Beware: Disney Visa Card Balance Transfer Fees

[bouldertcr]

Just wanted to let everyone know that there is a transaction fee associated when transferring a balance to the disney visa rewards card. I just opened up a disney rewards card in November and transferred an existing balance from a previous credit card to take advantage of the 0% APR. Little did I realize that there was a $52 transfer fee associated with this transaction. Apparently, the Disney Visa customer service associate was to have informed me during the process. I don't recall that ever being mentioned because believe me, I would have not gone through with the transfer if I was aware of the transaction fee for that amount. Called Disney visa customer service and there is nothing they can do.

Just want everyone to learn from my mistake and to be aware.

 

[Sunshineanddaisys]

I just want to point out that most if not all credit card companys charge a fee of ussually 3-4% to transfer balences.....it's something you should always ask about before doing a transfer....

 

[disneychrista]

This is pretty standard. And to be clear it is CHASE that charged the fee not dinsey.

 

[Green Tea]

It is pretty cleared stated in the terms. The only bank I've ever seen that didn't charge a fee was Capital One. But decide whether it was worth it for the no interest. WOuld you have paid more than the $52 at the other rate?

 

[jgates]

It is normally very easy to find an online calculator to figure this out for you. We have them on our bank website. If you received a $52 fee and it was approximately $1750 transfer amount and assuming a current rate of 13.99%, you could calculate as follows:


(Making an assumption that they will give you 12 months @ the zero percent)

In that 12 month period at the 13.99% you would pay:


Loan 1 $1,750.00 $0.00 $0.00 $1,750.00
Payment 1 $100.00 $20.12 $79.88 $1,670.12
Payment 2 $100.00 $19.84 $80.16 $1,589.96
Payment 3 $100.00 $18.89 $81.11 $1,508.85
Payment 4 $100.00 $16.19 $83.81 $1,425.04
Payment 5 $100.00 $16.93 $83.07 $1,341.97
Payment 6 $100.00 $15.43 $84.57 $1,257.40
Payment 7 $100.00 $14.94 $85.06 $1,172.34
Payment 8 $100.00 $13.48 $86.52 $1,085.82
Payment 9 $100.00 $12.90 $87.10 $998.72
Payment 10 $100.00 $11.87 $88.13 $910.59
Payment 11 $100.00 $10.47 $89.53 $821.06
Payment 12 $100.00 $9.76 $90.24 $730.82

So you can see (the interest figure being the first one displayed after payment amount on each line) that you would still save WAY more than enough to cover the transfer fee. I calculated using a $100 per month payment assumption since you are a good Budget Boarder LOL and only went 12 months. Obviously if they let it run until balance is paid you are way better off.

SECOND WORD OF ADVICE......

do NOT use the card for ANYTHING else while paying off the promo balances. Any payments will be applied to the LOWEST rate balance first and the higher balances will be accruing interest at the normal card rate.

 

[Golf4food]

Normal procedure. Still saves money paying the one time fee vs. continuing to pay interest over those same 12 months. I'm guessing you were probably paying close to $52 per month in interest before making the transfer - now you've paid it once and get 11 months free - still a great deal. Credit card companies aren't in the business to be generous, they are trying to make money like any business.

 

[bouldertcr]

thanks for the replies. This was the first time I transferred any balance to a new credit card and I should have logically realized that there would be some sort of fee associated with it. In all honesty, the only reason I transfered the balance was to get the disney rewards points. I soon found out that you don't receive any disney rewards points on balance transfers. What an idiot I am. Oh well, chalk it up to learning a lesson. Won't make that same mistake twice. I will pay off the balance immediately. Just me, but I don't like to keep a balance going.....besides I got to start using it to build up disney reward points for next trip in August.

Thanks again everyone for the information.

 

[Tink9295]

Yep. We got nailed on the interest rate. We used the special checks that came with the bill and they said 0% interest for 6 months. Well, we charge everything on our visa card. We pay it off every month. So when the bill came there was not another balance for the check transfer. We called and they told us that all payments will be applied to 0% balance 1st. What a rip off. We complained and said that it's not 0%. There should be 2 balances or the option on where to apply the payment you are making. They were basically rude about the whole thing, even the managers and said we should have known this would happen.
Well so much for 0%. Our $6,000 septic fix ended up costing a lot more. We will NEVER EVER use those checks again.
Our lesson... Always read the fine print and call and ask specific questions. The info that came with the checks was not very clear.