credit card question...is this legal?

[AdamDuritz99]

Is it legal to have 2 credit cards and swap the balance back and forth each month to avoid interest rates?

peace
sean

 

[isekii]

i think it's legal but wouldn't it incur interest ?

 

[Mill]

It is legal, but they will rescind their offer after a while.

 

[dude]

How is it even possible to pay one credit card with another? The only forms of payment is check/money order/direct bank transfers. Or so I think...

Is there a sneaky way to do this? I'd like to know!

 

[CanOWorms]

Originally posted by: dude
How is it even possible to pay one credit card with another? The only forms of payment is check/money order/direct bank transfers. Or so I think...

Is there a sneaky way to do this? I'd like to know!

Some of my credit cards send me checks that I can use... maybe they use them?

 

[Viper GTS]

Originally posted by: CanOWorms

Originally posted by: dude
How is it even possible to pay one credit card with another? The only forms of payment is check/money order/direct bank transfers. Or so I think...

Is there a sneaky way to do this? I'd like to know!

Some of my credit cards send me checks that I can use... maybe they use them?

Typically it is done by balance transfers, but that only works if the card has a 0% balance transfer period.

Typically people roll balances onto NEW cards, taking advantage of promo rates.

Viper GTS

 

[dude]

Oh, ok. Balance Transfers are ususally 0% on new cards for a few months or so so that doesn't help me any!

 

[d33pt]

Those checks that you get count as a cash advance...so you'll incur a fee even if you pay off the balance.. trust me, you're not the first to think of this great idea

 

[MrYogi]

Wouldn't they charge for balance transfers?

 

[kranky]

EVEN IF you are offered a 0% balance transfer...
EVEN IF there are no transaction fees...

The only way to truly get the 0% is to not use the card any more until the balance transfer is paid off. The fine print will say payments are applied to the lowest interest rate balance first. So if you transfer $1,000 to a card at 0%, any purchases you make will be accumulating interest at the regular rate, while all your payments are going towards the 0% balance amount.