With balance transfer cards and other 0% APR credit cards (intro APR), you’ll be able to make a dent on your debt by committing to a payoff schedule that quickly retires your outstanding balance over the span of the card’s promotional period. Balance transfer cards can work pretty well for you even after taking into account their balance transfer fees and regular interest rates (which are set after the intro period): they may still come out a better deal than other cards you may already be using. For other cards in our list above, new purchases can be made with 0% APR for a limited time. So it pays to shop around!
For best results, pay your balance off before the teaser rates expire to make these cards worth using. These cards may be worth it if you’ve got the discipline to pay them off.
Sweeet! Let me know how it all goes guys. Spend spend spend and use the money for free.
I remember doing this when I first graduated, and made some money in the stock markets. No more!
It doesn’t matter if your card is 0%, because you are paying off your debt every month anyway. If you can’t pay it off every month, you can’t afford it.
I pay off my credit card in full each month, so 0% may not matter to me (and consumers like me) as much. But I do like Discover More’s rewards! 🙂 At any rate, balance transfer credit cards can help people retire their debt faster, if they’ve got the discipline to do it quickly and aggressively!
Be careful with those offers, things can get ugly real fast at the term’s end!
Former Credit CardholderOctober 14, 2009 at 12:31 pm
No matter what you think of credit cards, there are certain credit cards I won’t use. I’ve had a card since 1998 and never missed a payment (oops – I was TWO HOURS late in 2006 when I made my payment online and forgot the time difference between Colorado and Delaware! So my rate increased from 12.99% which I felt was high, to a whopping 24.99%). Then they reduced my credit limit from $2500 to $1900. NOW they have decided not to renew my card, since I had “too many late payments”. First I have NO late payments on anything and have 93% of my credit available, since I’m trying to pay down everything to buy a home and only owe $245 on this card. I can’t believe this! ONE time, two hours late in 11 1/2 years and I’m a bad credit risk? My TOTAL debt is less than $2,000 including my vehicle! I’m so mad I’m spitting nails. Then today I found my boss didn’t get a renewal on HIS credit card either and he’s got GREAT credit. This will probably lower my credit score and I’m taking the info to the Consumer Protection Agency and my Senator.
I’ve never missed a payment on my Citi Home Rebate Card, and they jacked my rate up arbitrarly from 7% to 14% this past year, even though rates remain at all time lows. Awesome! Love banks!
Hmmm… that’s interesting to learn about some credit cards. I actually have several credit cards but haven’t had any problems with them. Both my husband and I use credit cards quite a bit. Our main cards were Citibank cards which somehow ended up as Bank of America cards (transfer of issuer here, I guess). I actually heard rumors that our particular Bank of America Upromise cards are going to be getting annual fees in the near future.
I’m hoping it’s a bad rumor, or I’ll have to move my business elsewhere. Not too happy about this because if this turns out to be true, it’ll be the second time this year that I’ll have to be picking up new credit cards (the first was when Advanta kicked me out as a customer when they folded). In the meantime, we use our Chase cards to tide us over.
One thing that you need to know is that the 0 percent interest rate credit cards will not always continue at zero percent. This is what is known as in the card trade as an introductory rate. So basically you may be able to get 0 percent on your card buys for the first 6 months to a year. When this opening offer is through then you will be using a higher interest rate.
ecosarahOctober 17, 2009 at 5:20 pm
Actually, I was looking for a credit card to put my solar panel purchases on. This list should help me. Just need a short term loan to carry the debt rather than applying for a line of credit through the bank or financing it onto the house. Should be paid off – just need to decide if it’s 6 or 12 months. Obviously, the 12 months is better… 🙂
JohnOctober 28, 2009 at 9:01 am
If you are carrying an interest-bearing balance, you can consider transferring the balance to a 0% introductory offer card. 0% credit cards include a wide range of balance transfer cards, and many also offer cash back, rebates, reward points, and high credit limits for qualified applicants.
jason wNovember 11, 2009 at 10:23 pm
I used to have a card and got into big problems with it. I ended up owing them money then I finally settled with them and paid it all over. I’m trying to stay away from credit cards but 0% sounds good 🙂
Megan EckertJanuary 19, 2010 at 10:38 am
I’ve got my credit card almost paid off. My interest was going up so I applied for a 0% card because they sent me preapproval for 0% interest. Well I was approved and I received an email congratulating me. They told me my card was on the way on December 18. On January 6 I called and said I had not received my card but I needed to transfer a balance by Jan. 25. They told me I had to wait until the card was in hand and they ordered a new card to be delivered by UPS in 2 days. A week later I still did not have my card and I called. They said it had been sent but they could not give me a UPS tracking number? THEN, I figured it out when I learned that 0% interest on balance transfers are only good the first month of approval! You do the math.
They agreed to do my transfer, but I still don’t have my card…. BE CAREFUL.
Repeating CrossbowApril 30, 2010 at 4:08 pm
I’m still a bit cautious about transferring over my balance (18%) over to a 0% card. If it’s too good to be true… I’m done with that phrase. Which is why I have a high balance to begin with!
Miss PlatnumJune 21, 2010 at 7:39 am
0% sure sounds good, but my opinion is that one should never get a credit card at all. I don’t have a credit card. In fact, I got one from my work, then when I got home, I cut it in pieces with my scissors.
