Personal Finance Budgeting

Credit card balance transfer is a great way of consolidating your credit card debt, and also finding a way of avoiding the terrible burden that debt can bring. Transfer offers are in high demand and many credit card issuers highlight their balance transfer features up front as part of their overall advertising package. These days the credit card companies are in heavy competition with each other to get your business.

But have you ever considered the dream ticket of always having an interest free credit card at all times, no matter what the circumstances? Well here is a check list of seven things you must do in order to get the best out of it.

1. Always make sure that your credit card balance transfers are carried out on time and with no overlap periods from one card to the next, which will cost you money in nasty interest charges. Make allowances for delays in the post when notifying banks and credit card companies by mail, and also note that different banks will move at different speeds when responding to requests.

2. Make sure that 0 balance transfer credit card offers are always current and available at the time you apply. There’s no point in making a mental note of an offer and then applying for it after it has expired.

3. Interest free balance transfer credit cards must be exactly that; be careful and look out for any hidden charges in the small print. A 0 APR credit card should be exactly what it says it is.

4. The type of card to transfer balances from is crucial. Store cards tend to have a higher rate of APR than normal credit cards, so consider transferring all these balances on one or more low interest card. You can end up saving a substantial amount of money. Proper use of the credit card balance transfer feature can be useful and convenient, and a vital way of avoiding credit card debt.

5. Trust your source. A low interest credit card or 0 interest credit card should be easy to identify, preferably from a source where you are able to make comparisons between different types of card. Ideally you should deal with a source which is impartial and which does not promote one credit card or bank over another. Also, your source should provide easy to read and understand comparative charts to help you make such decisions swiftly, without undue pressure, and without any fear of being misled.

6. Keep a note of the exact date of when your 0 interest period finishes, and apply for your new credit card balance transfer at least two weeks before that date.

7. Try and ensure that your interest free credit card balance transfer facility is flexible and quick. At present it is the norm to put details of your credit balance transfers in writing at the time of application. Bear in mind that both parties need to know what is going on at the same time. Make it easy for everyone, including yourself.