Can You Pay a Credit Card with a Credit Card – Let s face it: We all run brief on money from time-to-time. If you’re scrambling to discover the cash for the minimum payment on your charge card, can you use another card to pay it?
The answer is yes, however, there might be a much better option. Take a look at the details below for more information.
Utilizing a credit card to pay another charge card is possible
Technically, you can utilize a charge card to pay another charge card, although you probably won’t be able to do this directly. Most issuers won’t enable you to simply punch in another charge card number online to make your payment.
But there s a way around this: You can take a cash advance from one charge card at an ATM, deposit the money into your checking account, then use those funds to pay your other card. Alternatively, you might utilize the benefit checks sent by your credit card issuer to make a deposit into your checking account and attain the very same effect.
Remember, though, that both of these techniques bring considerable costs. Cash advances (taken from an ATM or through using a convenience check) usually bring a much greater rate of interest than the one you re paying on purchases. Also, your issuer will charge you a cash-advance cost of 2% to 5% just for tapping the funds. As an outcome, utilizing these methods to make a credit card payment need to be considered the last hope.
Choosing a balance transfer may be best
If you bring a lot charge card debt that making minimum payments is a battle, transferring your balance to a card that s providing a 0% APR promo may be a smart concept. There are numerous cards on the market that offer 12 months or more interest-free if you have outstanding credit. This is a generous amount of time to settle your financial obligation without incurring financing charges.
However, there are some mistakes to think about before choosing a balance transfer. For something, there will probably be a fee included. Many issuers charge a balance transfer charge of 3% to 5%, which will cut into the general savings you’ll see from doing the balance transfer in the very first location. However, there are a few cards on the marketplace that either don t charge this cost or waive it under particular conditions.
Likewise, if you do choose a balance transfer, it’s essential to make your payments on time. Missing even one might cause the issuer to cancel your 0% offer and begin charging you interest right away.
Finally, remember that 0% promos wear t last permanently. It’s your responsibility to track when your interest-free period is up; the Geeks advise striving to settle your balance before the initial period expires.
Tips: Depending on how much credit card debt you’re carrying and how long you’ll need to pay it off, you may be better off consolidating it with a personal loan.