Do you still have a 0% for life balance transfer from Discover Card? Are you required to make two purchases/month to maintain the 0% rate? Well maybe not. I just got off the phone with a Discover CSR. I misplaced my card and asked the CSR if I would have a new card in time to make my two purchases this month to maintain my 0% rate. The CSR stated they no longer require the purchases to maintain the BT rate. She also said Discover made the change several months ago but has never communicated the change to any of their customers. She said they were told to share it on a need to know basis. Can anyone else confirm this?
I have been charging $.50x2 at the gas pump for several years during my regular fill-ups.
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posted: Nov. 2, 2009 @ 9:36p
sethdallob
Senior Member - 1K
posted: Nov. 2, 2009 @ 11:08p
The only problem with this is when they decide to turn that rule back on without notifying customers either. And, there is the possibility you were dealing with a moron at the call center. I'd sure want some more collaboration on this before diving in...big penalty for being wrong.
might not be for all... one of my donations did not process some how and I was hit with 25% interest... So I paid it off.... that was about 3 months ago YMMV
Translation: they were told to share this misinformation on a need-to-get-rid-of-0%-for-life-balances basis.
Neidman
Member
posted: Nov. 3, 2009 @ 4:09a
I have 2 Discover cards that I have the 0% for life on, with a requirement of 2 purchases a month. Up until 2 months ago my statements always included the following words: "Congratulations! Your special Balance Transfer rate(s) has been extended for another billing period, as described in the offer. Call 1-800-DISCOVER (1-800-347-2683) to find out which balance transfer rate(s) has been extended. Please be sure to make the required transactions during this billing period to extend your special balance transfer rate(s) for another billing period!" For the last 2 statements those words no longer appear on the statement.
^^^ Ditto and I ended up paying back a hefty $22K, which was expected to ride at 0% for a long time.
DTASFAB
Senior Member
posted: Nov. 3, 2009 @ 11:21a
They can't just turn that rule back on without notifying customers, because the new laws going into effect in 2010 prohibit issuers from requiring a minimum number of monthly transactions. They turned the rule "off" and didn't tell anyone about it because they didn't really want to turn it off. They had no choice by law. I suppose their decision to turn it off early was simply in preparation for the law changing in a few months. I read about it in the Citi 0% for life thread. It's all there if you take the time to read it.
AORs were fun, but i have moved on to other profit making enterprises. I screwed up - forgot to use card - 2 time and they reinstated both times. The 3rd time , i just paid it off as the balance was under $2K
Neidman said: I have 2 Discover cards that I have the 0% for life on, with a requirement of 2 purchases a month. Up until 2 months ago my statements always included the following words: "Congratulations! Your special Balance Transfer rate(s) has been extended for another billing period, as described in the offer. Call 1-800-DISCOVER (1-800-347-2683) to find out which balance transfer rate(s) has been extended. Please be sure to make the required transactions during this billing period to extend your special balance transfer rate(s) for another billing period!" For the last 2 statements those words no longer appear on the statement.
ditto for me. I would like to verify this as well.
But like sethdallob said, how do you know for sure? I would like something in writing...
$1 recurring to Humane Society of US $1 recurring to Nature Conservancy $.50 in interest each month Peace of mind - not that hard to do, and not expensive.
DTASFAB
Senior Member
posted: Nov. 6, 2009 @ 4:56p
If giving $12 a year to Wayne Pacelle gives you peace of mind, that is very expensive.
I called the Discover Card customer service and confirmed that what OP said is 100% right. I didn't purchase anything for last month and still I am getting 0% APR for my balance that I did BT. So, this good news is confirmed. Thanks OP.
I called also and this CSR also confirmed OP, but claimed that they did send the information in the recent CIT notice (that jacked the minpay floor to $40 but also stated that payment above the minimum will go to highest APR first). I pretended to have misplaced the notice and asked the CSR for a resend, which I am still waiting for. Nope, did not see it in the original even on a slow reread.
my payment went up from 2% to 2.5% (on a 1.9 % for life offer)
also confirmed that after Feb 1st any excess to minimum payment is to be applied to high rate balance. i suspect the increase in minimum payment was one way they could dull the impact of the credit card law change
Neidman
Member
posted: Jan. 7, 2010 @ 5:16p
Still 2% for me on one of my 0% for life offers, statement dated 1/6.
Edit 2: Just called them, and what is really happening is that their new agreement (in response to the CARD Act), is that all existing balance transfers will be subject to a 2% minimum, or 2% plus $40 if balance is greater than $40.
