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When the credit card debts pile up, the best route to take would be to do a balance transfer. There are many credit cards that offer 0% balance transfer offers and one will have to weigh the options and understand the risks and benefits of doing so.

In order to entice customers, credit card companies provide a lot of introductory offers on transfers from one credit card to another. Companies generally provide a grace period where the interest charged on the transferred balance is significantly less.

Balance transfers are very unique but versatile in function. It is a boon for those who wish to eliminate bad credit and start all over again. This option reduces high interest debt, and helps those who struggle to pay their accumulated debt due to high interest rates. Balance transfers are then a viable option.

Doing a balance transfer is a good way to start building good credit. It would be wise to shift the debt to 0% APR cards instead of struggling with high interest rates. This would help in keeping the credit score intact. By doing this, one could work on gradually paying of f the debt as this is a more feasible option.

The length of the balance transfer promotional period is another point to consider. One will have to find out the length of the introductory period. There are cards that offer 0%APR on transfers for up to 21 months, while there are others that offer 0% APR for 18 months etc.

One also has to check the balance transfer fees. This is the fee that credit card companies charge to conduct the transfer from one credit card to another. This is usually a percentage of the balance to be transferred, and could range between 3% to 5%. However, the transfer fees may vary between banks. One must ensure that there is a cap on this fee, such as $50 to $75. Otherwise, one might end up paying a couple of hundred dollars.

While doing the transfer, credit card companies are already getting business out of the card holder. Hence, the applicants must ensure that they get a good deal before signing up for a new credit card. Always read the fine print on the credit card and ask for clarifications with the bank to clear any doubt. Alternatively, one can call up customer service and ask for explanations or clarifications on the terms and agreement of the credit card.