How Best To Choose A Proper Balance Transfer Credit Card
Before you are able to decide on which the best balance transfer credit card is for your needs, you must first consider a few things that can help to make your financial situation a lot better. The first factor that should be dealt with before making a call on a particular balance transfer credit card is the applicable interest rate on the balance transfer. The fact of the matter is that most credit card issuers will give you an introductory offer of zero percent on the balance transfer though only for a limited time period.
Entice Your Business
Most banks often sweeten their initial offer in order to entice your business because it actually gives them a real opportunity to receive your interest payments once the initial introductory period has elapsed. A less common feature about a balance transfer credit card is that credit card issuers will offer you fixed balance transfer interest rates for as long as the balance is valid though such offers usually are only given as long as you still have a balance against your card.
A second factor worth considering before deciding on the best balance transfer credit card is the period of time that the balance transfer rate remains in effect. In this regard it is worth understanding that most credit card companies will keep interest rates low on balance transfers for limited time periods which could be anything between six and eighteen months.
Another important feature worth knowing more about with regard to choosing a proper balance transfer credit card is knowing what fee is linked with the offer for balance transfer. To be sure, a majority of balance transfers have associated fees that kick in each time a balance is transferred. Commonly such fees would be around three percent of the amount that you transfer, subject to a maximum limit of between seventy-five and two hundred and fifty dollars, and a minimum transfer fee that could range from five to ten dollars.
When you use your balance transfer credit card to transfer credit card balances you will generally only be able to transfer up to your available credit card credit limit. Thus, if your credit card's credit limit were only five thousand dollars, you would not be able to transfer any sum that exceeds this limit.
Finally, before selecting a particular balance transfer credit card, you must be sure about the consequences to you should you miss out on a payment or even default under your credit card agreement.
If you want to make the right choice regarding a particular balance transfer credit card, then you need to evaluate it against the factors mentioned above including interest rate, time period for which the balance transfer promotion is valid and also the balance transfer fee. Only after having understood all of the terms and conditions make your final choice.
