| If you have a credit card you're likely to have debt, but | | | | transfer offer expires. Then you can transfer the |
| you could save a small fortune on repayments by | | | | outstanding balance on your old credit card to a new |
| transferring the outstanding balance on one credit card | | | | card and continue to save money on credit card |
| to another credit card. Credit card balance transfers | | | | repayments. Remember not to apply for too many |
| are an easy option for managing credit. Some people | | | | new cards at once, as this could damage your credit |
| switch their balances from card to card to take | | | | rating. The second type of balance transfer offer is |
| advantage of each new offer. This is known as card | | | | one that offers a fixed rate on the money transferred |
| jumping or rate surfing. Credit card balance transfer | | | | for as long as it remains on the credit card. This may |
| offers can also be used to reduce the interest paid on | | | | be a good option if you're currently paying interest at a |
| bank loans or other loans. If the credit limit is high | | | | higher rate. These offers tend to offer a rate of |
| enough, you may even be able to pay off the loans | | | | around 5% which is considerably lower than standard |
| completely. Some credit cards provide credit card | | | | interest rates. With this type of offer, there's no need |
| cheques for this purpose, but you'll need to be careful. | | | | to worry about transferring balances every few |
| Some credit card cheques have higher interest rates | | | | months. Credit Card Purchase Rates With this type of |
| than the credit card itself, so read the fine print very | | | | offer, it's best to check the rate that applies to |
| carefully. Some credit cards also allow you to transfer | | | | purchases. Credit cards that offer a low balance |
| the balance from store cards. This can be useful after | | | | transfer rate often have a higher rate for any |
| an intensive shopping spree! Types Of Balance | | | | spending on the credit card. It is also common to take |
| Transfers There are two main types of credit card | | | | any payments you make off the lower rate total first, |
| balance transfer offer. Many credit card companies | | | | which means you could end up paying quite a bit for |
| offer users the chance to transfer balances for a rate | | | | spending on the card. Each type of balance transfer |
| of 0% for a fixed period, such as six or nine months. | | | | offer has advantages depending on the amount of |
| Once this offer has expired, the interest rate on the | | | | debt you have, how you spend and how you plan to |
| transferred balance will revert to the standard variable | | | | pay off the credit card balance. Some credit cards |
| rate, which is likely to be considerably higher. The best | | | | and store cards have annual percentage rates that |
| way to take advantage of 0% balance transfer offers | | | | are well over 20%. Shopping around for a balance |
| without ending up with higher interest rates is to get a | | | | transfer card could save hundreds. |
| new credit card about a month before the balance | | | | |