July 05, 2022

Benefits And Drawbacks Of A Credit Card With No Balance Transfer Fee

by | July 05, 2022 | 0 comments

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Statistics support the notion that credit card debt is out of control. Many people share the desire to pay off their debt. Debt consolidation is one of the many strategies for getting out of debt. This can be accomplished by using a debt consolidation company, obtaining a personal loan, or consolidating all your credit card balances into one. Not every offer is made equal. What about a credit card with no balance transfer fee?

Transferring amounts from other credit cards will often incur fees. They may still tack on costs even if they are offering a very appealing interest rate. To make the transfer, for instance, they might charge $50, and then a specific percentage of the total (this isn’t the same as the interest rate, it increases your balance). Despite the higher costs, it can still be a better offer than what you are currently receiving.

In general, a card without balance transfer fees is preferable to one with them. But, credit card firms are skilled at faking the figures to look appealing to customers so they can make more money through tiny print and hidden fees. Yet, it makes logical that paying nothing to transfer money to a new card is preferable to having to pay for the privilege, all other things being equal.

Reading the details of the offer is the only way to know for sure whether the credit card with no balance transfer fee is a better value than one that levies fees. You may begin performing calculations to determine which is the better long-term offer once you have a clear understanding of how the fees and interest rates differ.

Having the lowest rate apply to only a part of the transfer is another scam credit card issuers use on no transfer charge offers. An offer that charges no interest for the first six months is very standard, but it only applies to the first $3,000 of the loan. Then, separate terminology will apply to anything above and beyond that sum.

Additionally, you should be aware that balance transfers continue (remember to check the terms of your agreement). So, as soon as the enticing introductory rate expires, you can transfer your amount to another card that offers a comparable rate.

When applying for a credit card with no balance transfer fee, there is one extra thing to consider. It is what? Avoid adding new charges to your credit cards that now have no balance. Because you will be spending less money each month and have credit cards that have no balances, it can be very tempting to do this. Avoid that temptation at all costs! If you do it, your debt will return to being under control.

<a href="https://coachboostgio.com/author/coach-boost-gio/" target="_self">Coach Boost Gio</a>

Coach Boost Gio

Author

As a compassionate motivational speaker specializing personal finance topics and game streamer, Boost Gio has positioned himself in a career that can be explained in one phrase: “serving others.” Devoted advocate for elders, and businessman/woman, He has given without counting the returns, since 2010. Supporting the less fortunate as volunteer. As well as organizing charity events to give value to them. Boost Gio is a certified life coach under The Life Coach Training Institute in Manila, Philippines. A satellite life coach training community from Dallas, Texas. As a life coach, he uses professional expertise and his personal experience from challenging situations in the past to boost elders and businessmen. Helping them leap from comfort zone to courage zone. He is committed to his clients’ personal and professional goals.

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