The main feature of balance transfer credit cards is to transfer balance from one credit card to other. A purpose to transfer balances is to reduce debts from one credit card which has higher interest rate to another card with lower interest rate. By doing this, you can reduce or eliminate all financial charges and save your money. While searching for a suitable credit card, it is essential to search for diverse features.
First, you should look for Annual Percentage Rate on these types of credit card. APR is a big factor that you always keep in your mind. Most of the credit card companies look to take business from other similar companies. They want to increase their customers to offer their services. Because of this cutthroat competition, they are offering best balance transfer credit cards at low interest rate. In some cases, APR may even become zero percent.
Make sure to look for a credit card balance transfer with lowest APR and use that kind of credit card for only balance transfer purpose. Never use these types of credit card for new purchases. All credit card companies want you to purchase from this card so that they can assess your financial charges.
You can find special introductory APR at different rate in various credit card offers. The length of APR also depends upon your credit rating. In a best balance transfer credit card, you will certainly get a fix APR. It remains constant till the time the full amount is repaid. This is best for those people who cannot pay the amount in initial period.
Credit card companies charge certain set of fees on balance transfer. They include it in total fund transfer amount. Usually, a three percent fee is charged on balance transfer. In initial stage, most of the companies waive these fees to attract more customers. It is good for you to choose these kinds of cards. Else you might have to pay high amount of fees in balance transfer credit cards.
In few of these types of cards, you need to transfer the balance in early stage. But other allow you to transfer the balance as per you requirement. It is easy to use 0 balance transfer credit cards as they are very flexible. Restriction to transfer certain set of amount is also there in some of the balance transfer card. So, you need to check out all these aspects before choosing a balance transfer credit card.