Will transfering credit card balances to a new CC with a lower APR be bad for my FICO score? - low apr credit cards for bad credit
This practice is synonymous with "debt consolidation" when it comes to credit reports?
Thank you in advance.
Saturday, January 23, 2010
Low Apr Credit Cards For Bad Credit Will Transfering Credit Card Balances To A New CC With A Lower APR Be Bad For My FICO Score?
4 comments:
Thing is a little but not much.
With regard to the FICO is "New" credit activity that is not as good as "old economy" credit. New credit cards are not as good as the old ones.
Having said this, I would do anyway. Your guests thing is not so, and the money in your pocket is better than 10-20 points of credit at any time.
If you want to estimate the effect, use FICO score estimator and see how big the difference a new credit facility. (Link below).
When using this estimate Zingst me a new card for around 10 points if all else is equal.
Make no mistake. I work for the company credit card. We know who transferred balances from one card to another. If you do this once or twice, may be able to 0%, but if you do it often, you will not be able to get the rate.
I had a client who is a fine balance transfer of $ 50,000 with us for 6 months. He returned after 3 months. Now she has a free loan of $ 50,000 and would be transferred to another. Our record shows that the money from one card to another. The lowest rate you can get from us is 3.99%. She wondered why she did not get 0%, could be used as 6 months ago.
The credit card companies are now becoming more sophisticated. They borrow money from the Federal Reserve and other banks at 5.25% and loans at 0% with the hope that you can not pay, when the promotion ends. You can stop the transfer of the balance, but other banks have their stories (what) we in the Internet rate. Bank is to make money, are not there to avoid payment of interest to you.
Each time the customer calls, the first thing we ought to see if he / shand is a fellow surfer. We do not want to lend money to the lowest price, even if we have it. We know that credit cards, the same information. When you do a balance transfer high (10,000 or more), then the rate is lower. Otherwise, we know that only you can get similar rates of another company credit card.
It is the same on your credit report, debt consolidation, but it is still in force in the consolidation of debts, and the problem with debt consolidation is that if you change your habits, the possibility of entering into further debt because you have the opportunity to accumulate more debt on the card is now clear.
The loan is an absurdity. Stop.
It is you "tense and broke" the rest of his life.
Get a debit card.
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