If you find yourself metamorphosing into a plastic junkie, then you may use balance transfer credit cards to consolidate your payments. However, the best balance transfer credit cards offer some incredible deals and if you use them judiciously, who knows, they may even help you write off all your debts.
No wonder, a balance transfer credit card has become the rage with Generation Plastic and a large number of them are happily on their way to debt freedom. If you wish to join this debt-less club, read on.
What You Need To Know About Best Balance Transfer Credit Cards
First, don the knowledge armor by reading many more articles like this. They are available freely on the net, they provide hot tips and guaranteed strategies for fighting credit-induced poverty, and will help you save thousands of dollars.
Next, try analyzing your credit history. If it is any good, card companies will be happy to transfer large balances for you. However, if your credit history is marred, or slightly flawed, then you may have to settle for a smallish balance transfer.
While this may not be much of a help it is, at least, a step in the right direction.
Your best bet, really, is to get the card company on the negotiating table. Let them know that you can take your business elsewhere if they do not agree to your request.
Also, try to convince them that you are able to plan your finances better now and show them the steps you have taken towards constructing a viable financial strategy.
Strict Conditions Apply To Balance Transfer Credit Cards
Such cards will offer a zero percent rate of interest only if you follow their rules. Therefore, it pays to do some eye stretching exercises and scour the fine print. Do you have to make $X purchases within a certain time frame?
Or you are not allowed to spend $Y? Or they may stipulate that you absolutely must purchase something. The devil, truly, is in the details.
Zero Percent Limits of a Balance Transfer Credit Card
Wouldn’t it be just perfect if you could enjoy a zero percent balance transfer all your life? Or maybe a lower rate of interest? Well, truth is, every company offers a certain time period during which you can get a zero or lower rate of interest.
If you are financially savvy you may, theoretically, be able to work off your debt by jumping from one zero percent balance transfer credit to another. You will be surprised at the number of people who do so.
So choose a card that offers a zero percent balance transfer for the longest possible period.
Cash Back Feature with a Balance Transfer Credit Card
Some companies will lure you by offering a cash back on purchases you make with a new card. If you plan to retain this card for some time, you may consider this option.
Not that it will help pay off your debt, but if a penny earned, is a penny saved, then it is worth investigating such a deal.
Check If Annual Fees Apply To Your Balance Transfer Credit Card Offer
What’s the point of a balance transfer if you have to shell out a packet in annual fees and processing charges etc? If the whole idea of a balance transfer is to pay off debts, then look for a balance transfer credit card that offers a zero annual fee in the first year.
Try to negotiate a zero fee for the next year as well. If you don’t plan to retain the balance transfer credit cards for very long, start shopping for a new card with zero annual fees as soon as you have finished the formalities for this one.
You will soon realize that the best balance transfer credit cards need to work for you, not against you.