|How To Keep Your Credit Card Interest Rate At 0%|
We've all been tempted by 0% credit card
interest rate offers. These offers are usually for short periods of three to
12 months and there are usually conditions attached. For example, the
preferential rate may apply to balance transfers, but not to cash
withdrawals. The low interest rate may not apply to credit card cheques or
People who are carrying a large debt will want to make the most of 0% interest rate offers. Here's how to keep your credit card interest rate at 0%.
Researching 0% Credit Card Deals
First of all, it is best to research the credit card thoroughly. Consumers need to find out:
- what period the 0% interest rate is for
- whether it is for balance transfers only
- whether it applies to other spending on the card
- what the rate is for cash withdrawals or credit card cheques
- whether there is a balance transfer fee
- what other incentives there are for using the card
Answering these questions will help consumers to decide which 0% credit card is right for them. It is especially important to pay attention to the period that the incentive offer lasts for. To keep paying 0% interest, consumers will need to apply for a new 0% credit card a month to six weeks before the old offer runs out. This leaves time to get the card, activate it and transfer the balance without incurring any additional fees from the current credit card company.
Rate Surfing Benefits
Moving from card to card, or rate surfing, is a common way of keeping interest rates low and paying off as much of a debt as possible. Using a 0% card means that any money paid is reducing the outstanding debt rather than paying interest. This is good news for consumers' long term financial stability.
Of course, there's no guarantee that consumers will be able to get another
card. This will depend on their credit profile. The best way to maintain a
good credit profile is to have some credit card debt (but not too much) and
to make all payments on time. This will show credit card companies that you
are a good credit risk.
About the Author:
Joe Kenny writes for Credit Card Guide, offering the latest information on
0% credit cards in the UK, visit them today us to apply for a
credit card balance transfers and start clearing credit card debt today.