I bought a bike on credit with a annual percentage rate of 15.740% for 36 months. I bought it in May of 2006 I am going into my 8th payment. I recently got an offer that states that I can transfer balances with no fee and no interest for 18 months. I plan to pay or sell my bike by then. The begining loan amount was 4500. How much money would I save if I took this credit card company%26#039;s offer?Would it be worth it.
Refinancing loan problem?business loan
The only advice I could give you is to make sure that it is not deffered interest which means that if you don%26#039;t pay off the loan withinh those 18 months, they will add up all the interest after the 18 months are over. So if you do refinance make sure you do sell it before 18 months.
Refinancing loan problem? loan
In 18 months u will save about $1,000 in interest.
Divide the rate by 100----%26gt; 15.740/100= .15740
Multiply this by the loan amount----%26gt; $4500 x .15740= $708.30
Divide the that by 12 months in a year 708.30/12= $59.025
$59.025 is the monthly interest not taking into account the payments u are making....so this would be an approximate answer.
59.025 x 18months= $1062.-----%26gt; so the actual savings would be between $800 and $1000 depending on your monthly payment.
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