Credit Cards

Which CC is best to overpay (i.e. cost least to transfer to chequing)?

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Which CC is best to overpay (i.e. cost least to transfer to chequing)?

I got a CIBC 0% offer with a 1% BT fee but there are only two upcoming BT offers - MBNA and Canadian Tire -- that are expiring in a few months and that make sense to pay down.

I was told I couldn't request for a BT cheque for this promotion so I can't just deposit the whole amount into my chequing and be creative with the BT funds.


Among these credit cards, does anyone know which one is most flexible when taking out an overpayment and incurring the least cost/fee? I don't mind paying a few dollars for BT fee but of course I don't want to be paying 1% on the transfer out bringing a negative balance to zero.
  1. MBNA Mastercard
  2. Canadian Tire Mastercard
  3. RBC Mastercard
  4. RBC Visa
  5. Rogers Mastercard
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1. MBNA MasterCard
This.

My guess is they're all the same. I've overpaid MBNA cards in the past, and they didn't charge any fee to transfer a positive balance to my chq account.

I have yet to see a CC that charges a fee to transfer positive balance to chq account, but it wouldn't surprise me if one of the big banks do...
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titaniumtux wrote: I have yet to see a CC that charges a fee to transfer positive balance to chq account, but it wouldn't surprise me if one of the big banks do...
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Actually BMO does. And they say that there is no way to waive such a fee.
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uuuu7777 wrote: .
Actually BMO does. And they say that there is no way to waive such a fee.
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:lol:

Big bank effect...Thank you for sharing.
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I have no current data but I have transferred credit/negative balance (it is not positive balance like many often call by mistake) with TD to my chequing and I was never charged.
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So as long as I don't do a balance transfer amount that put my credit card usage above zero (from a negative balance), $7.50 is all I have to pay for? $7.50 is fine by me but of course not a 3% BT fee, lol.

This is on my 6.99% MBNA MC.

Terms and Conditions
✪ Upon approval, we will be sending the balance transfer requested above to the organization and account number as requested and listed above. This balance transfer should be received within 2-5 business days. The transaction fee for this balance transfer is 3.00% of the amount advanced or, if you have a credit balance, the transaction fee for this balance transfer is 3.00% of the difference between the amount advanced and the credit balance and will be calculated at the time the Balance Transfer is processed, which may result in the fee being less than the amount disclosed above (minimum fee $7.50). The standard annual interest rate for the amount of the balance transfer requested above is 6.99%. There is no grace period on balance transfers and interest on such balance(s) will begin to accrue from the applicable transaction date.
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alanbrenton wrote: So as long as I don't do a balance transfer amount that put my credit card usage above zero (from a negative balance), $7.50 is all I have to pay for? $7.50 is fine by me but of course not a 3% BT fee, lol.

This is on my 6.99% MBNA MC.

Terms and Conditions
✪ Upon approval, we will be sending the balance transfer requested above to the organization and account number as requested and listed above. This balance transfer should be received within 2-5 business days. The transaction fee for this balance transfer is 3.00% of the amount advanced or, if you have a credit balance, the transaction fee for this balance transfer is 3.00% of the difference between the amount advanced and the credit balance and will be calculated at the time the Balance Transfer is processed, which may result in the fee being less than the amount disclosed above (minimum fee $7.50). The standard annual interest rate for the amount of the balance transfer requested above is 6.99%. There is no grace period on balance transfers and interest on such balance(s) will begin to accrue from the applicable transaction date.
If you overpaid the MBNA card, there's no $7.5 fee. Reporting from experience.
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[OP]
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Thank you @titaniumtux. I will just overpay this MBNA card as will not get any decent BT offers (6.99% fixed fee for everything). Also, $7.50 is peanuts (if in case it got posted contrary to people's previous experiences) compared to 3% BT fee haha.
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alanbrenton wrote: Thank you @titaniumtux. I will just overpay this MBNA card as will not get any decent BT offers (6.99% fixed fee for everything). Also, $7.50 is peanuts (if in case it got posted contrary to people's previous experiences) compared to 3% BT fee haha.
I don't understand...why overpay it? To borrow money that's already yours afterwards?

I'd only overpay a card if I'm doing cash advances while traveling and want to mitigate interest capitalized daily. Then, when I return from my trip, I have MBNA transfer whatever credit (amount they owe me) back to my chq account.

Why not zero out the MBNA PP balance, cancel it and get a new one? Churn it RFD style.
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titaniumtux wrote: I don't understand...why overpay it? To borrow money that's already yours afterwards?

I'd only overpay a card if I'm doing cash advances while traveling and want to mitigate interest capitalized daily. Then, when I return from my trip, I have MBNA transfer whatever credit (amount they owe me) back to my chq account.

Why not zero out the MBNA PP balance, cancel it and get a new one? Churn it RFD style.
If I overpay and do a BT to my chequing, then I can pay down some LOC balances in the mean time. This MBNA card I'm planning to pay into isn't currently availing of any BT offer. Credit limit is so low after transferring them to my Plat Plus card.

This way, I will be paying the least amount of interest charges.

Some BT offers aren't due until April or June so make sense to pay them a week before the due date. Expecting some hefty tax refunds from 16/17 but need to file them first, haha.
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alanbrenton wrote: If I overpay and do a BT to my chequing, then I can pay down some LOC balances in the mean time. [...]
This way, I will be paying the least amount of interest charges.


