auto
Rewards points for new car
 Dear Terry,
I want to buy a new car and will pay cash. I also have a credit card that rewards airline miles for every dollar spent. My plan is to buy the car using the credit card and immediately send a payment to the credit card company for the full balance. Is there a pitfall I'm missing, such as a as credit card interest hike when I exceed a certain credit line percentage?
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Tom
 Dear Tom,
There shouldn't be any pitfall with your credit card, as long as you don't exceed your credit limit and you pay it off immediately. However, depending on your credit card agreement, you may be liable for at least 30 days' interest when you pay it off.
You're far more likely to have trouble finding a dealership willing to let you charge your new car on the credit card. That's because the dealership pays as much as 3 percent to the credit card company on every transaction. That's an additional 3 percent profit they would lose on such a big-ticket sale. In my experience, some dealerships will allow you to put a portion of a new car purchase on a credit card, but not the whole cost.  | | This week | | | | • | Domestic small-car sales continue to lag | | • | Can I buy a car with a credit card and collect points? | | • | Why does a $200 a month car cost me $345? | | • | Thanks Terry -- and where can I find rebate data? |
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