Best Balance Transfer Credit Cards - Helping You Avoid Paying Interest

Summary: Balance transfer credit cards are cards intended to permit cardholders to transfer debts from one credit card with higher interest rates, transferring to another credit card with lower interest rates. The purpose is to avoid extra financial charges, while saving on interest charges. The balance transfers to cards with lower introductory rates, not only saves on interest during the introductory trial, it will save hundreds, or possibly thousands annually on interest charges.

While considering balance transfer credit cards you must consider and understand that the expiration dates on balances that are transferred. You must also understand the APR and what fees you will pay after the introductory trial has ended. Ask the card lenders if the introductory rates will apply to the first transfer, or if the rates will only apply to balance transfers made throughout the introductory trial. You might also ask if the introductory rates are applied to balance transfers as well as purchases. It is also important that you understand the annual fee structure. Likewise, it is essential to know whether an annual fee will apply to the introductory period. Ask if the cards have any applicable fees on transactions. Transfer Fees Asking questions upfront will help you to avoid pricey fees on balance transfers. Most balance transfer fees are around 3 percent; however, some lenders will charge 4 percent. Due to competition, credit card lenders' are working effortlessly to bring in new clients. Therefore, teaser ads are put up on the Internet to bring in new clientele. While the slicks claim that if you have good enough credit, you can take advantage of the low interest rates and 0 percent introductory rates, not everyone has the applicable credit that lenders will require. Cash Back Rewards A few of the cards, including the Chase Cash Plus Rewards Visa offer 5 percent cash back on any purchases made at grocery stores, drugstores, or gas stations for a limited time. Often the card lenders have stipulations though, i.e. only purchases at selected stores are applicable, which means if you do not shop at the store (s) stipulated in the agreement, you will not receive rewards. This card also offers an additional 1 percent cash back on all other purchases made. There are no annual fees, and there is a 0 percent introductory APR for up to 12 months on balance transfers and purchases. Some of the balance transfer credit cards offered online include the Citi