When the Intro Party's Over...

[JayRizzo]

I have two cards where the introductory 0% APR will expire in a couple of months and the permanent sky-high APR arrives -- party's over!!!  Since lenders are tightening up on those who do too many Balance Transfers, how's life after intro from our Post-Intro Veterans???  Difficult or easy???  What do I have to look forward to?

[MarineVietVet]

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@JayRizzo wrote:

I have two cards where the introductory 0% APR will expire in a couple of months and the permanent sky-high APR arrives -- party's over!!!  Since lenders are tightening up on those who do too many Balance Transfers, how's life after intro from our Post-Intro Veterans???  Difficult or easy???  What do I have to look forward to?

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What are the balances and APR's you're looking at?

From a BK years ago to:
EX - 9/09 pulled by lender 802, EQ - 10/10-813, TU - 10/10-774

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

[JayRizzo]

After fulfilling my Credit Steps obligation to use the card within the first 90 days, never go over the limit, and pay on time... I have a credit balance of about 25-30 dollars on each card.  After the Intro APR, I believe it's right at 20%.  During intro, I had no problem whipping out the cards and PIF, but after the intro I'm not going to have that Warm & Fuzzy feeling about charging on them as fast as I used to.  My biggest fear is making a purchase and "can't" pay in full due to some unforseen issue -- now I'll carry a balance with interest.

[MarineVietVet]

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@JayRizzo wrote:

After fulfilling my Credit Steps obligation to use the card within the first 90 days, never go over the limit, and pay on time... I have a credit balance of about 25-30 dollars on each card.  After the Intro APR, I believe it's right at 20%.  During intro, I had no problem whipping out the cards and PIF, but after the intro I'm not going to have that Warm & Fuzzy feeling about charging on them as fast as I used to.  My biggest fear is making a purchase and "can't" pay in full due to some unforseen issue -- now I'll carry a balance with interest.

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I'm not sure what the possible problem is. I thought you were talking about a lot of money in balances.

The trick is don't ever charge anything you don't already have the cash to pay for. In other words if you don't have the cash to buy something on hand do not use your CC. That way you'll never have to carry a balance.

From a BK years ago to:
EX - 9/09 pulled by lender 802, EQ - 10/10-813, TU - 10/10-774

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

[haulingthescoreup]

+1

APR's are irrelevant if you PIF.

btw, if you're leaving these amounts to show on the statement for scoring purposes, you'll generally do better to only have one card showing a balance.

Banks/ CCC's don't care a flip about what displays as the balance on the statement. That is strictly a scoring tactic. They just want you to use the card during the month, and then pay it off before the due date. Or if you're generous, and you feel sorry for banks and want to give them some extra money in the form of interest, pay the minimum due by the due date and let them tack on interest for next month's bill.

As long as they get their money by the due date, you can pay at any time, and they'll be happy, and you'll never have any interest expense, at whatever APR is going. Interest kicks in on unpaid balances after the due date, because you're now financing that amount.

[JayRizzo]

Yeah, there were times over the course of a year that I carried over a balance at zero percent across 2 statements.  You tend to get used to it over time.  Now, the party train is coming to an end and I have to let go of my security blanket.  It's cool.  I just wanted to know how others coped during the transition.

[Tazman81]

I see 2 options.

Option 1:  If you think you might carry a balance, call and ask for an APR decrease.  Tell them you are not comfortable using the card as much with such a high APR.

Option 2:  PIF = 0% APR.

[JayRizzo]

Yes and Yes.  I've done both.  I think I'm just being a worry-wart knowing that if I can't PIF for some unforseen reason, then the interest clock starts ticking.  Scares the ba-jee-bees outta me.  I've heard horror stories.