The content is accurate at the time of publication and is subject to change.
Handling finances is a knack that some people lack. Owing to their wrong planning and spending habits, they fall prey to problems. If you are one of these people and you think balance transfer could hold a key to solve your problems, here are facts you ought to know.
Fact 1: No zero percent balance transfer
Gone are the days when banks wooed people into using the balance transfer facility with banners saying "zero percent balance transfer" Now, there are credit card reforms that have made credits more expensive. This means you have to forget about these rosy deals and plan your finances with utmost care.
Fact 2: A good credit history can save you money
If you have goofed up your finances only now, your past credit card transactions can save you still. A good looking credit card history will save you in spite of your wrong calculations. A person with a good credit card history is welcome in many banks and hence planning for a balance transfer will not be all that hard.
Fact 3: You will be charged transfer funds
Yes, you want to go ahead with the balance transfer and yes, you want to do it at the earliest, but don't be so hasty that you fail to look at the terms and conditions. The most obvious condition you have to gather is regarding the transfer funds. Banks differ in the transfer funds they collect from their customers. Look out for one that will inch your pocket minimally and keep you satisfied.
Fact 4: This is not freedom from payments
Remember that balance transfer will only be a temporary solution. What this means is that you will still have to plan to repay the amount. You have not earned anything else but a little more time to repay your debts and so stay alert!
Fact 5: There may be hidden charges
If there is a striking difference in the interest rates and you are very impressed with the bank, here is a reason you have to be cautious. Many a times, we do not think of the hidden charges that come to the forefront only after signing on the dotted line. There is almost nothing one can do but comply with the rules at this stage. Don't give yourself a chance to feel so helpless.
Fact 6: You can recover
If you have opted for a balance transfer to get out of the financial mess you are in, you may have made the right move. There are many people who take advantage of the extra time that they get with these transfers and plan their finances differently. This helps them rethink and re-look at their priorities which hold the key to a well planned life.
There are many who have survived and made their life far more comfortable after opting for balance transfers. All you need is a good forethought and the capacity to plan ahead! Take the transfer advantage and make your life comfortable.
