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balance of $350 on your card and your purchase APR is 15%. Now, you make a balance transfer of $2,000 on your card for 0% APR. Now the monthly payments first city mortgage you make, they will apply completely towards those $2,000 that you transferred. The balance of $350 from the purchase stays first city mortgage accruing interest on that at the rate of 15% APR. This also suggests that you should not use the same card to make any purchases after you make a balance transfer using that card. The reason is the same as explained above. Any monthly payments that you make is going towards your balance transfer letting the purchase balance to accrue interest at a higher APR, first city mortgage you should never make a balance transfer on your card unless the balance is zero. A second mortgage is a secured
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