Understanding The 0% Intro Rates Credit Cards

November 6th, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

Word Count:Article Body:
Just like there are a lot of flavors to ice cream or a great deal of genres in music and books, there are also a lot of types to choose from when it comes to credit cards. And because credit cards deal with money and finances, just the slightest variation can spell a whole lot of difference in terms of lifes comforts.

Basically, however, there are just two primary classifications of credit cards: the reward type of credit card and the non-reward type of credit card. But what do you think is best for you? Well, the definition of each type should give you a clue then if youre still unsure on which type of credit card you prefer to own.

The reward type of credit allows you to earn reward points every time you use your credit card. The more money you spend using your reward type credit card, the more points you earn. You can redeem all sorts of prizes with the reward points you earn. The downside however to reward types of credit cards is the high interest rates they charge you.

On the other hand, there is what youd call the non reward type of credit cards. Non reward type of credit cards does not, obviously, offer you the chance to earn bonus or reward points. But they do however charge the credit card owner very low interest rates. One particular type of non-reward credit card should be the focus of our article today and thats the credit card that offers 0% intro rates.

Now, now, now, dont get blinded with the fact that there are the words zero percent (0%) attached to the term credit card because all is not what it seems! Im not saying that a 0% intro rate credit card is a curse or a blessing in disguise but only that you should know what youre getting into first before making any decision that could affect your life.

A 0% intro rate credit card basically allows you to enjoy a zero percent interest rate for a certain period of time. The length of that 0% interest period varies and depends on the credit card company youre planning to apply to. But after the period or promo expires, youll be back to the usual rates and those are the rates that you should start comparing.

If and when you do decide to go for a 0% intro rate credit card, just remember to ask what the rates would be after the promo period expires!

Posted in:
0% APR Credit Cards

Profiting from 0 Interest Credit Cards

August 22nd, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

Word Count:Article Body:
Everyone knows that credit cards are synonymous with debt. However, many people are taking advantage of 0 interest credit cards and making a profit. You just have to learn how to do it before you start. There is no reason whatsoever to make small profits if you are already paying out large sums of money on other debts that you already have. You must first pay off all your high interest credit card debts to benefit.

You must pay close attention to when the introductory offer expires with 0 interest credit cards. If you pay off all your debt prior to the expiration, you will, of course, be saving money.

When using 0 interest credit cards you must try to forget about them and only use them when it is absolutely necessary. You do not want to incur a large debt that you cannot pay back prior to the expiration.

Be sure you have a good credit rating prior to starting on your adventure with 0 interest credit cards.

Now, look for credit card companies that are offering a 0% interest rate. You can find some that offer 0% for six months, 9 months and even some up to a total of 12 months.

Heres how to profit from the use of 0 interest cards. First, transfer the credit limit available on your 0 interest credit card into your bank account as a direct transfer or as cash. Now, transfer the balance you have on your other credit card onto your 0 interest credit card as well, in order to pay off your balance on that card. The money you just received should go into a high interest savings account at your bank. Do not touch this money until your 0% percent is about to expire. You will still owe the money that you transferred on to it, but you will be earning interest on the money in the bank. You will now be able to pay off the balance with the money in the bank and have as well as a chunk of earned interest for yourself.

Remember, for this to work, you cannot run up your payments or charge more on your other card. As long as you have an excellent credit rating, this will work wonders for your bank account and your wallet, if you pay very close attention to the expiration of the 0 interest credit cards before they begin charging the higher APRs. If you do not remember to pay it off prior to the expiration of the 0% interest introductory rate, then you will find yourself owing money at a higher interest rate.

Posted in:
0% APR Credit Cards

Low Interest or 0% APR Credit Cards Take Your

August 20th, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

Low Interest or 0% APR Credit Cards Take Your Pick

Word Count:Article Body:
While many credit cards offer rates hovering between 20% and 24%, some of their competitors offer far lower interest rates, including introductory offers of zero percent interest and ongoing rates below 10%. These rates, obviously, make it much simpler to transfer and pay off balances quickly. Low interest credit cards are in high demand currently and credit card providers have provided a wide variety of low interest and 0% APR offers to keep their place within the steep competition in the credit card market. You could even find some retailers offering 0% APR credit cards, often including purchase rebates and/or discounts. Some credit card providers even offer the 0% APR for up to 15 months. Utilizing a low interest credit card offers an excellent opportunity when making large consumer purchases as well.

