Balance Transfer? Beware!
Credit Card Balance Transfers
Many credit card consumers are once again being flooded with attractive offers to transfer their existing balance to another issuer. Several issuers are now offering 0% interest rates for over a year on balance transfers and purchases. Most of these offers are going to cardholders with good or excellent credit scores since they represent less risk of defaulting.
If you have good credit and your credit card APR is currently above 15%, this may be a good time to consider transferring your balance to a card with a lower rate. Transferring your balance to a card with a 0% introductory rate can save a consumer a significant amount of money. If you currently have a balance of $5,000 and an APR of 15%, a 0% rate for a year will save $750 in interest payments.
But there are several tips for consumers when considering a balance transfer:
Here are some of the more attractive balance transfer offers on the market:
Citi Platinum Select or Citi Diamond Preferred
Both these cards come with a 0% interest rate for 21 months on both the balance transfer and new purchases. The balance transfer fee is 3%. The ongoing APR is 11.99-20.99%.
This special Discover More offer is for 0% interest on balance transfers for 18 months. Consumers also receive 0% on purchases for six months. The balance transfer fee is 3% and the ongoing APR is 11.99-20.99%.
Capital One Platinum Prestige
Consumers receive 0% interest until December 2012 on both purchases and balance transfers. The balance transfer fee is 3%. The APR is 10.90-18.90%.
LowCards.com simplifies the confusion of shopping for credit cards. It is a free, independent website that helps consumers easily compare credit cards in a variety of categories, such as lowest rates, rewards, rebates, balance transfers and lowest introductory rates. It also gives an unbiased ranking and review for each card. The LowCards.com Complete Credit Card Index is the most objective and comprehensive resource on the Internet, which allows consumers to compare rates for over 1000 credit cards offered in this country. Created by Hampton & Associates, the company has been analyzing the credit card industry and supplying objective websites on various consumer expenses for eleven years.
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