It seems to me, that you'll get the very same result if you would pay these LOC balances directly, using the very funds, which you want to use to overpay the MBNA card.

Or, what am I missing ?

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uuuu7777 wrote: It seems to me, that you'll get the very same result if you would pay these LOC balances directly, using the very funds, which you want to use to overpay the MBNA card.

Or, what am I missing ?

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That was my exact thought.

I could understand overpaying/pre-paying a cash advance card where you anticipate a cash advance in order to mitigate the interest. In this case it's a balance transfer card, and OP wants to pre-pay a balance transfer card, just to do a balance transfer. It's like lending money to MBNA and get no interest in return for doing so, while paying interest on the LOC for a couple weeks.
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uuuu7777 wrote: It seems to me, that you'll get the very same result if you would pay these LOC balances directly, using the very funds, which you want to use to overpay the MBNA card.

Or, what am I missing ?

.
My LOCs are not in the list of payees for CIBC BT.
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alanbrenton wrote: My LOCs are not in the list of payees for CIBC BT.
Who are the LOC's with? Is it in a chq account with CIBC? Pay yourself a check or e-transfer to the LOC's. If the LOC's are with sub's or CU's, they usually allow linking accounts for external transfers, only need void chq or PAD stamped by bank, or if TING just the account number :D
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titaniumtux wrote: Who are the LOC's with? Is it in a chq account with CIBC? Pay yourself a check or e-transfer to the LOC's. If the LOC's are with sub's or CU's, they usually allow linking accounts for external transfers, only need void chq or PAD stamped by bank, or if TING just the account number :D
RBC.

Even TD isn't listed and usually it is listed as a payee with Canadian Tire BT offers.

I was advised that I could open a chequing account with CIBC because for this BT offer, it is only via phone or through a CIBC chequing account.
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alanbrenton wrote: RBC.

Even TD isn't listed and usually it is listed as a payee with Canadian Tire BT offers.

I was advised that I could open a chequing account with CIBC because for this BT offer, it is only via phone or through a CIBC chequing account.
You don't have a chq or LOC account with CIBC?

Why not go to the bank, withdraw cash through a teller, then go to RBC and deposit cash?

Seems like a BT via MBNA would take too long. Do it all same day.
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titaniumtux wrote: You don't have a chq or LOC account with CIBC?

Why not go to the bank, withdraw cash through a teller, then go to RBC and deposit cash?

Seems like a BT via MBNA would take too long. Do it all same day.
We can do over the counter for CIBC BT offers? I was told either by phone or chequing (which is probably the cash withdrawal you are suggesting) and we couldn't get a BT cheque in the mail. I'll have my wife confirm tonight if she can take the cash from the teller.
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alanbrenton wrote: We can do over the counter for CIBC BT offers? I was told either by phone or chequing (which is probably the cash withdrawal you are suggesting) and we couldn't get a BT cheque in the mail. I'll have my wife confirm tonight if she can take the cash from the teller.
What account or service do you have with CIBC?

My understanding is you have money with CIBC that you would like to use to pay off a LOC with RBC. If you have money in a chq/sav/LoC account with CIBC, then withdraw funds at a teller (might be fees because CIBC is big five), then take that money to RBC and deposit in LOC.

If you have a CIBC CC and you wanna utilize their BT promo, then why not BT CIBC to RBC LOC?
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titaniumtux wrote: What account or service do you have with CIBC?

My understanding is you have money with CIBC that you would like to use to pay off a LOC with RBC. If you have money in a chq/sav/LoC account with CIBC, then withdraw funds at a teller (might be fees because CIBC is big five), then take that money to RBC and deposit in LOC.

If you have a CIBC CC and you wanna utilize their BT promo, then why not BT CIBC to RBC LOC?
We only have CIBC credit cards, mostly from Citibank card conversions but because we've been receiving occasional 1-2% BT offers for 10 months, we decided to keep all of them.

I don't keep any money with CIBC. I'd like to avail of the CIBC cc BT offer so I can pay off my RBC LOC and keep the rest in my chequing account until other BT offers from other FI's come due.. No I don't have any accounts/loans with CIBC besides credit cards.

I simulated a BT a few nights ago before starting this thread and RBC LOC / TD LOC are not on the list. I will inquire with CIBC if we can cash it out even with a BT fee and if we can't, then I have no choice but to transfer to that 6.99% MBNA card. I don't want to BT to any other cc that is currently availing of a BT offer as I will have to pay the BT fee again. :)
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alanbrenton wrote: We only have CIBC credit cards, mostly from Citibank card conversions but because we've been receiving occasional 1-2% BT offers for 10 months, we decided to keep all of them.

I don't keep any money with CIBC. I'd like to avail of the CIBC cc BT offer so I can pay off my RBC LOC and keep the rest in my chequing account until other BT offers from other FI's come due.. No I don't have any accounts/loans with CIBC besides credit cards.

I simulated a BT a few nights ago before starting this thread and RBC LOC / TD LOC are not on the list. I will inquire with CIBC if we can cash it out even with a BT fee and if we can't, then I have no choice but to transfer to that 6.99% MBNA card. I don't want to BT to any other cc that is currently availing of a BT offer as I will have to pay the BT fee again. :)
BT from CIBC CC to RBC LOC. @zcypher BT'd from MBNA to TD LOC. Give 'em institution/transit/account # and setup BT :D
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