Because the market for consumers with excellent credit is so competitive, low interest credit cards are often available with no sign up or annual membership fees. Many times, these fees will keep the cream of the crop credit customers from applying for their cards. If your credit is unblemished, you can take your pick off offers and you should never have to pay a fee to acquire a low interest credit card or 0% APR credit card ever. The fees are only for those with poor credit, who are a significant risk for nonpayment. Shop around until you find a credit card company that is willing to compete for your business by eliminating fees.

The obvious benefit of a low interest credit card is that you will spend a lot less money over time on interest and fees. One thing to watch is the length of the introductory period. Many cards offer low or zero percent interest for several months, and then the interest rate jumps directly up to 20%. Make sure you read the fine print of any credit card offer before you sign up. The more information you have about your credit card upfront, the fewer unpleasant surprises you will face down the road.

One of the most popular ways to save money with 0% APR credit cards is to transfer a balance from a higher interest loan to a new credit card account. Sometimes, the introductory credit card rates are even better than auto loan rates, so there are some who would transfer their remaining car loan debts onto a new credit card and save on interests, knowing they can pay off the balance of the car before the introductory period expires.

Be aware that cash advances may come with their own fees, and with their own correspondingly higher interest rates. There may be separate interest rates for balance transfers, new purchases, and cash advances. While one way low interest credit card companies make money is from the percentage they gain from retailers and merchants, they also make a significant amount of money from people who do not take the time to read all of the specific terms and conditions that go along with their new low interest credit cards. Again, read the fine print before signing up!

Properly researching the card offer in advance will definitely save you a lot of headaches in the future. Do not be one of the many victims of credit card debt; instead, use your low interest credit card to your financial advantage. The key is to find and utilize the available information. The more information you can gather, the better decision you would make. It would be a shame to rejoice over a newly gained low interest or 0% APR credit card, just to open up your bill after the first month of purchases to find an unpleasant surprise. Low interest credit cards could be a real financial lifesaver, but they could easily become a trap for the unaware. Stay ahead of the game, and know what you are getting into before you apply.

Posted in:
0% APR Credit Cards

Is A 0 APR Credit Card Legitimate?

August 9th, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

Word Count:Article Body:
You see all the ads for 0 APR credit cards all around you today. However, are they for real? The truth is yes, they are for real, however, this special 0% APR does not last. You can find all kinds of credit card companies offering a 0 APR credit card for people with excellent credit. Many credit card companies are now offering 0 APR credit cards as part of their incentive program to get you to apply and begin using their credit card for all their purchases. However, there are downsides to some of these offers.

Although they are advertising a 0 APR credit card, the 0 percent APR is not for the entire time that you are a cardholder. You will have to pay close attention to learn how many months they are offering this special 0% APR, you can find them for 3 months, 6 months, 9 months, 12 months and if you are lucky for 15 months. However, now you must check if the offer also includes all new purchases and balance transfers. One company may offer 0% only on balance transfers. If you are using one of these 0 APR credit cards, you will find that you will have to pay the normal interest rate for all new purchases and all money that you pay monthly will be for paying off the original balance, so you will get stuck paying the higher interest rate on your purchases.

It goes something like this say you did a balance transfer of $5,000. This money will not incur finance charges. But then you make a purchase of $1,000 and this money will incur finance charges. You then pay off the $1,000 before you think you will incur any finance charges, however, the $1,000 is applied against the original $5,000 balance transfer. So now you will have $4,000 on the original balance transfer without any interest being charged but the $1,000 in additional purchases is being charged the regular APR, which tends to be pretty steep. Therefore, you may find that it really was not worth the money to use this 0 APR credit card after all.

Another downfall to the 0 APR credit card is that if you do not pay off the entire balance transfer before the introductory offer expires, you may find that you are paying a higher interest rate than you were with your other credit card. Reading all the terms and conditions can aid you in making an educated decision about a 0 APR credit card and whether it is for you.

As such, many of the 0 APR credit cards may sound appealing, however, after the introductory period ends on these offers, the ongoing interest rates and other fees tend to be higher than average, so you may find yourself between a financial rock and a hard place. Just because you can find a 0 APR credit card and get approved this does not mean that you are necessarily going to enjoy a financial life of luxury. Remember, however, there are other fees that are applicable so the credit card issuers are still making tidy profits with annual membership fees and fees for balance transfers. So as usual, it always pays to read the fine print.

