Balance Transfer Credit Card from one to another, Move over a debt from one credit card to another, almost at no cost! Balance Transfer Credit Card is a process, where you pay a card outstanding from a card with the other. The balance could be part or full, at times you can transfer a consolidated balance to just one card. The best cards are those that offer an interest-free period. Some companies let you make a balance shift almost immediately. The finding of the right card, the right issuer, counts.
The card issuing company attracts customers by luring them with an initial free grace period say six months to a year or a minimal rate of interest say as less as 2% to 0%. The balance transfer from the old card happens immediately. Consider this before even thinking about balance transfer credit card. The low interest rate period- Banks and Credit Card Companies offer a 6 months balance transfer period, at times even 12 months and thereafter charge a regular standard APR. Now calculate the time you’ll take to payback, will it be within the free grace period, and the free/minimal interest rate, if yes fine, or else look for ones that offer longer grace periods and lesser rate of interest.
First check out the rate of interest on your current card, then find a card that charges 0% rate or lesser, transfer balance by doing that you escape the interest and in this case, you only have to pay for the balance (minus interest).It may so happen that the new card’s credit limit may turn out to be a limited one compared to the current cards limit, then the borrower can’t possibly transfer the whole balance to the new one. Even if the balance transfer amount fits the new credit limit, it will block the credit until repayment of borrowed amount or the end of the grace period which will result in application of the rate of interest. So far it sounds fine, an idea that proves profitable-saving on the differential rate of interest between cards. To remind you, there are no favours involved here, business is business. Besides there could be extras, additional and hidden charges involved. There could be a certain percentage of transfer fee attached to balance transfers, check the cap off amounts which might cost dearly in the longer run, might run in hundreds overboard.
Check the Annual fees or membership fee.Compound Interest the vicious cycle could land you in more problems, so do keep an eye on the rate of compounded rate of interest-you are paying interest on the interest, carried forward from the previous month.
A friendly transfer credit card-
Balance Transfer amount
Interest-free grace period
Compare the rate of Interest
The amount affordably paid by you every month.
Please read the fine print, and don’t let the card issuer take undue advantage of your situation.Balance Transfer is a good idea with a bad intention.
*See the online application for details about terms and conditions Every reasonable effort has been made to maintain accurate information. However all credit card information is presented without warranty. When you click on the offer you desire you will have an opportunity to review the credit card terms and conditions on the credit card issuer's web site.