- Discussion board

Okay people, listen up! I just love finding websites like this one promoting the wrong credit cards!!! And the websites so called "credit card experts" really don't have that much expertise at all! Hey Colin, quick question: Someone posted on this website all PO'd because he didn't read his disclosures for his new credit card carefully and ended up paying a higher rate.(I hate rate shoppers!) And this guy was all worried about being burned again, and wanted to know about the best credit card out there. You then proceeded to recommend Discover who calculates their interest on the two-cycle average daily balance! For those of you who don't know what that means I'll give you and example: Say in the month of January you put $10,000 on your Discover card and then pay it off. No interest, right? Good. Then say in the month of February you put on $100 on the card, and only pay $50 dollars off. Now because you are leaving a balance on the card, you are getting interest charged, right? Yes, but not only for the balance in february but also for the purchases that you made in January that you already paid off!!! Hence the term TWO-CYCLE average daily balance. If you want to check it out for yourself go to http://www.discovercard.com and click on the link of any card and look at the terms and conditions and look to see what the method of computing their interest. I guarantee everyone will be disappointed~especially in a website that's supposed to be supporting the best credit cards! Also this website promotes low intro rates, meaning the also promote balance transfers. People who rate shop and transfer balances around, they open accounts, they close accounts, those type of people are ruining there credit score!!!

Hello. Your scenario regarding two-cycle billing is accurate, but the billing method is only one consideration when selecting the best card. The 0% intro APR for 8 months is a great deal any way you slice it. The only time that two-cycle billing affects the interest charged, is when you flip flop between carrying a balance and paying your bill in full. If you carry a balance for the intro APR then aggressively pay it down, or always carry a balance or never carry a balance, then the billing method will not affect your interest charges. It is obviously not a good idea to be constantly opening and closing credit card accounts, but moving balances around occassionally or making sure your current issuer is giving you a reasonable rate, in my opinion is really just prudent personal finance. You really have no basis in saying this activity ruins peoples credit. Can you provide some supporting evidence of this?

I have to say again colin is correct. I have 2 credit cards neither of which carry a balance on them. Do you think I care how interest is figured on the account, I pay it durring the grace period. I am much more interested in card exceptance, cash back, and service I recieve. As a customer service rep myself, ( and yes I am a customer service rep for Discover Card) I look to the service I recieve on the phone higher than any other reason to carry a card.

FYI
I carry an mbna card and a discover card