Transferring Auto Loan To Credit Card

[supastar1568]

I only ask because I only owe $2036 on my auto loan.

 

Would it be possible to transfer this amount to a credit card???

 

Maybe not? Because its an installment loan as opposed to a revolving loan?

 

would it be a wise choice?

 

Thanks

[nq]

I had a friend who balance transferred $5000 of an auto loan onto a 1.9% for the life of the transfer deal.

[supastar1568]

I had a friend who balance transferred $5000 of an auto loan onto a 1.9% for the life of the transfer deal.

 

 

yea, i ask because it would save me roughly 300 dollars.

 

i have 17 payments of 137.07 left,which equals like 2330.

 

but on the website of my loan provider, it says i have 2030 left. Which means the extra 300 is coming from interest.

 

so i would save 300 by transfering it either to my chase card with 0% APR till september 06, or opening a new CC (like the citi dividend) and get 0% on it as oppose to the 7.9% from my auto loan

 

 

Would this be a wise financial move?

[NineCount]

GREAT question!

 

I want to do the EXACT same thing!

 

I owe $4000 on an old Auto loan with very high interest.

 

I want to BT to my credit card that has a lower APR for BT's.

 

It could save me a lot of money, but I'm unsure if the CC company will let me and I'm afraid to ask. I fear a CLD. I want to use them for a new Auto loan too, so I'm not sure they would agree to all that.....

 

 

AAahhh!

 

-NineCount

[BostonBabe]

This one should be easy. Just ask for BT checks and mail in the payment.

[MarvBear]

This one should be easy. Just ask for BT checks and mail in the payment.

 

 

Kinda like a no brainer on this one. Just make sure your credit limit has enough leeway so FICO does not kill you for utilization purposes.

[threeve]

I had a friend who balance transferred $5000 of an auto loan onto a 1.9% for the life of the transfer deal.

 

 

yea, i ask because it would save me roughly 300 dollars.

 

i have 17 payments of 137.07 left,which equals like 2330.

 

but on the website of my loan provider, it says i have 2030 left. Which means the extra 300 is coming from interest.

 

so i would save 300 by transfering it either to my chase card with 0% APR till september 06, or opening a new CC (like the citi dividend) and get 0% on it as oppose to the 7.9% from my auto loan

 

 

Would this be a wise financial move?

 

Just keep in mind that unless you pay off the balance before the end of the 0% promotion, you'll be liable for ALL the interest that would have accrued during that time. Sept is only 7 months away, and you have 17 payments left on the car. Unless you could pay the balance completely off by then, this may not be a great idea.

[TomKC]

Just keep in mind that unless you pay off the balance before the end of the 0% promotion, you'll be liable for ALL the interest that would have accrued during that time. Sept is only 7 months away, and you have 17 payments left on the car. Unless you could pay the balance completely off by then, this may not be a great idea.

This is not correct for most standard credit cards (Visa, MasterCard, AMEX, and Discover), you are not liable for all interest that would have accrued if it's not paid off at the end of the promotion. What threeve is referring to are terms that many store branded credit cards use for promotional financing (like Best Buy, Home Depot, Sears or CompUSA, for example), but most (if not all, I've never heard of one) regular credit cards have no such terms for promotional rates.

[mk_378]

The APR on the OP's loan appears to be 18.5%. It's a good idea to do almost anything other than pay 18.5% APR. However credit cards are risky because the rate can be increased without warning. Do it only if you can pay off during the promotional period. Also make sure there is no BT fee because that will eat up a lot of the savings considering the short term of the loan.

 

Someone who can get prime credit cards with zero APR BT's should be able to refinance the car at a CU to a single digit rate, if the CU is willing to deal with a loan that small. Once you pay off the car by transferring it to a credit card it will be difficult to refinance it back to a secured loan (other than at those usurious places).

[threeve]

Just keep in mind that unless you pay off the balance before the end of the 0% promotion, you'll be liable for ALL the interest that would have accrued during that time. Sept is only 7 months away, and you have 17 payments left on the car. Unless you could pay the balance completely off by then, this may not be a great idea.

This is not correct for most standard credit cards (Visa, MasterCard, AMEX, and Discover), you are not liable for all interest that would have accrued if it's not paid off at the end of the promotion. What threeve is referring to are terms that many store branded credit cards use for promotional financing (like Best Buy, Home Depot, Sears or CompUSA, for example), but most (if not all, I've never heard of one) regular credit cards have no such terms for promotional rates.

 

Wow, I apologize if I was wrong about that! Best bet would be to check the terms and conditions of the offer your specific credit card gave you. I apparently need to do some more research. Thanks TomKC!