Quiltwoman44

A credit card company offered me checks to use. I am thinking of using one to pay off my card balance and then pay the loan instead since it's no interest, only one time charge to pay me the amount requested. Would supposedly save me money doing it this way. ?? Anyone tried this??

tallchick

I have done this before if the “fee” is reasonable, never had any issues. Always read the fine print! With interest rates approaching loan shark territory it’s always better to pay off credit cards as quickly as possible.

Quiltwoman44

That is what i intend to do. paying enough on my card to have it paid off in ten months and the loan would require the same time period , so would not be a problem for me. but I would save paying interest each month on the card balance. So I may do it yet! I must call them i think though, just to be sure. Not sure I want to tell them I'm doing that with the loan though...he, he.

Stitchnripper

And also don't use a credit card that you can't pay off every month or you will be back to square one.

Quiltwoman44

yep, card info was taken and played with, so got a new account and quit using. But we had lived off that card so it has a good balance I've been working on strongly. I will still be paying the same amount I'm paying now but on the loan not the card because the card will be paid off. no interest. Sounds good to me. I hate owing bills myself but there are times when one must use one. Our fence is falling down now, etc...... never ends does it?

dunster

Are you sure the loan is no interest? That doesn't sound right to me. There's usually no such thing as free money.

Peckish

Please read the fine print very carefully. I've also received these offers, but the ones I get are not "loans" per se; they are cash advances on the credit card. The interest rate is 0% for a certain period of time and as long as you pay the entire balance by that date, you don't pay any interest at all. The credit card companies make money because a lot of people find that life gets in the way - an expensive auto repair or a medical issue puts the debt payments on the back burner, they can't pay the balance due within the time frame, and the interest on the original loan amount (not the current balance) is backdated to day 1 and tacked on to whatever the remaining balance is.

Murphy224

I agree with Peckish.....most of those kind of "loans" are just cash advances on the "new card". the rules are pay it off within the time frame and you are getting an interest free loan. BUT and the big BUT is even late payments of as little as one day can cancel the whole deal and you can be charged interest on the entire loan beginning at day one. I saw yesterday that some credit card companies are now charging 30% interest! Just be very careful and read the small print. And whatever you do, never even be late with a payment. And they don't care why you are late, even lost in the mail, you were in a coma, they do not care..
I bought my fancy pants sewing machine on one of those 48 months no interest credit deals thru the dealer and the fine print in that agreement was, if I was late even one day no matter where in the 48 months I was, the interest went back to the beginning and I would have to pay interest on the entire amount. To be sure I was never late, I set up all kinds of alarms, warnings and paid way in advance of the due date and followed up to make sure they got that payment before the due date. Managed to pay it off way early but it was stressful for me and I was glad to be rid of that obligation.
Good luck to you.
Murphy.

Onebyone

Remember a business that is in business to make money with money will never give anything unless it is in their interest in the long run to make more money. My answer would be if you use the checks you will still be in debt with more strings attached.

Snooze2978

I remember years ago when we were able to take the interest from our credit card and use it as deductions on our taxes. Now I just curb my spending as I use mostly 1 credit card for regular or online purchases and another for all my medical purchases/payments including my Vet bills which have recently risen due to a new kitten. I pay my credit cards off each month so no interest fees. I have one equity loan for the sunroom/kitchen remodeling I did a couple years ago and the interest fees are much less than most credit card interests. I'm paying this off as fast as I can. My banker most times just ask me how much I want to pay each month and he figures it out. With the way things are going in the financial world lately, it may not be that easy the next time I might need to borrow money so I put my S.S. checks in an account for the future projects and just wait until I have enough to pay for it. This year it's a new and wider driveway and sidewalk. Next year I've already got that planned out too. Just try to save enough back in case of emergencies like the A/C unit or furnace as they're not cheap. I know not everyone can do this but I try to live frugal, I no longer buy fabrics since I have a good amount of stash plus supplies to go with it. I garden veggies to supplement my food stash and I buy most of my clothes at the thrift shop which you can find some great buys if you look carefully. Just picked up a long navy wool dress coat for $5. The cleaning cost a bunch more but still a steal of a deal for me.