The era of 0% APR credit cards is still alive and well. You can get a brand new credit card with a low introductory interest rate and get "free money" for up to a year. Of course, you can take use of your new card, but you must ensure that you fully understand how a 0% APR credit card works in order to get the most out of it. I'll show you how, so keep reading to learn everything you need to know!
Interest rates began to fall to historically low levels soon after the new millennium began. By 2002, government lending rates had fallen to just around 1%, causing consumer borrowing rates to fall as well. Credit card companies jumped on the chance, offering 0% APR credit cards to new cardholders and even extending the offer to existing users.
Although interest rates have been rising for the past two years, you can still get a credit card with a 0% APR. Furthermore, the entire loan industry is extremely competitive, and credit card companies are eager to waive interest for up to a year in order to get your business. You can visit at www.exchangebuz.com for more information.
There are a few things you should know about 0% APR credit cards in order to get the most out of them:
This offer is only valid for a short period of time. Credit cards with 0% APR normally have a six- to twelve-month introductory period. This means that there will be no interest charged on any charges made during that time. If you spend $1,000 on anything, you may be entitled for a $1,000 tax credit. By transferring your funds, you can save a lot of money! Many credit cards with a 0% APR allow you to transfer balances from other cards to your new one without incurring any transfer fees. If you owe $3000 on your current credit cards and pay 19 percent interest, you may save $600 in interest payments over the course of a year! It is vital to make payments on schedule.
Do not be tricked into believing that a 0% APR credit card involves no monthly payments. If your card goes into default and you miss a payment, you may be charged interest and penalties on the remaining balance. So you can say goodbye to your 0% APR credit card rate if you don't pay on time!
Make the last payment. In some cases, you may be forced to pay off your balance before the introductory rate period ends. If you don't, you'll be charged the standard rate. Examine the terms and conditions of your credit card. Consumers who want to make new purchases or transfer balances may benefit from a credit card with a 0% APR. So get a credit card with a 0% APR if you want to save money.