0% APR Credit Card
If you are one of the thousands of Americans who carry a balance on your credit
card, 0% APR will save you a lot of cash. Zero APR means you are not charged an
interest based on the average daily balance on your card. In other words, your
balance is interest free.
Balance Transfer and Purchase
Major credit card companies usually offer zero interest to attract new
customers. Some interest-free credit cards are made available to new customers
who want to transfer a balance from one or more of their high-interest cards.
Others are designed for those planning major purchases like a vacation trip,
those hoping to shop till they drop or those simply wanting to pay off a late
tuition bill. You may often see two-in-one deals with zero interest on both
balance transfer and purchase.
Way to Save
If you’re currently paying more than $100 in interest every month, a no-interest
card is definitely the one to which you should transfer your debts. You will be
saving from hundreds to thousands of dollars for a one-time transaction, which
is calculated based on the balance transferred. A transaction fee typically
ranges from $5 to $75.
Time is the Limit
Most zero APR’s only last so long – mostly between six and 18 months. Once the
zero interest expires, you will be charged the rate you agreed to upon the
acceptance of your card, which depends on your credit score at the time of
approval. In the case that you missed a minimum monthly payment, your payment
was late or the balance exceeds the line of credit, your interest rate may go
up higher.
The Mouse Clicks Twice
You may avoid an interest by move your debt to another card with zero or low
APR. Based on your credit score, you may be granted a credit card with enough
line of credit to transfer the entire amount of your balance. The mouse clicks
twice.