JoshuaDecember 20, 2010 at 11:26 am
This is great information. As a credit card and personal financial consultant, I find that most people don’t understand hidden costs involved with balance transfer credit cards.
{ 15 comments… read them below or add one }
With balance transfer cards and other 0% APR credit cards (intro APR), you’ll be able to make a dent on your debt by committing to a payoff schedule that quickly retires your outstanding balance over the span of the card’s promotional period. Balance transfer cards can work pretty well for you even after taking into account their balance transfer fees and regular interest rates (which are set after the intro period): they may still come out a better deal than other cards you may already be using. For other cards in our list above, new purchases can be made with 0% APR for a limited time. So it pays to shop around!
For best results, pay your balance off before the teaser rates expire to make these cards worth using. These cards may be worth it if you’ve got the discipline to pay them off.
Sweeet! Let me know how it all goes guys. Spend spend spend and use the money for free.
I remember doing this when I first graduated, and made some money in the stock markets. No more!
It doesn’t matter if your card is 0%, because you are paying off your debt every month anyway. If you can’t pay it off every month, you can’t afford it.
Stand strong folks!
I pay off my credit card in full each month, so 0% may not matter to me (and consumers like me) as much. But I do like Discover More’s rewards! 🙂 At any rate, balance transfer credit cards can help people retire their debt faster, if they’ve got the discipline to do it quickly and aggressively!
Be careful with those offers, things can get ugly real fast at the term’s end!
No matter what you think of credit cards, there are certain credit cards I won’t use. I’ve had a card since 1998 and never missed a payment (oops – I was TWO HOURS late in 2006 when I made my payment online and forgot the time difference between Colorado and Delaware! So my rate increased from 12.99% which I felt was high, to a whopping 24.99%). Then they reduced my credit limit from $2500 to $1900. NOW they have decided not to renew my card, since I had “too many late payments”. First I have NO late payments on anything and have 93% of my credit available, since I’m trying to pay down everything to buy a home and only owe $245 on this card. I can’t believe this! ONE time, two hours late in 11 1/2 years and I’m a bad credit risk? My TOTAL debt is less than $2,000 including my vehicle! I’m so mad I’m spitting nails. Then today I found my boss didn’t get a renewal on HIS credit card either and he’s got GREAT credit. This will probably lower my credit score and I’m taking the info to the Consumer Protection Agency and my Senator.
Wow, 25% on a credit card? Yikes.
I’ve never missed a payment on my Citi Home Rebate Card, and they jacked my rate up arbitrarly from 7% to 14% this past year, even though rates remain at all time lows. Awesome! Love banks!
Hmmm… that’s interesting to learn about some credit cards. I actually have several credit cards but haven’t had any problems with them. Both my husband and I use credit cards quite a bit. Our main cards were Citibank cards which somehow ended up as Bank of America cards (transfer of issuer here, I guess). I actually heard rumors that our particular Bank of America Upromise cards are going to be getting annual fees in the near future.
I’m hoping it’s a bad rumor, or I’ll have to move my business elsewhere. Not too happy about this because if this turns out to be true, it’ll be the second time this year that I’ll have to be picking up new credit cards (the first was when Advanta kicked me out as a customer when they folded). In the meantime, we use our Chase cards to tide us over.
This is a very handy cards list. Thanks.
One thing that you need to know is that the 0 percent interest rate credit cards will not always continue at zero percent. This is what is known as in the card trade as an introductory rate. So basically you may be able to get 0 percent on your card buys for the first 6 months to a year. When this opening offer is through then you will be using a higher interest rate.
Actually, I was looking for a credit card to put my solar panel purchases on. This list should help me. Just need a short term loan to carry the debt rather than applying for a line of credit through the bank or financing it onto the house. Should be paid off – just need to decide if it’s 6 or 12 months. Obviously, the 12 months is better… 🙂
If you are carrying an interest-bearing balance, you can consider transferring the balance to a 0% introductory offer card. 0% credit cards include a wide range of balance transfer cards, and many also offer cash back, rebates, reward points, and high credit limits for qualified applicants.
I used to have a card and got into big problems with it. I ended up owing them money then I finally settled with them and paid it all over. I’m trying to stay away from credit cards but 0% sounds good 🙂
I’ve got my credit card almost paid off. My interest was going up so I applied for a 0% card because they sent me preapproval for 0% interest. Well I was approved and I received an email congratulating me. They told me my card was on the way on December 18. On January 6 I called and said I had not received my card but I needed to transfer a balance by Jan. 25. They told me I had to wait until the card was in hand and they ordered a new card to be delivered by UPS in 2 days. A week later I still did not have my card and I called. They said it had been sent but they could not give me a UPS tracking number? THEN, I figured it out when I learned that 0% interest on balance transfers are only good the first month of approval! You do the math.
They agreed to do my transfer, but I still don’t have my card…. BE CAREFUL.
I’m still a bit cautious about transferring over my balance (18%) over to a 0% card. If it’s too good to be true… I’m done with that phrase. Which is why I have a high balance to begin with!
0% sure sounds good, but my opinion is that one should never get a credit card at all. I don’t have a credit card. In fact, I got one from my work, then when I got home, I cut it in pieces with my scissors.
This is great information. As a credit card and personal financial consultant, I find that most people don’t understand hidden costs involved with balance transfer credit cards.