Balance transfers are another way that many card companies try to get your business. As a consumer, this can give you some power and give you a chance to save some money on interest. The APR on most credit cards is 0% for 6 to 12 months, and there are no transfer fees. This can also be called the "teaser rate."
A balance transfer is a good way to get rid of a lot of debt at once. You can move the balance from one or more cards with a higher rate to one with a lower rate. Once you were approved, you could put all of your bills on one credit card. This would be like combining two or more interest rates into one lower rate.
If you want to keep a balance on your credit card, look for the one with the lowest interest rate or the lowest annual fee. But if you plan to pay back the loan every month, look for one with the lowest interest rate. After the introductory offer is over, make a note of the new rate. Will it be more than what you already have? Is there anything else to pay? Make sure. Also, does the introductory offer include both purchases and balance transfers?
You can pick the credit card with the lowest yearly interest rate (APR). The APR could be either "fixed" or "variable." As the name suggests, fixed rates don't change, but they are higher. Rates that change depend on how the economy is doing. I usually stay away from things that can change, but you should think carefully about your own options. This is something to think about if you want to decide whether or not to carry a balance and for how long.
You might also think about a card's rewards or cash back when deciding whether or not to transfer a balance. You might want to look into something you buy often, like airline miles or gas rebates if you drive more than usual. Some cards, like the Citi Home Rebate Platinum Select MasterCard, even give you cash back when you pay your mortgage or utilities. There are a lot of people who want your money, and if you take the time to look into your options, you might be able to turn some of the bad things about your current credit card balance into good things.
