Credit Cards wth 0 Interest
Credit Card with 0% Interest are some of the best type of credit cards to apply for.
With the vast array of credit cards available, credit card providers and credit card issuers are vying for consumer business more than ever, and one of the ways they hope to entice consumers is by offering them a 0% interest credit card.
The promotional period of 0% APR (Annual Percentage Rate) usually lasts for a year to fifteen months, but within that time all purchases have a 0% rate on the card, which can make the credit card feel like it is worth it, but do bear in mind that once the promotional period ends, the credit card’s normal APR applies, and it may no longer seem like such a good deal.
Credit card issuers also provide a similar promotional rate for balance transfers, but they usually charge a percentage on the balance transfer, as balance transfers is one of the lucrative ways credit card issuers are able to make a sizeable profit, as balance transfers are one of those type of credit card purchases that is treated as a cash transfer, and with all cash transfers with a credit card, the rate is extremely high, and balance transfers are also one of those credit card payments that is applied to at the last; unfortunately many people don’t realise that their credit card payments are not applied in the way they expect them to be, but the least interest accumulating debt is paid off first, while the more interest accruing debt like balance transfers are paid off last.
Many individuals are able to keep ahead of the tricks of credit card companies, by getting a newer credit card once the promotional period on the current card ends, and transferring the balance of the card to the new card as long as it has an equally beneficial balance transfer and 0% APR. However this can only work if the applicant has a good credit rating, and can apply for these cards with a great percentage of success.
Nothing worse than expecting to move the balance of an old card to a newer card with a better or equal promotional period, only to find out that the application has been turned down, meaning the applicant is stuck with the old card, and all the expenses it comes with.
By and large if a 0% credit card can be obtained, and the balance can be clwared up before the promotional period is up, or moved to another card, it is a great way to leverage some of the benefits of having a credit card.
Visit Debt consolidation for some great info on 0% interest credit cards, and dealing with credit card debts in general.
Filed under: credit cards for bad credit