Which is better? A 3% APR loan with no fee vs 3% fee 0 APR

Discuss anything related to interest rates & fees, like balance transfer offers, low rate cards, annual fees, etc.
6 posts
nvtech
Centurion Member
Centurion Member
 
Posts: 150
Joined: Thu Oct 25, 2012 9:28 am
Location: USA/North Carolina

Which is better? A 3% APR loan with no fee vs 3% fee 0 APR

Postby nvtech » Tue Jul 16, 2013 4:59 pm

My math skills were little poor.

I plan to take a 12k BT for 12 months.
I plan to pay $1000 a month.

Could you tell which method is best for taking a BT.

Option 1: 3% fee and 0 APR
Option 2: 3% APR and 0 Fee.

Option 1: I know I will be paying $360 upfront.

What about Option 2...I plan to pay $1000/month.
If I do option 2, what is the total interest I am shelling out?


cashback
Centurion Member
Centurion Member
 
Posts: 793
Joined: Mon Oct 22, 2012 7:11 pm
Location: NY

Postby cashback » Tue Jul 16, 2013 5:42 pm

Option 2 is better.

Option 1 you are paying $360. Option 2 you will pay ~$200 interest.
Credit Cards
Amex BCE 25K ---- PenFed Platinum Rewards 15.5K --- US Bank Cash+ 12K --- Discover IT 6K --- Citi Dividend 5K --- Chase Freedom 12.5K --- Amex SPG 6K --- Citi Thank You Preferred 15K

Not Used
Citi Simplicity - 5K, Sam's Club Discover - 10K

Future Cards
Sallie Mae World Mastercard

FICOs
Exp 772 - TU 781 - Equ 781

DavidNY
Centurion Member
Centurion Member
 
Posts: 1332
Joined: Tue Jul 05, 2011 12:28 pm
Location: New York

Postby DavidNY » Tue Jul 16, 2013 9:44 pm

+1 cashback

nvtech
Centurion Member
Centurion Member
 
Posts: 150
Joined: Thu Oct 25, 2012 9:28 am
Location: USA/North Carolina

Postby nvtech » Tue Jul 16, 2013 11:45 pm

cashback wrote:Option 2 is better.

Option 1 you are paying $360. Option 2 you will pay ~$200 interest.


Thanks Bud...

Can you point me an online calculator..which shows my payments and total interest rates....

I was looking at bankrate.com.

cashback
Centurion Member
Centurion Member
 
Posts: 793
Joined: Mon Oct 22, 2012 7:11 pm
Location: NY

Postby cashback » Tue Jul 16, 2013 11:54 pm

Its an Auto Loan Calculator, but it can be used for anything. Click "show amortization table" to see your payments.
Credit Cards
Amex BCE 25K ---- PenFed Platinum Rewards 15.5K --- US Bank Cash+ 12K --- Discover IT 6K --- Citi Dividend 5K --- Chase Freedom 12.5K --- Amex SPG 6K --- Citi Thank You Preferred 15K

Not Used
Citi Simplicity - 5K, Sam's Club Discover - 10K

Future Cards
Sallie Mae World Mastercard

FICOs
Exp 772 - TU 781 - Equ 781

nvtech
Centurion Member
Centurion Member
 
Posts: 150
Joined: Thu Oct 25, 2012 9:28 am
Location: USA/North Carolina

Postby nvtech » Wed Jul 17, 2013 11:00 pm

heyy..Thank you...I am going with the 3% apr bt.



Return to “Finance Charges & APR Compare”

Who is online

Users browsing this forum: No registered users and 1 guest