Related Credit Card Article

"Think carefully before taking out a 0% balance transfer credit card"

By admin | February 8th, 2008 | Balance Transfers, General

Over recent years 0% balance transfer credit cards have become a valuable tool for consumers that want to try and pay off their credit card balances without being charged further interest. Credit cards are known for the high rates of interest charges on outstanding balances, and many of those with one large credit card balance or even several credit card balances are paying huge sums of interest each month. However, by transferring to a 0% balance transfer card consumers can combine their credit card balances into one, and then enjoy an interest free period during which they should try and repay the total balance in order to avoid paying any interest.

However, although these 0% balance transfer credit cards can prove valuable for those that are able to repay the total transferred balance within the interest free period experts are warning that they are not the most suitable option for everyone. For instance, those that cannot repay the balance within the interest free period will suddenly find the remainder of the balance charged at very high rates of interest once the interest free period expires. Additionally, many will be hit with huge transfer fees when they transfer balances, which can add to the cost.

According to some experts many consumers that are currently paying off credit card balances at high rates of interest may fare better with a low interest balance transfer credit card, which charges a low interest rate on a transferred balance for the life of the balance, so there is no rush to get the balance paid off providing the minimum repayment is being met each month. With these low interest life of balance transfer cards consumers can also avoid the need to pay a transfer fee when transferring their balances.

Tags: 0% balance transfer credit cards

Related Articles:

• Is it the end for capped balance transfer fees?

  Balance transfer credit cards have become very popular over recent years, but over time credit card companies have started to try and make up for the lost revenue that comes with offering a 0% interest period by charging balance transfer fees. A balance transfer card is used by those that have high interest credit card balances,...

• 0% balance transfer credit cards – the facts

  The 0% balance transfer credit card is designed for those with existing credit card balances on which they are being charged high rates of interest. These cards enable borrowers to transfer these existing balances, thus benefiting from having just one credit card debt to deal with and more importantly avoiding interest charges on the balance...

• Halifax extended interest free period on balance transfer card

  There was good news for credit card customers that are looking to transfer the balances off their high interest credit cards onto an interest free balance transfer credit card recently, with one major provider announcing that it was extending the interest free period available on its balance transfer card. The longer interest free period is...

• Consumers told they could benefit from transferring balances

  Industry experts have stated that many consumers could benefit from transferring their balances from high interest credit cards onto 0% balance transfer credit cards in the run up to Christmas, which could potentially save them a small fortune in interest at a time when finances may be tight. According to officials from APACS, the payment...

• Watching out for the catches with 0% balance transfer cards

  Following the expensive Christmas and New Year periods many consumers have been looking to transfer their balances from their high interest credit cards onto 0% balance transfer cards, but experts are urging these consumers to watch out for the catches that comes with many 0% balance transfer cards so that they don’t end up paying...

Other Recent Articles

Increase in availability of interest free credit cards

A recent report has claimed that the number of interest free balance transfer credit cards is on the increase, with...

By admin | March 13, 2010 | Read More

Cash back credit cards set to become increasingly rare

The rewards based credit card has become very popular over recent years, particularly amongst those that tend to repay their...

By admin | March 9, 2010 | Read More

Capital One customers hit by huge increases on credit cards

According to recent reports many credit card customers that have cards with Capital One have been stung with huge increases...

By admin | March 5, 2010 | Read More

New high for credit card interest rates

Recently released figures have shown that credit card interest rates in the UK have reached a new high, despite the...

By admin | March 3, 2010 | Read More

Credit card firms reject many proposals

A number of proposals have been put forward recently to try and increase fairness for credit card customers, with the...

By admin | March 1, 2010 | Read More