I got off the phone with a Citibank representative today after discussing credit card balance transfer offers at length.
She informed me that making multiple credit card balance transfer requests under one offer would result in multiple balance transfer fees.
Now typically a balance transfer fee ranges from $5 to $100, or a maximum of 3% of the transfer.
But say you wanted to use a balance transfer to pay off your $1,500 American Express bill, your $2,000 Chase credit card, and take $1,000 cash.
You’d be charged three separate balance transfer fees, one for each transaction, despite executing the transfer on one form.
Using the example above based on a 3% fee, you’d be looking at an aggregate fee of $135 to make the balance transfers.
So instead of choosing multiple balance transfers, in this case it’s better to have a checked mailed to you, at which point you would allocate the payments on your own.
Citibank allows cardholders to request a check instead of a balance transfer without costly cash advance fees.
And its’ pretty simple to cash the check and electronically transfer the fees to whatever banking institutions you choose.
Make sure you check with the credit card issuer before making multiple balance transfers, as terms and conditions will vary.
Though these offers look convenient and provide the opportunity to save time, they could cost you more than you bargained for.