Learn what to look for when you shop for balance transfer cards with Australian lenders. The tips in this article are going to help you save a lot of money.
Shopping for a low rate balance transfer card is a combination of using your knowledge and analysing he current offers on the Australian credit card market. The main aspect is of course the card’s interest rate because it is this rate that determines how fast (or slow) you will be able to pay off your debt.
What is better, low or no interest balance transfer cards or those with lifetime offers?
This is the most frequently asked question by consumers. The answer is dependent on the size of your debt really.
Generally speaking, the higher your credit card debt is, the longer the balance transfer promo period should last. This is to protect you from finding yourself in a situation where the card’s promotional period has run out but your debt hasn’t been paid in full.
This will end up costing you more and chances are your debt will be bigger than ever because the interest will eventually revert back to a higher rate once the promo is over.
Big debt, small debt:
If you debt is so high that you find yourself struggling to repay the money within the given time frame (please use a budget to forecast the payments), then you are much better off choosing a balance transfer for life card. These cards do have attractive interest rates.
Smaller debts are usually well served with short time balance transfer card offers such as the 0% deal for 6 month. On the upside you can repay your debt interest-free, but on the downside these balance transfer cards will become very expensive if not handled correctly.
Never purchase anything:
With any balance transfer credit card you must absolutely refrain from making new purchases. Doing so will attract high purchase interest rates that will only be paid off once your primary debt is cleared in full.
The above tips will allow you to select balance transfer cards with confidence.
Related posts:
- How To Use Low Rate Balance Transfer Credit Cards
- Using A Low Rate Balance Transfer Credit Card Properly
- Low Rate Balance Transfer Credit Cards And What To Pay Attention To
- How To Compare Low Rate Balance Transfer Offers
- Low Interest Rate Balance Transfer Credit Cards And How They Work
- How Low Interest Rate Balance Transfer Cards Work
- Comparing Low Rate Balance Transfer Offers
- Beating the Interest Rates Affecting Credit Cards
- A Good Low Balance Transfer Credit Card
Posted on Tuesday, April 6th, 2010 at 1:22 pm
You can leave a response, or trackback from your own site.
