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0 Apr Balance Transfer Credit Cards

By admin on July 2nd, 2011

All across the United States, consumers who are smart with their finances are taking advantage of zero percent credit card offers, and for good reason. By signing up for a 0% intro APR credit card deal, consumers with credit card debt and a good credit score can literally pay no interest on their lingering credit card debt for 12 months or more.

Here are some important things to remember when taking advantage of zero percent intro APR offers:

1. Many credit card companies will offer you an interest free period as a way of introducing you to their credit card. It is very important that you know and understand what the interest rate will be once that free period is over. If you are forced to pay a significantly higher interest rate after the free period you will likely wind up with a much worse deal than you had intended. If at all possible try to pay off your total credit card balance before the interest free period comes to an end. Try to find a balance transfer deal that gives you at least 6 months 0% introductory APR so that you don't wind up making balance transfers too often.

2. Be sure that you read through all the fine print very carefully. A lot of the 0% balance transfer credit card offers include a catch: if you use the new card to make a purchase while you are in the interest free period, the APR or Annual Percentage Rate can often be quite high, even as high as 25%! Additionally, payments that you make on your new credit card with a low or zero percent intro APR will be applied to the transferred balance first, which often means you'll get hammered with high interest charges for purchases and cash advances. A balance transfer can be a really good way to help you save money over the long term, but if you need to make new purchases you will be much better served by using cash, a pre-paid credit card, or your bank debit card.

3. Try to avoid using the convenience checks. Many credit cards will include convenience checks along with your regular credit card statements. A convenience checks is usually equivalent to a cash advance, and cash advances almost always carry the highest interest rate. Sometimes a credit card will give you a good interest rate if you use their convenience checks for making balance transfers. Just be sure that you read the fine print thoroughly so that you fully understand the terms before using their convenience checks.

There is good news about convenience checks. Some credit card companies will provide you with blank checks that are covered under their 0% intro APR balance transfer offer. These blank checks can be very useful as you can use them for whatever you want. A lot of consumers use these blank checks as a method of obtaining an interest free loan, but they can also be used to open a high-yield savings account or to purchase a certificate of deposit. Keep in mind that once the 0% introductory APR period is over interest charges will begin to accrue so it is recommended that you pay off the balance before, or as soon as, the interest-free period ends.

If you are not absolutely certain as to whether the checks you receive are included in the 0% introductory APR offer then take a few minutes and call the credit card company to ask. Whenever you call your credit card company, be sure to jot down the name of the person you speak to in case the representative makes a mistake.

4. Don't get carried away with your credit card applications. Regardless of whether or not you are approved or rejected, if you file too many credit card applications within a short time period your credit rating could suffer a downgrade.

5. Many credit card companies own multiple credit card brands. Before submitting an application for a balance transfer, be sure that you are dealing with a credit card company that is different from the one you want to transfer a balance from. If you try to transfer a balance from one account to another, and one bank controls both credit card brands, then your application will almost certainly be rejected. Remember that inquiries into your credit report may have a negative effect on your credit rating; this is especially true if the inquiry results in an application being rejected.

If you already have two different credit cards that have been issued by the same bank or credit card company, you can usually consolidate the balances into one credit card account. If you have questions about this call your credit card company to discuss consolidating your credit cards.

6. It is very important that the account to which you'll be transferring your balance has a high enough credit limit so as to avoid getting into trouble with fees. Some credit cards charge a fee for transferring balances, and if your new account's credit limit isn't high enough, you may get hit with an over-the-limit fee after e.g. the balance transfer transaction fee is added in. When shopping for a zero APR offer, try to find one that doesn't charge a fee for transferring balances. If you go with an offer that does charge a balance transfer fee, then do your best to find out what your new account's credit limit will be.

7. Always pay all of your bills on time. This may sound obvious, but it is very important. Credit card companies will offer the best terms to applicants with the best credit rating scores. Having a high credit score will also minimize the chances of having your application for a credit card rejected.

7 Responses to “0 Apr Balance Transfer Credit Cards”

1. jamshid q says:

   July 13, 2011 at 11:26 pm

   I got a new credit card it says 0% APR on balance transfer?
   if it says 0% APR on balance transfer, can I transfare my credit card avalble credit to my bank account? or do I have to ask a cash advance to get cash? Witch will be the best way to get a cash?
2. CaTT says:

   July 14, 2011 at 7:20 am

   Are there any 0% APR balance transfer, NO FEE credit cards out there?
   It seems to me after some searching that these cards don’t exist anymore. I can see 0% but there is a fee or a no fee on balance transfer but a small % APR.

   anyone know of a card that has 0%APR on balance transfer AND no fee?

   thanks
3. Eric says:

   August 15, 2011 at 8:33 pm

   What FICO score do I need to qualify for a 0% APR Balance Transfer Credit Card?
   I’m wondering what FICO score I would need in order to qualify for a 0% APR Balance Transfer Credit Card like Chase, Discover, or Bank of America?

   Thanks!
4. two_kee_kees says:

   September 5, 2011 at 11:41 am

   Is it bad to keep transferring credit card balances to 0% APR cards?
   Every time the APR on my credit card kicks in, I search for a new credit card with 0% APR and try to transfer the balances. Then I cancel the card that I just had the balance on. Is that bad to do? It seems to help whittle down the total when I’m not paying any interest.
5. nickname says:

   September 12, 2011 at 11:26 am

   When can I transfer to 0% APR credit cards (read details of my credit card bills)?
   I know my credit is nowhere close enough to do a 0% APR balance transfer…so… tell me when you think I’ll have good enough credit…Here are the details…I used to have 8 credit cards, now I only have 5. (I closed my Macy’s and JCPenney and Mervyn’s ones recently after I paid them off in full). This month, I am going to pay off and close my Old Navy credit card, so I will only have 4 credit cards and here are the details of them….

   Chevron- $2,500 credit line…. I basically have it almost to the top each month..like $2,490 by the time I pay it each month

   Shell- $180 credit line..same deal, almost to the top each month

   Bank of America- $7,500 credit line, almost to the top each month

   Capital One- $2,650 credit line, every month it’s like $2,750 it’s been ‘over’ for the past year, even though I never use it cuz I only pay the minimum cuz that’s all I could afford so it’s constantly ‘over’ the limit.

   ..I am working on getting a better job so I can start paying them down, but for ‘good credit’ or ‘good enough that you can transfer your credit cards to 0%APR balance transfers,’ how much of my current debt do i have to have paid off so that I can qualify for those 0% balance transfers? (Which will help me out even more so I can have like no interest for a year on credit cards)
6. Kathi S says:

   September 17, 2011 at 2:46 pm

   A balance transfer is when you transfer the amount you owe on another credit card to that one. If you are trying to get cash then you need to do a cash advance, that is the most expensive thing you can do with the card so make sure you understand how much interest and fees you will be paying.
7. Lauren F says:

   September 21, 2011 at 12:26 pm

   I have not seen any 0% no fee ones, but there are a couple with limited fees. Barlclays bank US is offering one through Air Tran airways (if you go to Airtran.com you can see a link) that offers 0% for six months, and a fee limited to $50. I thought that was a great deal.

   I also had good luck with pentagon federal credit union, who offered 2.99% for life of the transfer with a fee capped at $100.

   If you are looking to move more expensive debt, and can keep yourself from adding any more purchases to the PenFed one, it’s a very good offer.

   Good luck.