Posted in:
0% APR Credit Cards

How To Select A 0% APR Interest Credit Card

August 4th, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

When you are looking for a credit card, you probably already know that you cannot beat a 0% APR interest credit card. After all, what can be better than paying no interest? Of course, this only applies to the introductory offer, but it can sure beat the interest levels you may already be paying on another credit card. Getting the perfect 0% APR interest credit card, however, will not come as easily as that. Here are some other things that you want to look for to make your credit card an even better deal.

0% APR Interest May Apply To More Than One Thing

When you look at the ads for credit cards and you see 0% APR interest credit cards, it may apply to more than one thing. Generally, it applies to the overall interest rate on the credit card. This means that there is no interest charged on a balance during the introductory period. Of course, there will be late fees if you do not make the minimum payment on time.

The other thing it can apply to is the balance transfer option – if it has one. This option on a 0% APR interest credit card means that you can make transfers of outstanding balances from other cards onto this card and pay 0% APR interest. The time frame, however, is what you need to notice, since it may be different than the general introductory offer. Also, check to see if there is a balance transfer fee or not. Some cards can charge up to 4% for this service.

Rewards Available

Just about any kind of reward may be possible with a 0% APR interest credit card. So, if you are looking for air miles, a student card, a business credit card, or any other kind of reward – it can be found somewhere. Rewards means that you can get anywhere from one to six points for every dollar that you charge to the card.

These points accumulate and you can get either rebates in cash amounts, or discounts toward future purchases. Many cards will give you more points toward the purpose of the card (gas card, air miles card, etc.), but many will also give you one to three points for every purchase you make at the grocery store, the pharmacy, and the gas station.

Compare Card Offers

Before you sign-up for the 0% APR interest credit card, you will want to shop around some and see which one may be the best offer for you. There are many offers out there – in the mailbox and online, but not all of them are what you really want. Be sure to look at the various fees, and try to get one that has as few fees as possible. If you have good credit, this will allow you to get a good card and better rates of interest.

Remember to pay for your purchases each month in full and on time. This way you are sure to be able to enjoy the rewards without having fees and charges eat away at your benefits.

Posted in:
0% APR Credit Cards

How To Keep Your Credit Card Interest Rate At 0%

July 25th, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

How To Keep Your Credit Card Interest Rate At 0%

Word Count:Article Body:
We’ve all been tempted by 0% credit card interest rate offers. These offers are usually for short periods of three to 12 months and there are usually conditions attached. For example, the preferential rate may apply to balance transfers, but not to cash withdrawals. The low interest rate may not apply to credit card cheques or purchases either.

People who are carrying a large debt will want to make the most of 0% interest rate offers. Here’s how to keep your credit card interest rate at 0%.

Researching 0% Credit Card Deals

First of all, it is best to research the credit card thoroughly. Consumers need to find out:
- what period the 0% interest rate is for
- whether it is for balance transfers only
- whether it applies to other spending on the card
- what the rate is for cash withdrawals or credit card cheques
- whether there is a balance transfer fee
- what other incentives there are for using the card

Answering these questions will help consumers to decide which 0% credit card is right for them. It is especially important to pay attention to the period that the incentive offer lasts for. To keep paying 0% interest, consumers will need to apply for a new 0% credit card a month to six weeks before the old offer runs out. This leaves time to get the card, activate it and transfer the balance without incurring any additional fees from the current credit card company.

Rate Surfing Benefits

Moving from card to card, or rate surfing, is a common way of keeping interest rates low and paying off as much of a debt as possible. Using a 0% card means that any money paid is reducing the outstanding debt rather than paying interest. This is good news for consumers’ long term financial stability.

Of course, there’s no guarantee that consumers will be able to get another card. This will depend on their credit profile. The best way to maintain a good credit profile is to have some credit card debt (but not too much) and to make all payments on time. This will show credit card companies that you are a good credit risk.

Watch Out For Balance Transfer Fees

Credit card companies do not like credit card tarts, another term for rate surfers, because they lose hundreds of thousands of pounds’ worth of income that they would normally gain from interest. As a result, many credit card companies take their money up front by charging a balance transfer fee of around 2% of the balance transferred. Even with this fee, savvy consumers should be able to shop around for the best rates and pay much less interest than they would normally have done.

