0% Intro APR Credit Cards
Getting 0% APR credit cards can dramatically boost your financial status.
0% APR credit cards usually do not indict any interest during the introductory and initial period. The majority of 0% APR credit cards are valid for about 6-12 months, after which a low interest rate is applicable, depending upon the terms of the particular credit card company. 0% APR credit cards help people in reducing their debts as long as they know what they are doing and pay attention to them. These cards can be quite valuable in the debt consolidation, lessening of payments and liberating some financial relief to those who are under heavy debts.
Is it Still Possible to get a 0% APR Credit Card?
While the economy has changed the face of the credit markets, there are still good credit card deals to be enjoyed. You simply need to look in the right places!
Many consumers, in particular, wonder about the availability 0% APR credit cards and whether they can still find these cards. The answer is yes, provided you have the credit to earn a 0% APR credit card.
Availability of 0% APR
Although a credit card with a fixed 0% APR is nearly impossible to find, many creditors offer promotional rates that allow you to take advantage of a 0% APR for a period of time.
- Introductory Rates – It is not uncommon to find a 0% APR introductory rate on a credit card, as many creditors use this deal to attract new customers. Most 0% APR introductory rates last for about six to 12 months, after which the consumer is charged a fixed or variable APR.
These 0% APR introductory rates for new cardholders may apply to purchases or balance transfers made within the introductory period.
- Balance Transfers – Many creditors encourage their current customers to take advantage of 0% APR on balance transfers. There are also many creditors who use 0% APR on balance transfers for new customers as well. Creditors may ask you to transfer all or some of your outstanding debt onto your credit card so that you can take advantage of the card’s 0% APR.
- Convenience Checks – Your current creditor may offer you a 0% APR on any convenience checks you may write. These special convenience checks, which are sent by the creditor, may offer you a 0% APR if you use the checks to make purchases or transfer balances within the promotional rate time frame.
Careful Considerations to Make with 0% APR
There are several facets to consider when searching for a card with a 0% APR:
First, you should look carefully at the actual APR of the card after the 0% APR promotional rate expires. Some creditors offer a competitive rate, while others surprise customers with a very high APR.
Another factor to consider when accepting a card with a 0% APR is whether the 0% APR used on purchases and balance transfers is good for the life of the loan. In other words, if you make a purchase of $100 on your credit card during the 0% APR introductory period, will that $100 remain interest-free until the debt is paid off, or will it begin incurring interest fees as soon as the 0% APR ends? Many creditors will spell out this language clearly, particularly if they offer the special 0% APR rate until the balance is paid off, so pay attention to the details and terms of the 0% APR introductory rate.
Unlike standard credit cards, obtaining a 0% APR through a department store may be slightly different, as many department stores and furniture stores offer a 0% APR for purchases for a certain length of time; afterward, if the balance isn’t paid in full, the creditor will not only begin charging interest on the remaining balance, but will also back-charge the customer for the deferred interest.
You can usually spot these types of 0% APR agreements because the creditor will use the term “deferred” when referring to the interest charges. It is always best to pay off these types of loans before the end of the promotional rate or you could end up with a tremendous amount of debt that you weren’t expecting.
In general, it is still possible to find many great 0% APR credit card deals, but don’t expect the rate to be long-term or all-inclusive on both purchases and balance transfers. In addition, don’t expect to qualify for a 0% APR credit card unless you have excellent credit.
A 0% APR credit card can provide you with a great deal of convenience and practicality if you have a small debt that you can repay during this special promotional rate. It is also a good option for balance transfers if you are paying a high interest rate on another credit card or loan.
As always, make sure to thoroughly read the cardholder agreement before agreeing to a 0% APR credit card so that you won’t be caught off guard with surprise fees and high interest rates.
