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Old 06-05-2004, 11:43 AM
Dick Watson
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Default Re: Multiple Interest Rates- Same Credit card account

I don't think you can do it directly with Money/ the DRP.

You might want to consider whether it's too much hassle to tell Money a
computed rate. You could simply figure the amount of the balance likely to
be from the transfers and the amount of the balance likely to be from the
purchases. Then figure a weighted average rate. The combined interest rate
will be:

=(transferbalance/balance*transferrate)+(purchasebalance/balance*purchaserat
e)

Beware of the rules they apply for what order they pay down the balances.
I'll bet they pay down the transferred balance, with the lower interest
rate, first. Because of this, you'd continually have to refigure the
weighted average rate to keep getting the optimal solution from DRP. Or, if
you are above average with Excel, you could model what the DRP does outside
of Money on your own and create a more sophisticated model tailored for your
problem at hand. DRP is pretty well generalized.

"kurt hartmann" <hartmannmd[at]comcast.net> wrote in message
news:188b501c44aec$c4548ff0$a501280a[at]phx.gbl...
- quote -

> I am trying to figure out how (if possible) can I set
> several different interest rates according to purchase
> type within the same credit card account. (example: AMEX
> Blue: purchases = 8.98% / Balance transfers = 3.9)
> Any suggestions on how to accomplish this? It directly
> impacts my debt planner plan.



  #-1  
Old 06-05-2004, 11:03 AM
kurt hartmann
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Posts: n/a
Default Multiple Interest Rates- Same Credit card account

I am trying to figure out how (if possible) can I set
several different interest rates according to purchase
type within the same credit card account. (example: AMEX
Blue: purchases = 8.98% / Balance transfers = 3.9)

Any suggestions on how to accomplish this? It directly
impacts my debt planner plan.
 

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account, card, credit, interest, multiple, rates
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