Something to keep in mind.

Discussion in 'Credit Talk' started by creditwork, Jun 25, 2000.

  1. creditwork

    creditwork Well-Known Member

    I am usually a very strong proponent of using the teaser rates to profit from your credit. I like to just make you all aware that even 0% teaser rates can cost you money, if you do not pay the balance in full that first month. Credit card issuers are notorious for trying to fool the consumer with their tactics. The next time you get a teaser rate, look at what happens when the invoice comes. The finance charge incurred on any purchases accumulates even if you make a large payment. Why?
    Simply, because they will apply your payment towards the lower interest debt first. Also, keep in mind the finance charge on the finance charge is computed at the normal interest rate being charged, not the teaser rate.

    Profit from the experience.

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