Handle increasing credit card debts smartly

Advertising Disclosure

Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » Research » Guides » Balance Transfer Cards » Handle increasing credit card debts smartly

Handle increasing credit card debts smartly

By
Add to Favorites:

The general shift of money or funds from one account to another is called as Balance Transfer. It generally involves the balance in an account either whole or as a part that is to be transferred to another account. More often than not companies try to gain new credit card customers by helping to make transfers easy. The transfer of balance also involves the payment of transaction costs often which most of the times is paid by the customer requesting a transfer. Generally credit card holders opt for a balance transfer especially when they possess a surged credit card debt. Some other places a balance is transferred are bank checking accounts, trading accounts and bank checking accounts.

To apply for a balance transfer, a credit card holder generally needs only a mailbox and a social security number. Companies are more than happy to provide transfer of the credit amount to a new account with them. A free balance transfer from an old credit card is what consumers can expect from a number of companies, provided they take a new credit card.

This introductory rate typically lasts for a grace period of six months post the shift in the amount. Consumers who usually have a large credit to their credit card can employ this method to lower the debt on the card. The consumers` worries are kept to a minimum with this method as they have the opportunity to make the balance payment on their credit card without being hassled a lot about the applied interest rates. If consumers stay upfront about the balance transfer of their credit amount, they can actually see the method working in their favour. What consumers need to pay attention to is the fine print regarding the balance transfer that could include hidden charges. They must also ensure that their earlier account having the increased credit amount has been closed after they transfer the amount to a new account or credit card.

Consumers may also want to check the amount charged by a company for transaction and it shouldn`t be large in comparison to the credit amount being transferred. The bank involved must also not be charging the consumer an augmented joining or annual fee. With this technique consumers actually gain the ability to start a new account with their credit card balance transferred. It can be seen as a good option when the consumers` old accounts expire or are on the verge of expiring. If the credit amount has increased highly, consumers can conveniently have all their balance transferred to the new card which not only gives them a grace period but also makes handling the finance slightly more easy with the comparatively low charge.

Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

How the Fed Rate Rise Impacts Credit Cards

How the Fed Rate Rise Impacts Credit Cards

By Credit-Land, Posted: May 25, 2017

Recently, the Federal Reserve hiked its benchmark rate by a quarter percentage point, as a result, you could see a rise of the interest rates on your credit cards by 0.25%. That was the first hike of the key rate in 2017 and the Fed ... Continue reading
Top 5 Credit Card Offers For Those With Excellent Credit

Top 5 Credit Card Offers For Those With Excellent Credit

By Credit-Land, Posted: May 25, 2017

Do you have excellent credit? If so, banks are actively looking to win you as a new credit card customer by offering some unprecedented deals. Although banks have been more careful about acquiring customers with questionable credit ... Continue reading
Interest Free Credit Cards: Pay No Interest Until 2019

Interest Free Credit Cards: Pay No Interest Until 2019

By Credit-Land, Posted: May 23, 2017

Carrying a balance on a credit card is wasting your money on interest fees. It is easy to avoid interest payments on purchase transactions by paying off the entire card balance by the due date each month. But what to do if you are already ... Continue reading