SummerSoFar said: Just called them, and what is really happening is that their new agreement (in response to the CARD Act), is that all existing balance transfers will be subject to a 2% minimum, or 2% plus $40, whichever is greater. Grrrr,,,,,Thanks for the info. That fits, was trying to figure out why my $5,600 0% for life balance was billing out at a $153 minimum, and that explains it.
Irritating that they're blaming this on the CARD Act, which requires nothing of the kind. Just say you're accelerating the loan, please. At least they aren't massively increasing minpays like Chase did for many of its customers.
Edit 2: Just called them, and what is really happening is that their new agreement (in response to the CARD Act), is that all existing balance transfers will be subject to a 2% minimum, or 2% plus $40, whichever is greater. Grrrr,,,,,
Thank you for your recent inquiry regarding the extension of the balance transfer rate on your Discover Card account.
Great News! You no longer have to make transactions in order to extend your balance transfer rate on your transferred balance per the terms of the original offer.
Please keep in mind that if you pay late, the promotional Annual Percentage Rate (APR) will end, and we may increase all of your APR's to a variable Default Rate of up to 29.99%. This change does not affect any other Balance Transfers or other promotional rates and terms that you may have on your account.
Remember, Discover Card rewards you with CashBack Bonus for the things you buy. We did not advertise this as we encourage you to continue using your account for your purchases to increase your CashBack Bonus balance.
We appreciate your business and hope you enjoy the many benefits of being a Discover Cardmember.
Sincerely,
Rachelle
Dow1000
Member
posted: Jan. 18, 2010 @ 9:39p
SUCKISSTAPLES said: That sucks bc I screwed up my 2 purchases (they posted late) about 4 months ago!
They jacked my rate and would not reinstate the 0% at that time.
Thank you for your recent inquiry regarding the extension of the balance transfer rate on your Discover Card account.
Great News! You no longer have to make transactions in order to extend your balance transfer rate on your transferred balance per the terms of the original offer.
Please keep in mind that if you pay late, the promotional Annual Percentage Rate (APR) will end, and we may increase all of your APR's to a variable Default Rate of up to 29.99%. This change does not affect any other Balance Transfers or other promotional rates and terms that you may have on your account.
Remember, Discover Card rewards you with CashBack Bonus for the things you buy. We did not advertise this as we encourage you to continue using your account for your purchases to increase your CashBack Bonus balance.
We appreciate your business and hope you enjoy the many benefits of being a Discover Cardmember.
Sincerely,
Rachelle
What method did you use for inquiry and is their reply an email or snail mail? Thanks.
Please advise if I am still required to make two transactions per billing cycle in order to retain the 0% balance transfer rate on the transferred balance per the terms of the original offer.
Thank you for your recent inquiry regarding the extension of the balance transfer rate on your Discover Card account.
Great News! You no longer have to make transactions in order to extend your balance transfer rate on your transferred balance per the terms of the original offer.
Please keep in mind that if you pay late, the promotional Annual Percentage Rate (APR) will end, and we may increase all of your APR's to a variable Default Rate of up to 29.99%. This change does not affect any other Balance Transfers or other promotional rates and terms that you may have on your account.
Remember, Discover Card rewards you with CashBack Bonus for the things you buy. We did not advertise this as we encourage you to continue using your account for your purchases to increase your CashBack Bonus balance.
We appreciate your business and hope you enjoy the many benefits of being a Discover Cardmember.
Sincerely,
Rachelle
Got the same exact reply to my secure email last week.
Thank you for your recent inquiry regarding the extension of the balance transfer rate on your Discover Card account.
Great News! You no longer have to make transactions in order to extend your balance transfer rate on your transferred balance per the terms of the original offer.
Please keep in mind that if you pay late, the promotional Annual Percentage Rate (APR) will end, and we may increase all of your APR's to a variable Default Rate of up to 29.99%. This change does not affect any other Balance Transfers or other promotional rates and terms that you may have on your account.
Remember, Discover Card rewards you with CashBack Bonus for the things you buy. We did not advertise this as we encourage you to continue using your account for your purchases to increase your CashBack Bonus balance.
We appreciate your business and hope you enjoy the many benefits of being a Discover Cardmember.
Sincerely,
Rachelle
Got the same exact reply to my secure email last week.
Same responce here as well with my two accounts. Yea!
