By financen | November 28, 2008 - 4:41 pm - Posted in Credit Card

A 0% APR credit card allows you to create more savings in the long run. If you are using multiple cards and paying higher interests, it will be wise to transfer all the balances on to the 0% APR credit card and save more money. Hence, it is very important that you understand the terms and conditions before applying for the 0% APR credit card. You must find out the right opportunities for your specific needs. If you are using this type of card in the right manner, you are definitely saving more money in interests.

  • Should you use the 0% APR credit card?

If you are deciding to use a credit card, you will definitely go for the one that charges the lowest interest rate and save more money. Hence, if you have got a credit card for a 0% APR, it is important to know the interest rate that will be charged after the introductory period is over. For example, if you have two offers, one credit card with a shorter introductory offer and thereafter charges higher interest rate after the introductory period is over, and another card that has a longer introductory period and thereafter charges lower interest rate, you will have to compare which card will save more money for you in the least expensive manner.

  • The Benefits Of 0%

There are plenty of benefits of selecting a 0% APR credit card. Let’s say, you are using a line of credit and you know that you will be able to pay it back within the introductory period of the 0% APR credit card, it is well worth making the switch. There is nothing better than borrowing the money for free. And if you are paying higher interests on a credit card and you have another credit card at 0% APR, transferring the balance on to the 0% APR card will be a wise decision if you have the ability to pay it back within the introductory period.

Check out the offers with different lenders before you go for the credit card at a 0% APR. Make sure that you have understood the terms and conditions of the credit card company and compare different quotes.

This entry was posted on Friday, November 28th, 2008 at 4:41 pm and is filed under Credit Card. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

1 Comment

  1. December 4, 2008 @ 5:02 pm

    Good point but I have one cavaet. There is a little hitch to “no interest” promotional deals. Each payment made is applied first to the “no interest” balance until paid off. For instance, let’s say you rang up $1000 in credit card charges on a zero interest deal in the first month or two. After the promotion zero interest deal expires, you continue to use the card adding more to the balance and part of which is charged a market rate. With each montly payment you make on the card, the balance subject to zero interest is reduced by the full amount of your payment until exhausted. Thus, the only way to really play this zero interest promotional game is not to use the card after the promotional period expires to extend the zero interest benefit as long as possible.

    Posted by Joe