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Wednesday, May 1, 2013

TD Visa now charge a 1% fee on credit card balance transfer

Its always kind of a bad day when you have to give that big cheque for rent. I mean why is it costing that much only to have a root under my head? Toooo bad. A couple of hundred bucks just gone with the wind.

I was all so happy yesterday: just like magic, my non-registered portfolio was hitting back the 120k! I never taught I was going to hit it again anytime soon. But today, it went under the 120k. My non-registered portfolio closed today session at a bit more than 119k. I am still lucky, I guess. But I am not lucky anymore with TD Visa.

For what had been now a very very long time, TD Visa offer me special interest rate on credit card balance transfer for 6 months. I had the rate of 4.9%, 2.9% and 1.9%. Currently, the rate on credit card balance transfer at TD Visa is of 2.9%. I had the promotion in my account like 4 ever now. Every 6 months, I take the balance of my TD Visa and transfer it someplace else (on another Visa card). Once the transfer is completed, I transfer the balance from the X other Visa back to TD Visa. In the past, I had named the procedure "ping-pong", I guess you understand why, because it is what it is, its really a hot ping-pong game between 2 Canadian institutions. Nice isn't?

In the past few years, TD Visa treat me like its Queen, its fabulous princess. I am a TD princess. I always get everything or almost I want with TD. Is it nice to be a TD princess? Yeah, it is. But now, the myth is broken. TD Visa is now playing against me.

Wanna long more on what's going on right now between TD Visa and the Dividend Girl?

Ok, well, last time I call TD Visa to have my credit card balance completed, I was told that on May 1st, a credit balance fee of 1% will apply on top of the promotional interest rate. Let say I want to transfer $4 000 over TD Visa at their promotional rate of 2.9%, on top of the interest, a one time fee of 1% ($40 in this example) will apply.

I WAS SHOCKED when I learned this.

TD VISA, the Dividend Girl is really really upset.

AHHHHHHHHHHHHHH What a deception. TD Visa, you used to rock my world, and you too are treating me like shit just like the other bank.

I am no longer a TD princess.

The myth had came to an end.


Anonymous said...

I am assuming you used this money for investing purposes. Did you ever stop to think how you would handle this mess if you are audited by Revenue Canada.

You would have to show everything you did with leverage showing credit card statements and credit line statements. You would basically have to show the paper trail and that the money was used for investing purposes only. That could be a nightmare.

I use leverage but the paper trail is easy. Line of credit to the broker account one time only.

Liquid said...

That's too bad to hear. I was going to use the 2.9% visa cheques to pay down some other debts I have, but now I'm not sure if I should. Banks are always thinking of new ways to make money. And it's often at the expense of their loyal customers.

Anonymous said...

You need to stop borrowing from credit cards to pay off margin to invest. Seriously! Derek Foster would agree with me on this one.

Sunny said...

Revenue Canada can come over anytime they want. With the salary I am making, I could only take the money on debt to invest, pretty basic calculation if you see what I mean. They can audit me anytime they want.


And I am single too so what the.

Anonymous said...

now you will your learn your lesson. you are not paying off your debt, you are just jumping from one credit card to the next and at one point you will get burned badly once all your credit cards stop offering reasonable interest rate. you are already margined to the max in your tdwaterhouse account and also max out on credit cards = recipe for disaster...

Anonymous said...

you are just playing musical chair with your credit card debt. sooner or later it will bite you in the ass. this is probably a good sign that you need to pay off your debt. you portfolio value is inflated with debt masking your true net worth and the feeling you have almost 200K, but in fact you have less than 100K

Anonymous said...

good time to pay off your debt

Anonymous said...

1% transfer not that big of a deal. you only do it once and that's it for another year.

Sunny said...

I have no lesson to learn. But TD does. Even with a few of 1%, the rate of 2.9% is still interesting.

My ass won't be bite anytime soon. I fully load of cash and my credit lines are empty. I don't think you are getting a real sense of my financial situation, especially knowing the cash flow provided by the juicy dividend.

I have a net worth of about 90k. It appears on the right column of my blog.

I even have currently a 1.5k available to do anything I want with it. So go figure who's the sexy one.

Anonymous said...

your assets milestone is very misleading. a better measure of wealth is net worth.

I can buy 2 - 3 properties and report I have 2 million of assets based on market value of the property, but yet I have a mortgage of 1.8 million.

2 million sounds better than 200K of real net worth.

I can also borrow 1 million to invest and claim I am a millionaire and I have 1 million of assets.

I can borrow whatever amount and report I have that amount of assets.

this leads to a false sense of wealth.


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