topic How does balance transferring work? in Credit Cards

How does balance transferring work?

ecocredit — Fri, 27 Jun 2014 05:39:59 GMT

If I balance transfer from one CC to another, does the CC company realize I'm BT out to another CC? If the CC gives me rewards would they not count those dollars towards rewards? Is there a limit to the number of times I can BT to a CC? For example, I do a BT from AMEX to CapOne, pay off CapOne within a few days and again BT from AMEX to CapOne during the same month?

Re: How does balance transferring work?

Bman70 — Fri, 27 Jun 2014 06:02:22 GMT

@ecocredit wrote:
If I balance transfer from one CC to another, does the CC company realize I'm BT out to another CC? If the CC gives me rewards would they not count those dollars towards rewards? Is there a limit to the number of times I can BT to a CC? For example, I do a BT from AMEX to CapOne, pay off CapOne within a few days and again BT from AMEX to CapOne during the same month?

BT doesn't count for rewards since they're not a purchase. And presumably you already got rewards on them anyway.

Re: How does balance transferring work?

lg8302ch — Fri, 27 Jun 2014 06:12:00 GMT

Why would you want to do this? Pay off within a few days and pay 1%-5% BT fees for this?

Re: How does balance transferring work?

ecocredit — Fri, 27 Jun 2014 06:43:44 GMT

@lg8302ch wrote:
Why would you want to do this? Pay off within a few days and pay 1%-5% BT fees for this?

Apparently I'm eligible to transfer at 0%. I thought I might as well BT and get rewards with the 2nd CC.

Re: How does balance transferring work?

09Lexie — Fri, 27 Jun 2014 06:47:18 GMT

@ecocredit wrote:
@lg8302ch wrote:
Why would you want to do this? Pay off within a few days and pay 1%-5% BT fees for this?
Apparently I'm eligible to transfer at 0%. I thought I might as well BT and get rewards with the 2nd CC.

I'm unaware of 0% BT fees for Amex. Are you sure you aren't thinking of APR?

Re: How does balance transferring work?

lg8302ch — Fri, 27 Jun 2014 09:12:19 GMT

@09Lexie wrote:
@ecocredit wrote:
@lg8302ch wrote:
Why would you want to do this? Pay off within a few days and pay 1%-5% BT fees for this?
Apparently I'm eligible to transfer at 0%. I thought I might as well BT and get rewards with the 2nd CC.
I'm unaware of 0% BT fees for Amex. Are you sure you aren't thinking of APR?

Too bad the 2nd card does not earn rewards only purchases... and 0% BT with 0% APR?? and I thought 1% BT fee with 0% APR is an excellent deal..hmm..looks that it can be even better? Just wonder why a card issuer would offer 0% BT free and 0% APR as they do not earn a dime like that.

Re: How does balance transferring work?

ecocredit — Fri, 27 Jun 2014 16:14:58 GMT

@lg8302ch wrote:
Too bad the 2nd card does not earn rewards only purchases... and 0% BT with 0% APR?? and I thought 1% BT fee with 0% APR is an excellent deal..hmm..looks that it can be even better? Just wonder why a card issuer would offer 0% BT free and 0% APR as they do not earn a dime like that.

Well the offer has 0% transfer fee however I start accruing interest immediately. If they would've offered rewards on the BT amount then there was a potential to get 2x rewards (once on the original CC and once on the BT CC). But that is not the case.

On a related note, is BT looked at negatively by the CC company that I'm BT'ing out of? Would they fear that I cannot pay and hence I'm using BTs?

Re: How does balance transferring work?

lg8302ch — Sun, 29 Jun 2014 09:02:37 GMT

@ecocredit wrote:
@lg8302ch wrote:
Too bad the 2nd card does not earn rewards only purchases... and 0% BT with 0% APR?? and I thought 1% BT fee with 0% APR is an excellent deal..hmm..looks that it can be even better? Just wonder why a card issuer would offer 0% BT free and 0% APR as they do not earn a dime like that.

Well the offer has 0% transfer fee however I start accruing interest immediately. If they would've offered rewards on the BT amount then there was a potential to get 2x rewards (once on the original CC and once on the BT CC). But that is not the case.

On a related note, is BT looked at negatively by the CC company that I'm BT'ing out of? Would they fear that I cannot pay and hence I'm using BTs?

Not sure about that as I only recently accepted my first BT offer from Cap1 with 1% BT fee for 12 months 0% APR. Since I had a medical bill to be paid and instead of PIF that 6K bill I took the access check and deposited into my savings account (earn a little interest on it ..lol) and will go from there. Paid the CC bill in full out of the checking account. So it looks to the lenders that study the reports really carefully that 1 card shows up 0 balance and the next month the other card has almost the same balance. So even with taking the money and deposit on the checking/savings account it will leave traces..but not so obvious I would think. This offer was simply too good to pass on...with 2% offfers I never did get weak but with 1% offers I am really considering accepting as at the end it is free money like this.

Re: How does balance transferring work?

chrisw1968uk — Sun, 29 Jun 2014 13:59:36 GMT

I got a Chase Slate last month - NO CHARGE for the BT and 0% for 15 months