Is a 0% balance transfer worth a shift? - Balance Transfers Questions


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Credit Card Applications » Questions » User Questions » Balance Transfers » Is a 0% balance transfer worth a shift?

Is a 0% balance transfer worth a shift?

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The balance transfer has helped many credit card users considerably reduce the interest amounts they owe their credit card companies. At the very core of the scheme is an attempt to provide customers with the option of changing their credit card accounts. A customer may choose a credit card company for various reasons. In most cases, the interest rate offered by a particular company may have figured high in the list of reasons for choosing that particular credit card company over another. The other benefits and schemes offered by credit card companies vary marginally. The most important consideration continues to be the interest rate.

Again, while the interest rates offered by different credit card companies don`t vary all that much, the interest rates in tandem with other interest payback policies may make a considerable difference to the user. The balance transfer scheme allows users to shift their credit balance accounts to other credit card companies that offer better overall payback policies. However, of late, almost all credit card companies offer the balance transfer scheme. Therefore one must exercise caution while choosing a new credit card company. Since almost all companies offer the scheme, the other additional benefits offered by the company must be carefully reviewed.

The most common mistake made by credit card users contemplating a move is the failure to question whether those new offered schemes are best suited to their purposes. Credit cards do not serve the same purposes for all users. For instance, some use credit cards for emergency expenses, some as an alternate form of ready money, will others may have a credit card and not have any specific use for it. The benefits offered by a company will therefore not benefit all types of users identically.

The zero percent balance transfer is one such benefit. Companies that offer this scheme will not levy any introductory charges for the transfer of credit balances. This may be in the form of a permanent offer, or may be in play for a stipulated period of time. The offer may also include lowered interest rates for a pre-outlined period of time. The zero percent balance transfer most benefits those who use the balance transfer scheme to cut down on accumulating interest debt. Some users choose to constantly shift credit card companies, staying only till the introductory offer of lowered interest rates lasts. If the user shuttles between companies that offer the Zero percent balance transfer, the amount saved will be considerable.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
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Intro APR on Balance Transfer: 0% (18 months)

Ongoing APR on Balance Transfer: See terms

Excellent, Good Credit

Intro APR on Balance Transfer: 0%* 21 months on Balance Transfers*

Ongoing APR on Balance Transfer: 14.74% - 24.74%* (Variable)

Excellent, Good Credit

Intro APR on Balance Transfer: 0% 18 months on Balance Transfers*

Ongoing APR on Balance Transfer: 15.24% - 25.24%* (Variable)

Excellent, Good Credit

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