Is this a good move or not?

iVillage Member
Registered: 11-05-1998
Is this a good move or not?
4
Thu, 12-30-2004 - 11:09am

We got an offer in the mail for a Chase MasterCard with 0 percent on balance transfers through March 2006. I wouldn't want to use the card for purchases at all, but I'd love to tranfer the $6,000 on our Sears card (at 22.9% interest) over to this card, and also the balance on our American Express "Sign and Travel" extended payment account ($2,700 at 27% interest) over to this new card, then work at paying it down/off before March 2006.

Does that sound like a reasonable plan? Should we then close the Sears account (we never use the card anymore) or keep it open because it's our longest-open account (about 18 years).

Any guidance would be appreciated.

Thanks.

Elizabeth

Avatar for cl_phocid
iVillage Member
Registered: 03-26-2003
Thu, 12-30-2004 - 11:17am

Hi Elizabeth - great questions!

All my best,
Danni

Avatar for mymartes
iVillage Member
Registered: 03-26-2003
Thu, 12-30-2004 - 11:38am

Obviously, the final decision is yours.

I personally would just at the offer of a 0% interest c/c until March 2006. We had $40K in c/c. I transferred it to a 0% interest c/c. We saved alot of money in interest. Our balance now is a little over $19K.

As for closing the other c/c, it's up to you. I can't comment on that. I haven't closed any of my older c/c. But that's my choice. I don't use them either.

MYM

iVillage Member
Registered: 02-19-2004
Thu, 12-30-2004 - 5:11pm
I would do it. You will save on the interest. If you can see yourselves using the Sears or other card again, then close it so you won't be tempted. Some people take the card and freeze it, literally in a block of ice. I either hide them from myself or rip the card up when I get it. That way it is open in case I really really need it, but I won't use it, because if I really really need it I have to call the company and get a replacement card first.

Photobucket

iVillage Member
Registered: 05-30-2003
Thu, 12-30-2004 - 6:33pm

That's pretty much what we did, and it has made an ouotstanding difference.

When I finally figured out that the companies didn't care WHO paid the bill, just THAT it got paid, I started looking for cards with a 0% rate. I was able to surf a few balances over and have been pounding away on them steadily ever since. I did cancel all the cards that the balances came from, even our oldest card. For us, it was because the credit cards were just too easy to go back to using.

As long as you're careful about not using the high interest cards again, I'd say,"Surf's Up!"

Lisa