Beginners Guide for Business and Financial

Posts Tagged ‘credit card’

As you make your way towards a bunch of credit card types and offers, you may already be knowledgeable enough that there is no point in combating the 0% APR interest in your credit card. You as like the rest of the credit cardholders will typically be overjoyed to be rewarded with a 0% interest rate. Most of the times though, such credit card offer is only applicable during the introductory phase. As you get into the core of handling your credit card, you start facing interest charges for your committed transactions.

Here are valuable things to ponder on when it comes to dealing with the 0% APR on credit cards:

Do not be taken merely by the glitters of the words in print telling you about the 0% APR on the credit card that you wish to avail of. As a matter of truth, the 0% APR covers not only a specific datum but a lot other things. Basically, the 0% APR is applicable to the overall total of the interest rate on a credit card. It goes to show that you will not be charged with an interest on the first attempt of your purchase taken by credit. There is a span of time to cover the offer and as soon as it reaches the end of the duration, you will start to pay the interest rates on your transactions. Furthermore, there are those late fees that you will have to pay in the event that you exceed the lapse of the grace period.

The 0% APR is also applicable to the balance transfer deal. With the 0% APR available for the balance transfer method, you are given the chance of escaping charges as you move your existing credit accounts from other sources into the credit card that contains the 0% APR offer. In this light, you must consider the time span when the offer can be availed of. There are 0% APR plans that can only be availed for a very brief period of time. In this case, you may already be charged at about 4% interest or so.

Dig deep into the available rewards that come handy with the 0% APR. There are card issuers which grant rewards along with the availability of the 0% APR. You may be interested to spot rewards such as student cards, air miles, or business credit cards. The rewards will cover your earning of up to six points for every single dollar that gets charged to the card. As these amounts get piled up, there are cases when rebates in the form of cash or discount rates become possible.

It is relevant that you compare the credit card offers before you plunge into availing any of those in your list of choices. It will provide you with the pleasurable benefits if you take time to shop for other options before signing up for the 0% APR credit cards that you pose great enthusiasm on. You can check the great deals online to be fed with the pertinent information. But if you do not take particular significance in any of those and you will still go for the 0% APR credit card, then just be sure that you are sentient of the terms and conditions included therein. You never know what other tricks are hidden in the wordings of the contract. After all, the 0% APR can be very cunning.

There is a lot of interest in 0% APR Balance Transfer credit cards because of the tremendous savings possibilities they offer. You don’t have to be an MIT graduate to understand that the 20% you are paying to a high-interest credit card on a balance of $ 10,000.00 is two grand; and if the interest on your credit card was 0% APR, that money would stay in your pocket. It turns out, however, that not all 0% APR credit cards are the same. Major credit card companies, who are competing fiercely with each other at this moment, use a variety of enhancement programs that combine the idea of 0 % APR Balance Transfers and with other add-on bonuses. Consider the offerings of three of the largest credit card companies, how they are similar in terms of the basics, but are putting a twist on benefits:

The Chase Platinum Credit Card

Chase bank has been in the credit card business for a long time, and this card is their standard offer. It has 0% APR on all purchases and balance transfers, provides free online account access, and does not charge an annual fee. The only question about this card is how long does the 0% APR last; and the answer depends on your credit. If you have excellent credit, Chase will give you 0% APR on purchases and balance transfers for a full year. If your credit is good enough to qualify for the card, but not quite good enough to meet the higher standards, that period of 0% APR drops. Still, the opportunity to transfer balances and make purchases at 0% APR makes Chase a good choice.

The Miles Card from Discover

Another industry heavyweight, Discover, has 0% APR credit cards available for purchases and balance transfers. The Miles Card, however, adds the benefit of accumulating airline miles to help consumers choose Discover over everyone else. The company touts their 0% APR credit card for its twelve month duration and the ability to include balance transfers at no interest. The real inducement, however, is the 12,000 mile sign-up bonus and one-mile-for-one-dollar point award. Just to make the deal a little sweeter; there are no blackout dates for these miles and you can fly any airline at any time. You have to have good credit to get one, but the Miles Card from Discover may be a good way to save interest on purchases and balance transfers while building up miles for the next vacation.

Citi® Diamond Preferred® Rewards Card

This 0% APR credit card from Citi not only gives you 12 months of interest-free funds and no balance transfer charges, it also has a points reward system that gives you redeemable points based on purchases. The program works by offering five reward points for every dollar spent on purchases made at supermarkets, drugstores and gas stations; all other purchases get one point per dollar. You get 5,000 bonus points when you get your card, which can be redeemed for a $ 50.00 gift card after your first purchase. Like the Discover card, you will need good credit to get this 0% APR card, but the initial bonus points and rapid accumulation of reward points for purchases of the basic necessities of life could make this just the card for you.

These days, the question is no longer about finding a 0% APR credit card or a 0% Balance Transfer card; the issue is how would you like that card—with extra months of interest-free money, airline miles, or other rewards such as incentive point programs? Any person who is currently carrying balances on high-interest credit cards should shop online and take a look at the 0% APR and 0% Balance Transfer credit cards from Chase, Discover, Citi and other companies. You may just find the right card for you.