I contacted Citi as well about my 0%/2 transaction-per-month account with them, and their responce was that they are still analyzing the potential effects of the CARD Act, and could not comment on what changes may occur. I guess I will contact them again with the same question after Feb. 22nd.
Neidman
Member
posted: Feb. 8, 2010 @ 6:50p
I wonder if those wiser than me can tell me if I am correct in the following.
As I understand the new creditcard law money paid over the minimum goes toward higher-interest charge debt.
Lets say I have a Discover card with 0% for life. I am now paying $50 a month, the minimum.
If I charge $800 on this card this month (to take advantage of the 5% CashBack special) and then pay $800 plus the minimum on my next statement, am I correct in thinking the 0% for life shouldn't be effected?
Neidman said: I wonder if those wiser than me can tell me if I am correct in the following.
As I understand the new creditcard law money paid over the minimum goes toward higher-interest charge debt.
Lets say I have a Discover card with 0% for life. I am now paying $50 a month, the minimum.
If I charge $800 on this card this month (to take advantage of the 5% CashBack special) and then pay $800 plus the minimum on my next statement, am I correct in thinking the 0% for life shouldn't be effected?
AFAIK, you are correct, however I wouldn't do it until after the 22nd of the month (when CARD goes into effect).
btuttle
Senior Member
posted: Feb. 8, 2010 @ 9:21p
This is my understanding. The start date of this part of the law is Feb. 22nd. I am not clear whether that means billing cycles that "begin" after that date or "end" after that date.
I pay more than the minimum, so I am just waiting until that extra is applied to the existing purchases balance.
My understanding is credit rules about payment applied to interest are changing. Rather than payments being applied to lowest interest first, payments are applied to the highest interest (perhaps the non-BT part of the balance).. Wonder if this will bring 0% BT cards to an end.
hbrobinson
Geeky member
posted: Feb. 9, 2010 @ 1:12p
Got the "Good News" response from Discover too, so no more 2/month for me. Thanks for the info.
btuttle
Senior Member
posted: Feb. 9, 2010 @ 1:22p
dcg9381 said: My understanding is credit rules about payment applied to interest are changing. Rather than payments being applied to lowest interest first, payments are applied to the highest interest (perhaps the non-BT part of the balance).. Wonder if this will bring 0% BT cards to an end.Payments amounts "above" the minimum payment are applied to the highest rate. The minimum payment can(and will) still be applied to the lowest rate. Yes, this will likely have a dampening effect on low interest balance transfer offers. Also, it will tend to keep the recent trend 0f 3%-5% uncapped balance transfer fees.
Banks were not offering 0% no fee balalnce transfers out of the goodness of their hearts. They were doing it for two factors. First, was the majoriy of people (non-FW) would still make charges on their cards and pay the higher rate on the balances while they slowly paid down their low rate balances. Second, people would pay off only the minimum and still have a large balance at the end to be paid off at a higher rate.
This part of the legislation was for people too stupid to understand the terms of balalnce transfer offers, or not disciplined enough to do so. Now I guess one could make the case that the people who most benefitted from 0% offers were those who didn't need it (AOR, etc...). Still I see this as the further dumbing down of America. Protect the American public from their own stupidity.
umcsom said: Message: Do I still need to make 2 purchases every month to keep my 0% interest rate? For some reason my 2 purchases for this payment cycle are not showing up. What do I need to do?
Discover said: Thank you for your recent inquiry regarding the extension of the balance transfer rate on your Discover Card account. Great News! You no longer have to make transactions in order to extend your balance transfer rate on your transferred balance per the terms of the original offer. Please keep in mind that if you pay late, the promotional Annual Percentage Rate (APR) will end, and we may increase all of your APR's to a variable Default Rate of up to 29.99%. This change does not affect any other Balance Transfers or other promotional rates and terms that you may have on your account. Remember, Discover Card rewards you with CashBack Bonus for the things you buy. We encourage you to continue using your account for your purchases to increase your CashBack Bonus balance. We appreciate your business and hope you enjoy the many benefits of being a Discover Cardmember. Sincerely, Katie
I just received a letter from Discover saying the purchases were no longer required. Glad I don't have to remember that $1 worth of gas every month. $15K virtually interest free! Thanks Discover!
Skipping 3 Messages...
Whazzup00
Member
posted: Apr. 10, 2010 @ 2:40a
Thanks for the heads up. I just got a letter from Discover as well. Discover is awesome and God bless auto-pay.
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