When we do balance transfers, we don`t usually pay much attention to how we can get the best deal out of it. We just apply for it and hopefully pay down our balance with low interest rates. If we are not able to pay it down or pay it off before the low interest rate expires, we do another balance transfer. Some banks have gotten this trend and they have made policies preventing people to do just that so, we just need to know how make the most out of our credit card balance transfer.
How can I get a low interest rate for my credit card balance transfer?
Introductory interest rates are usually low for transferring credit card balances. Banks do this to attract customers. They do not guarantee this rate though so you really have to shop around for the best deals. You can get the introductory rate for six months to a year so look for the one that suits you.
Where can I shop for the best deal?
The internet is a large pool where you can look for banks that offer balance transfers. It will provide you with a list of institutions and their offers for credit card balance transfers. The best way to do it is, just get the list of your prospects and call them directly because the figure on screen may not be an accurate one and can be very deceiving. They will gladly assist you on your concerns.
What are the things I need to look for when I plan to do a balance transfer?
You need to know what they terms are. Know what the introductory interest rate is and how long it will going to last. Also, know what the standards are in getting that rate. Also, you should know what the regular or default rate is so whenever the interest rate expires and you decide to keep the account, you know at what rate you are paying for. It is very important to know possible charges when you do a balance transfer. They may not give you this information upfront so make sure you ask for it.
Are there hidden charges to my balance transfer?
It depends on the institution you are working with. It will be good to ask them so you will not be cheated.
What would be an important factor for me to be approved of a good deal in credit card balance transfers?
An important factor would be having good credit history. If you have a bad credit history then you might not get the best out of low interest rate in balance transfers. Make sure you build your credit right and always pay on time.