New Horizon Business Services Inc.

Different credit card issuers continuously enhance their offers to attract potential customers and keep their own cardholders. Credit cards with zero interest balance transfer rates are popular especially since a lot of cardholders are juggling between payments to pay off their balances and avoid the interest rates.

A 0% credit card balance transfer gives you the chance to pay off balances with the additional interest rate fees. Thus, by transferring balances to a 0% credit card, debts can be managed more easily.

Nevertheless, although a 0% APR card may seem like the best deal, not all available credit cards are worth choosing. Watch out for credit cards that bears the following:

High balance transfer fees. How much is the transfer fee? How much will you need to pay each time you transfer over a balance from another account? Some credit cards with zero interest rate charge as much as $50 on balance transfer fees. Although you save on the interest, you may be spending more on transfer fees.

High penalty charges. How much is late penalty fee? If you happen to miss your due date, you could even get disqualified from enjoying the zero interest rate. More than that, some issuers may even change your zero APR to a variable rate APR.

High interest rates after the introductory offer. How much is the regular interest rate when the introductory period ends? If you’re not careful, you could end up with an even more expensive credit card than the ones you already have.


Do You Need a 0% Balance Transfer Credit Card?

Do you really have balances that you need to transfer to a zero interest card? If your present credit card charges a reasonable rate, it may be better to stick with that one. Avoid the interest rate by paying your charges in full and submitting your payments on time.

On the other hand, if you presently have multiple balances on different accounts and if you are being charged with high interest, then applying for a 0% APR balance transfer card may be the perfect solution.

Another thing to consider is your credit score. Take note that credit cards with zero interest rate-offer usually call for excellent credit. If you have a low score, your application may only get declined.

Last but not least, closely examine the fine print. No matter how tempting the offer is, do not rely on what the ads tell you. See to it that you understand your privileges and limits as a holder of a zero interest rate credit card.


About the Author
Melanie Mathis is a credit analyst and a writer for 8 years. She has been participating in the programs of NHBS, Inc such as their continuous effort in giving out Free Credit Repair and Building Ebook. NHBS also has a list of recommended Bad Credit Loans.
Copyright 2009.