Do you carry a balance on your credit card from month to month? If so, you are likely paying hundreds, if not thousands, of dollars in interest year after year. You should consider transferring your balance to a 0% Balance Transfer Credit Card.
A 0% balance transfer credit card provides a way to eliminate credit card debt very quickly and can provide HUGE savings over keeping a balance on a high-interest card.
Many people look at 0% Balance Transfer Credit Card offers and wonder, “What’s the catch?” Is the interest rate really 0%?
The answer is, “YES!” Many of these offers do, however, have a small transfer fee – usually around 3%.
Example:
Suppose you transfer a balance of $5,000 from a card that has a 21.99% interest rate. You apply for a 0% balance transfer credit card. This offer comes with a 3% balance transfer fee, but it also provides 0% for 18 months.
Upon acceptance of your application, the 3% balance transfer fee ($150) will be applied to your balance on the new credit account making your total balance owed equal $5,150 ($5,000 balance that was transferred PLUS the $150 balance transfer fee).
Now comes the good part! You now owe 0% interest for the 18-month period – as long as you make all of your payments on time, of course.
Let’s take a look at cost if you did not switch to the 0% balance transfer card. Assuming you made no additional charges and paid only the minimum payment due each month, you would have paid $1,162.70 in interest over the 18-month period!!
By taking 15 minutes to do a little research and apply for a 0% interest card, you can eliminate hundreds or thousands of dollars in interest and accelerate your debt freedom date.