The 3 Tricks to Credit Card Balance Transfers

There are three credit card features required to get the most out of your balance transfers. You’ll want a card with no annual fee, a 0% interest rate for at least twelve months, and no balance transfer fees.

The main reason to transfer your balances from other credit cards is to save money on interest. Any additional fees you pay for the card will quickly reduce the amount of money you will actually save, so it is best to find a card with no annual fee. This shouldn’t be too difficult, as there are plenty of fee-free cards currently on the market.

Many Balance Transfer Credit Cards also offer 0% introductory rates on balance transfers, so you shouldn’t have a problem finding one.

However, you’ll want to find a card that has an introductory period of at least twelve months. If the introductory period is only six months, then you’ll either be back to paying a high interest rate before you know it or rushing to apply for another credit card in an attempt to transfer your balance yet again.

Possibly the most important and overlooked detail is the balance transfer fee. The balance transfer fee is usually calculated based on the transfer amount, so the more you transfer, the higher the fee will be. This fee can easily offset any savings on interest you would receive from the balance transfer, so it is very important to find a credit card that offers no balance transfer fees.

This can be confusing, as the details of balance transfer fees are often buried in the terms and conditions of the card. Some cards offer no balance transfer fees at all, although this is becoming rare. Most often, they will waive the balance transfer fees during the introductory period or for balance transfers requested during the application process. Once again, it is very important to read the details, as you may be required to use special balance transfer checks or follow some other process in order to avoid the balance transfer fee.

Once you’ve found a Balance Transfer Credit Card with these three features, you’re well on your way to saving money through your balance transfer.

These balance transfer tricks are the surest way to wipe away the benefits of a balance transfer, but once you understand these tricks, you can use them to your advantage.

Comments

  1. admin says

    Although we mentioned in the article that it is essential to find a 0% interest rate on balance transfers for at least 12 months in order to avoid having to transfer your balance all over again, there are certain cases where you may be able to pay off your credit card debt within 6 months or less, giving you a wider selection of balance transfer credit cards from which to choose.

    If you feel that you could pay off your credit card debt within 6 months and want to avoid your current interest rate, then you may want to consider one these fee-free balance transfer credit cards with 0% interest rates for 6 months.

    American Express Fee-Free Balance Transfer Cards

    IberiaBank Fee-Free Balance Transfer Cards

    All of these cards have no annual fees, no balance transfer fees and 0% interest rates on balance transfers for 6 months.

    The IberiaBank cards are a great option if you already have credit cards from the major issuers and you have exhausted your options, like say you are trying to find a credit card to transfer your debt from American Express.

    Follow the links to check out our articles on these fee-free balance transfer offers.

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