Originally posted by tamu91
Jel .. it sounds like you and your DH have studied these offer in depth so let me ask a question that I'm not clear on. I probably can call Discover but this way is much more fun than having to call and be put on hold for 10 minutes 
Usually you have 30 days to pay off your purchases with no interest consequences. How does it differ if you have transfered balance on your account? Can you differentiate the payment you're making? In other words, can you pay your 2% down on a monthly basis and also pay off your purchase balance before it accrues any interest charge. 
I was going to apply for a Chase card but there is no guarantee that I will receive the 0% offer so I'm now leaning towards using the Discover offer. 
No, you can not do that, as I stated before, this is how Discover Card gets you. All monies paid, even those over the 2% minimum go towards the promotional 0% balance BEFORE being applied to any current charges. Since you already carry a balance, albeit one at 0%, your charges will start earning interest IMMEDIATELY. You only get that 30 day grace period on new charges IF your previous months balance was Zero. If you have a balance of ANY KIND, any new purchases will start earning interest the day your charge them. There is no "grace period" on purchases made with any type of existing balance on a credit card. If you remember, American Express came out with a "True Grace" card a few years ago. You did get the grace period of no interst on new purchases, but any existing balance was charged interest. That was the marketing ploy with that card, but it didn't fare well, since most people didn't understand it, and if you carry a balance, the difference is neglible anyway.
So, for instance, if you decide go balance transfer $10,000 to Discover using their 0% offer, your minimum payment will be $200 the first month. After the promotional period expires, I think it's 6 months, you are still charged the 2% minimum payment on the existing balance, but your new purchases are then added, as well as any finance charges associated with it. So, say your promotional balance is still $10,000 (I know not likely, but It's easier for the math), and you make two separate charges (on the first day of the billing period) of $50 to keep your promotional 0% rate. Assuming a 10% interest rate, you're balance at the end of the month would be the 10k + 100+ 1(finance charge) to give you a balance of 10,101, or a minimum payment of $202. Say you pay $300. Your balance the next month is:
Promotional balance $9,700
Purchases:$100
Previous balance $101
Finance charges: $2 (approx based on purchases being made first day of billing perios)
Total Balance: $9,903
Minimum Payment:198
Unforunately, you can't earmark your payments towards certain purchases, and even if you cover what you've previously purchases, you're only paying down the promotional balance first, all the charges you make to keep the promotional balance active will just sit there, accumulating and earning interest from the day the hit the bill.
