topic Re: BT Promotional Period Question in Credit Cards

BT Promotional Period Question

SnackTrader — Fri, 04 Jan 2013 03:56:09 GMT

So something I've been wondering as I've started looking into Balance Transfer options for other people. When the BT promotional period of 0% ends, if the entire transfer isn't paid off, will there be retroactive interest charges on the entire transfer? What I'm asking is - does it work sort of like unpaid purchases, or totally differently?

Does that mean should only transfer balances that you can pay off entirely during the promotional period?

Thanks in advance, guys!

Re: BT Promotional Period Question

youngandcreditwrthy — Fri, 04 Jan 2013 03:59:03 GMT

It depends on the issuer... Most major issuers do not have retroactive interest charges, but ime...store accounts usually do!

Obviously, minimizing interest cost is #1 when using credit!

I'm a sucker for a 0% offer myself haha but I always pay it off or have a backup plan!
Good luck!

Re: BT Promotional Period Question

Anonymous — Fri, 04 Jan 2013 14:25:24 GMT

Re: BT Promotional Period Question

SnackTrader — Fri, 04 Jan 2013 16:21:49 GMT

@youngandcreditwrthy wrote:
It depends on the issuer... Most major issuers do not have retroactive interest charges, but ime...store accounts usually do!

Obviously, minimizing interest cost is #1 when using credit!

I'm a sucker for a 0% offer myself haha but I always pay it off or have a backup plan!
Good luck!

Thanks for the response.

I'm not aware of store cards that allow BTs though - so retroactive interest charges that come from those cards wouldn't apply in this situation. But I was under the impression that a lot of major issuers charge retroactive interest after promotional periods expire. I think I read somewhere in my Capital One card disclosures that this would happen...

But I'm referring to a situation where an individual would be unable to pay the balance transfer off during the promotional period. What do people think? Would the individual be forced to find ANOTHER BT deal, or could they leave the balance on the card without worrying about retroactive interest. Any experiences on this board?