In addition to the incentive of a 0% interest rate, consumers can also benefit from other rewards. These include points that can be used for travel, earning vouchers, cash back and charitable contributions. This means that consumers can reduce their outstanding debt and gain a reward as well.

Posted in:
0% APR Credit Cards

Credit Card Balance Transfers – 0% Introductory Offers

June 7th, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

Word Count:Article Body:
Balance transfers have grown in popularity and importance ever since lenders have started using zero per cent interest rates on balance transfers to lure consumers from other companies to their own.

Introductory Offers

These 0% balance transfer offers give the customer a very low, or zero per cent interest rate on any sum transferred from another credit card, over to them. If you are considering a balance transfer then there are two figures you should be aware of. The first is the APR on the balance transfer, or the balance transfer rate. This will tell you the interest that will be charged on the sum transferred and will generally be very low, or free.

Rate Tarts

In fact these introductory balance transfer offers are what caused the introduction a generation of rate tarts. Basically a rate tart is someone who will search for a 0% balance transfer deal over and over again to save money on interest repayments. They will keep transferring balances and keep the cash they have saved in high interest bearing accounts. In a strange sort of way they actually use the banks money to earn money from them, just what the banks have been doing to customers for years, earning money from their customers savings. However, the banks do not like the rate tarts at all and have declared war. The first step, and a very powerful one was the introduction of the balance transfer charge.

Balance Transfer Charge

The other figure you should pay attention to is the balance transfer charge. While you may be charged nothing on the balance once it is on the new card, you may be charged a fee to get it there. This is usually pretty low, about two to three per cent, but you should be aware of it, and only pay it if you have to, and if you genuinely are going to make use of the low balance transfer rate.

Length of Introductory Offer

Another figure that will be of interest when shopping for a good balance transfer deal will be the length of time that the balance transfer rate lasts. It may be six or nine months, and most cards are generally about this period, but make sure you check, as if one card offers you twelve months at one per cent, and another six months at zero per cent, the twelve month card may be more suitable, depending on your circumstances, than the six month card, even though this card has a slightly lower rate.

Get The Best Balance Transfer Deal Available

If you are looking for a good balance transfer deal, then the most important thing to do, is make sure that you shop around and give yourself every opportunity to find the best deal that is available to you. Today, using the Internet, it is easier than ever to search among a huge range of credit card providers and find out exactly what each one is offering.

Only be doing a little home work and shopping around will you be giving yourself the best chance to find the card offers you the best deals. And with offers varying buy such large amounts from lender to lender, and given the amount that people pay on credit card payments, it is vital that you give yourself every opportunity to find the best deals available.

You may freely reprint this article as long as the author bio and live links are left intact.

Posted in:
0% APR Credit Cards

Applying For a 0% Intro Rate Credit Card

May 12th, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

Word Count:Article Body:
When it comes to credit cards, the reward credit cards are usually much more popular because more often than not, consumers are dazzled by the concept of earning points and winning prizes for themselves just by using their credit cards. But you see, thats simply considering one side of reward credit cards and thats the nice side, by the way. The other side would be the high interest rates that reward type of credit cards charge its users. So you see, youre not winning those prizes for free or at least not completely unless you have the means to pay for your purchases before the cut-off period or before you get charged with interest.

This article, however, shall enlighten consumers about the less popular type of credit card and that would be the non-reward credit card. A non-reward credit card does not allow you to earn air miles or win gift certificates and other cool prizes for yourself just by swiping your credit card as often as you can. Rather, a non-reward credit card lets you purchase everything you want with a lower interest rate compared to reward type of credit cards.

Of all non-reward credit cards being offered in the market, its the 0% intro rate credit card that creates the most buzz because of two magic words zero percent! And thats right credit card companies kid you not with their zero percent interest rate offer! But of course, thats not all there is to it. Though we have nothing against 0% intro rate credit cards, we do suggest that you apply for a 0% intro rate credit card only when its the type of credit card that would best suit your needs.

A 0% intro rate credit card would be most suitable to a type of user who can not afford high interest rates like whats being charged by reward credit cards, thats for sure. Secondly, a 0% intro rate credit card would also be most suitable to someone who has pressing needs to buy or acquire something but has not enough money to go through with the purchase. Because of their very situation, having a 0% intro rate credit card would be of most help since even with the required monthly payments, they still wouldnt pay as much as they would with other types of credit cards.

