Balance transfers are the best options when you want to ease out debts and fix your credit report. You are on the right track if you are thinking about choosing a credit card that offers zero percent balance transfer deals so you can move all your existing debt onto that card and clear it off at the earliest. This can prove to be in your favor if you do some good groundwork and find the credit cards that offer the best deals on balance transfers.
The minute people here the term zero percent balance transfers, they jump with glee assuming it is going to stay on forever. This is where the misunderstanding arises. Before you sign up for balance transfers, it is important to know if the zero percent is only for a specific period of time or if it is for the entire tenure of the card. There are indeed some cards that do offer zero percent on balance transfers, but there are some terms and conditions associated with it. Ensure you understand the terms and conditions well before opting for the transfer.
First of all, do not end up signing up for the first credit card that promises you zero percent on balance transfer. Shop around on the internet and you will find innumerable credit card lenders offering similar cards to customers. Compare these cards and weigh their pros and cons before you choose the one that seems pretty close to your requirements.
Once you have decided on the credit card that you want to opt for, call up the lender and find out more details about the offer. It is important to understand if they are offering the zero percent on balance transfers only for a certain amount of time or if it is for the entire duration of the balance transfer. Also, find out if this interest rate is applicable for only the first balance transfer or for consecutive balance transfers too.
Another important thing to keep in mind is the overhead charges associated with the balance transfers. Some banks and financial institutions do offer balance transfers at zero percent, but make up for it in the form of various fees. For example, some banks may charge high annual fees while some other may charge an arm and a leg are processing fees. Hence, find out about the various fees associated with the transfers before you sign up for it.