All of this
It’s like a game
They want you to be late on repayments = win for them
You want to be on time for repayments = free credit
Be disciplined about it
But as an overall strategy, a home loan (especially right now) is the cheapest credit you’ll ever get.
If you are not paying off a CC each month you should probably not have one and a DC is better for you.
I like the flexibility it gives me and always go with a no fee card.
The interest free balance transfer is your best bet as mentioned above. Can always transfer again to get interest free again if you don’t quite get there.
Depends how much you are looking at borrowing. Banks are becoming tighter and tighter with handing out loans.
I would pay off your CC debt quicker than ASAP. Cheaper to take out a loan with a bank to cover the credit card
Balance transfer is the go by the sound of it… like N4S said.
Also “NOT” spending beyond your means is another good idea… you never want to be paying CC interest ever… its ridiculous. Avoid like the plague.
Nothing wrong with having a CC… points are good, security, purchasing is easy etc… But you have to pay it off every month on time in full… They will get you if you are even 30cents short for the whole principle. There just waiting for you to slip up.
Yep, I’ve played the game for 20 years.
All funds go straight into the Home loan, … use the Plat Card for everything and get their money for 55 days Int free while saving Interest on the Mortgage balance, then redraw from that to pay the card when due, … at the same time accruing enough points through the year to get about 6 to 10 $100 vouchers for David Jones, Myer etc to give kids siblings etc for Xmas prezzies in cards.
Life simplified. But if you haven’t got the discipline, … forget it.
im currently haggling with denise from comm bank for a personal loan. doesn’t look much different from a zero pc interest CC with virgin or someone. and you can run start up fee into loan with both of them.
I need a bex and a good lie down.
moving house so that’s definitely the way im doing it next time.
I got myself into bad strife about 6-7 years ago whilst I was living in Perth. Living beyond me means, had a personal loan for my car, I then maxed out my credit card ($15K limit), which the bank then cleared for me with a 2nd personal loan. All up on top of my rent I was paying roughly $1K a month on loans. Basically saving no money, pay going in, pay going out. Now I’m completely debt free since moving back to Melbourne. Spent 18 months living with my folks which basically helped clear my loans out. Now no loans, have a credit card which has a $5K limit but I pay back everything on there in full every month so no interest accrues. Moral of the story, don’t go overboard!
I’ve never had a Credit Card and grateful for it, only ever had one personal loan for my car which is what I have now.
whats the difference between a purchase rate and interest free period for purchases. virgins got the purchase rate of 0 pc for 14 months and interest free period for purchases for 44 days…
actually I think that’s what the rate reverts too after the 14 months. maybe?
And the tolerance. Don’t forget the tolerance
What about his toes?
Genetic. They have the toes.
Most Purchases will be interest free up to a defined timeframe. Typically this is 55 days.
But remember, the plan isn’t to balance transfer and then use the card for purchases so this should not matter.
Gotcha. Are you a finance guru
Same here crazy, never owned a credit card, a purposeful decision. Bought all my cars over the years with cash, due to saving. Don’t believe in car loans. Don’t have the cash, can’t afford the car. Cars are the worst financial investment one can make, so avoiding a loan hurts less.
Unfortunately the state of housing, it’s near impossible to not have a home loan being an owner, but the priority has always to be paying down the loan as quickly and as financially responsibly as possible.
All boring advice, but in my experience, the most sound.
I dabble in this space.
I’m a chronic earn and churn CC user. Probably go through 4-5 CC’s a year just for the FF points. Usually look for a CC that has a points promo and after I’ve done enough to get the points I’ll cancel the card and move to the next one. We pay every single bill and put every daily purchase on the CC and then all of our weekly wages go straight on the cards. If we make any larger purchases we aim to pay them off ASAP and don’t like owing any money on the CC’s.