Of course, all good things must come to an end and a 0% intro rate credit card is unfortunately no way different. As it is only an introduction rate, once the time allotted for it elapses, you shall revert to paying for normal interest rates.

But thats a long time coming and you dont have to worry about that yet. Whats important is to be able to buy what you need and applying for a 0% intro rate credit card is the key!

Posted in:
0% APR Credit Cards

About 0% APR Credit Cards

April 30th, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

APR, (which stands for annual percentage rate), is an important factor when deciding what credit card you want to sign up for. Specifically defined, APR is simply the rate of interest you will be charged by your credit card company. Credit cards offer a variety of approaches to APR. Some will offer you a fixed-rate APR, so youll be paying at a particular interest rate for the whole time you have a balance. Others will offer you an introductory APR. You start off with a very low interest rate then after a certain period of time, it would change to a higher rate. However, what you should try to look for are 0% APR credit cards. With 0% APR credit cards, you do not have to worry about an interest rate at all for a defined period of time. In fact, the average time period that most credit cards will offer a 0% APR is usually 6 months to 1 year. There are even a few 0% APR credit cards that may offer this rate for as long as fifteen months!

So, why do 0% APR credit cards exist? Its simple. By offering 0% APR credit cards, companies hope that their customers are going to embark on a spending frenzy. When the phenomenally low APR rate ends, 0% APR credit cards turn into credit cards charging a normal interest rate. The customer has to pay at this rate until their balance is paid in full.

For this reason if youre considering signing up for a 0% APR credit card, it is very important you do whatever you can to pay your balance before the 0% APR term is up. For example, if you get a 0% APR credit card that has a 0% APR for 1 year, you will have exactly 1 year to pay whatever balance you have before you get charged interest. To try and avoid having a balance that you cant afford, its best to spend small and pay it off as soon as you can. You may even want to make your own personal payment plan where you set aside some money thats to only be used for paying your credit card.

With that being said, if youre still interested in obtaining a 0% APR credit card, you should look no further than the Internet. Of course, it may be tempting to use one of the offers that come in the mail, but if you do that you may not get the best 0% APR credit card available. This is because there are some 0% APR credit cards that, in addition to offering a non-existent APR, also offer additional rewards. These can include: special points that can be redeemed for merchandise, travel rewards or even cash back. This means if you spend carefully enough, a 0% APR credit card can actually earn you free stuff or cash to help you pay your other bills. But if you sign up with just any 0% APR credit card offer you might receive in the mail, you may not get these advantages.

So, set the mailing aside and go on the Internet first. Visit a credit card comparison website, choose a card and follow the prompts to sign up for the offer. When you are finished, most 0% APR credit card sites will let you know in a matter of minutes if youre approved or not. If youre not approved do the process again. Keep doing it until you find the right 0% APR credit card. If you cant find anything, only then should you send in any mail-in offers you may have received.

Posted in:
0% APR Credit Cards

0 Apr Credit Cards – Ok, What’s The Catch?

March 31st, 2010 - 
No Comments
Tags:
, , , , , , , , , , , , , , , , , , ,

How can credit card companies offer zero APR credit cards and still make money? Well, now that interest rates have gone up they dont so much anymore. But zero APR cards are can still be found if you look, and the Internet is probably the best source. So whats the catch? There are several:
*sdfj

- Most zero APR credit cards offer zero APR for a limited time, normally no more than a year

Carefully read the fine print to find out exactly how much interest youll be paying later. Some people try to transfer their entire credit card balance to a new zero APR card every year in order to extend their limited time offer indefinitely, but credit card companies are getting wise to this maneuver. Nevertheless, getting a zero APR credit card can be a smart move as long if you read the contract and follow the rules.

- There is usually a an annual fee.

$20 is no problem, but beware triple-digit fees just to get zero APR for 12 months.

- Zero APR card issuers make money from suckers.

So dont be one. Late fees are high, so pay on time. How much of an interest rate is zero APR plus a late fee of $25? You can do the math yourself. The card issuer might also jack up the rate for late payers (they call it a default interest rate). And a default interest rate may apply not only to existing balances but future charges as well.

Zero APR credit cards can be great value if there is a reasonable interest rate after the limited offer period ends and as if you pay all your card bills as they come due. If you do that, then your low interest rate will in effect be paid for by the suckers who snatch up these cards and then dont pay on time.

Posted in:
0% APR Credit Cards
« Older Entries