CLI when doing balance transfers?

OmarGB9 — Wed, 02 Sep 2015 03:48:39 GMT

I think it's quite the opposite actually. They'll increase your CL in hopes that you'll continue to use your card while carrying a BT so that they'll get swipe fees as well as interest off of you if you don't PIF for new purchases.

Re: Less likely to get a CLI when doing balance transfers?

Anonymous — Wed, 02 Sep 2015 04:10:40 GMT

Hello Masscredit!

I use my Citibank Simplicity credit card solely for BTs. Transferring balances to it have never kept me from obtaining CLIs. I just got another one in July 7.6k to 20k. Best of luck!!!

Re: Less likely to get a CLI when doing balance transfers?

Anonymous — Wed, 02 Sep 2015 06:03:04 GMT

I was wondering about this, myself. I got my Discover in early July and have used it solely for BTs. I was at about 80% utilization until I paid a 6th of the balance off before the first statement cut. I'll be paying 5x the minimum payment every month so hopefully that'll look good in their eyes.

Re: Less likely to get a CLI when doing balance transfers?

UncleB — Wed, 02 Sep 2015 08:41:39 GMT

@taxi818 wrote:
I don't think so. My Discover has been a bt machine the last year. and ive gotten several credit limit increases. Im hoping for another tomorrow. as long as you pay on time and more than minimum it should be ok. some lenders like heavy heavy usage on their cards. Discover, Barclays, Capital one to name a few. and BTs don't bother them in the least.

I'm glad to hear this as well. I've been paying on a parent's Care Credit account for the last couple of years, and I'm thinking of transferring the $2.9k balance to my Discover card to get it 'knocked out'. There's no promo left on the Care Credit so getting a year at 0% would be huge. I was concerned that it would hurt my chance at a CLI, though.

It's good to hear it likely won't make a difference!

Re: Less likely to get a CLI when doing balance transfers?

taxi818 — Wed, 02 Sep 2015 11:09:06 GMT

Yep. Just got another Cli for 500 today on discover. Did a bt 3 days ago. So discover loves the heavy usage. Now it's time to sd it and pay it like installment loan. Each month.

Re: Less likely to get a CLI when doing balance transfers?

masscredit — Wed, 02 Sep 2015 21:08:09 GMT

Thanks for the feedback. This is good to know!

Re: Less likely to get a CLI when doing balance transfers?

masscredit — Thu, 03 Sep 2015 18:25:06 GMT

Have been thinking about this some more. I'll use my cards as an example. My Cap1 cards have 0% BT fees. So what I can do is use all of my cards, BT to the Cap1 cards when it's time to pay them off before the statements close then pay the Cap 1 cards down. This will give all of my cards use and show heavier use on Cap1. That might be beneficial.

Re: Less likely to get a CLI when doing balance transfers?

UncleB — Thu, 03 Sep 2015 19:32:54 GMT

@masscredit wrote:
Have been thinking about this some more. I'll use my cards as an example. My Cap1 cards have 0% BT fees. So what I can do is use all of my cards, BT to the Cap1 cards when it's time to pay them off before the statements close then pay the Cap 1 cards down. This will give all of my cards use and show heavier use on Cap1. That might be beneficial.

"Back in the day" I actually got my largest credit line (at that time) with Capital One by doing the very thing you're describing... I would use the no-fee cash advance checks for nearly my entire limit, let it ride for a few months, then PIF... rinse and repeat. I didn't have the knowledge of this forum back then, but I was amazed at how generous Capital One got rather quickly.

Re: Less likely to get a CLI when doing balance transfers?

noobody — Fri, 04 Sep 2015 01:08:13 GMT

does the no transfer fee cap1 offer charge regular interest rate the minute u made the transfer.

ie:

10K @ 24% APR for just 2 day cost $13.3

Re: Less likely to get a CLI when doing balance transfers?

masscredit — Fri, 04 Sep 2015 02:06:44 GMT

@noobody wrote:
does the no transfer fee cap1 offer charge regular interest rate the minute u made the transfer.

ie:

@Anonymous @ 24% APR for just 2 day cost $13.3

Nope. It's just like making a purchase. My statement closes on the 6th so I can do a BT on the 7th, carry that through the next statement closing date and then pay it off before that payment is due. Pretty much 2 months with no interest.

Re: Less likely to get a CLI when doing balance transfers?

noobody — Fri, 04 Sep 2015 02:14:26 GMT

good to know, I am gonna try it out

Re: Less likely to get a CLI when doing balance transfers?

DantGwyrdd — Fri, 04 Sep 2015 10:04:48 GMT

@taxi818 wrote:
I don't think so. My Discover has been a bt machine the last year. and ive gotten several credit limit increases. Im hoping for another tomorrow. as long as you pay on time and more than minimum it should be ok. some lenders like heavy heavy usage on their cards. Discover, Barclays, Capital one to name a few. and BTs don't bother them in the least.

+1 on Discover--I got an unsolicited $1000 CLI from them after transfering my Walmart SC balance and making several $100+ monthly payments towards paying it off. In fact I've just did another BT ontp the Discover card since they gave me an even better BT offer than last time (4.99% for 21 months with a $0 transfer fee, not that I intend to drag it on for 21 months mind you).

P.S. I haven't actually swiped the card in at least a year.

Re: Less likely to get a CLI when doing balance transfers?

coachmiff — Fri, 04 Sep 2015 13:06:54 GMT

i found the opposite to be true--i asked for a cli for this very reason from boa and barclays--after submitting the online cli request i got a phone call 5 minutes later from both banks asking how much more i needed--remember their in business because of us not the other way around!

Re: Less likely to get a CLI when doing balance transfers?

Bmac66 — Fri, 04 Sep 2015 14:27:37 GMT

I wouldn't think so either. I had a smallish balalnce ($500) on one of my higher interest cards and BT to one of my new 0% for 15 months cards so I don't have to worry about paying the entire balance off this month before accruing interest. Makes financial sense to me.