Can I pay credit card bill from my another credit card?

Can I Pay Credit Card Bill from My Another Credit Card?

Utilizing one credit card to pay off another is generally discouraged due to several drawbacks. However, indirect methods exist to achieve this:

1. Balance Transfer

A balance transfer involves moving debt from one credit card with a high interest rate to another card with a lower rate or a 0% introductory APR. This can temporarily reduce interest charges and provide some breathing room.

Drawbacks:

• Balance transfer fees typically range from 3% to 5% of the transferred amount.
• New card may have a higher interest rate after the introductory period expires.
• May not alleviate the underlying debt accumulation problem.

2. Cash Advance

Using a credit card to withdraw cash, known as a cash advance, can be used to pay off another card. However, this option comes with exorbitant fees and high interest rates.

Drawbacks:

• Cash advance fees can range from 3% to 5%, plus interest charges from day one.
• Interest rates on cash advances are typically much higher than those on regular purchases.
• Can lead to significant debt accumulation.

3. E-Wallet

Some e-wallet services allow you to link multiple credit cards and make payments using any of them. This can provide some flexibility in managing credit card balances.

Drawbacks:

• May not be available for all credit cards.
• E-wallet services may charge fees for certain transactions.
• Still requires the ability to pay the overall credit card debt eventually.

Conclusion

While these indirect methods can offer temporary relief, it’s crucial to be fully aware of the associated higher interest rates, fees, and the potential for further debt accumulation. Paying off credit card balances directly with cash or from available funds is always the most financially prudent option.