Picking up Nickels

Monday, October 16, 2006

MBNA Bill Pay Choice: About to disappear next week?

I have been using the bill pay feature of my MBNA credit cards to pay some of my bills for about three years now, which has allowed me to use my credit card to pay my electric bill, other credit cards, and even my monthly mortgage payment! I may not earn any credit card rewards with this strategy, but it has enabled me to have an extra month of interest-free float for some of my cash.

Unfortunately, I believe that Bank of America will kill this great deal on October 23rd, when they transition all MBNA credit cards over to the Bank of America web site. Although I am not 100% certain that Bank of America will kill this program, I think it is very likely that I will soon lose the ability to put a November mortgage payment on an MBNA credit card and not have to actually pay for it until December.

Since I doubt that Bank of America will continue to provide consumers with such a great deal, I will be setting up a couple of MBNA Bill Pay Choice transactions this week in case this functionality disappears next week, and I encourage anyone else who uses this strategy to do the same.

4 Comments:

  • I scheduled a year's worth of mortgage payments about 2 weeks ago. LOL.

    A year is the max you can go. We'll see what happens.

    By Anonymous indexfundfan, at 10/16/06, 3:18 PM  

  • Wow, you're far braver than I am. I would be worried that BOA would mess something up. :)

    By Blogger Frugal Frugalson, at 10/17/06, 7:46 AM  

  • Question: Doesn't using your MBNA card to pay mortgage count towards your cash-advance instead of purchase ?

    By Anonymous Anonymous, at 10/18/06, 4:15 PM  

  • Every bill that I have paid with the MBNA billpay service has been treated as a purchase and not a cash advance.

    You do get the full interest-free grace period, but do not earn rewards though.

    By Blogger Frugal Frugalson, at 10/18/06, 5:23 PM  

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