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U R @: Education Center : Money Savers : 0% APR Balance Transfer Tips
0% APR BALANCE TRANSFER TIPS
Want to save a few hundred to a few thousand dollars a year? Look no further than a 0% APR balance transfer credit card. By eliminating your monthly interest expenses, you can make the process of paying off your credit card debt much easier. To make sure you're getting the most out of your new credit card ask yourself the the following questions before you apply online:
1.) Is there a balance transfer fee? Ideally, you want to find a card that charges no balance transfer fees. This can save you 3% on every transfer you make. Unfortunately, no fee balance transfer credit cards are difficult to come by, especially if you want a long 0% interest rate period.
2.) How much is the balance transfer fee? If you are limited to a credit card that charges fees, try seeking out a card that charges a 3% or 4% fee. On smaller balance transfers, 1% doesn't make a difference. But some cards do charge fees of up to 5%, which can add up on larger balance transfers.
3.) What must I do to maintain my 0% rate? The answer to this question is simple: pay your bill on time every month. All credit cards have a default clause. Essentially, this allows them to raise your interest rate if you are late on a payment. Be sure you pay your bill in a timely fashion every month to avoid this interest penalty.
4.) Does the 0% APR apply to just balance transfers? While many cards only offer a 0% APR on balance transfers, a number of cards do offer 0% interest rates on both purchases and balance transfers. To get the most out of your credit card, you may want to consider one of these offers.
To compare current offers and start saving money on interest, visit the balance transfers section of SmartCreditChoices.com.
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