# Balance Transfer Credit Card ? Benefits of Competition

Posted by nick_niesen on October 29th, 2010

The balance transfer credit card is one of the starkest examples of how competition benefits the end consumer. Consumers with good credit and high credit card usage can use balance transfer credit card to save dollars from a few hundred to much more depending on their credit card usage and the amount of balance transfer.

In simple terms, if you have good credit, companies are looking to provide the offer, even if they do so at a lower rate of interest. You benefit from low interest and they acquire a valuable customer. So, a balance transfer credit card enables you to transfer your existing balance or even debt to a credit card with low or no interest.

Credit Card Balance Transfers Math

A look at the math of a credit card balance transfer will make the situation clearer. For instance, suppose you apply for balance transfer credit card from a reputed online vendor. Now, your interest on credit card debt runs up to, say \$1450 dollars a year at an average with your credit card that has an APR of 10.99% assuming you have a good credit rating. Now the competing credit card company offers you a credit card with a 0% introductory APR for the first 12 months. By making a simple balance transfer to your new credit card, you save on one year?s credit card interest. Now that is math that one can live with!

Shopping Guide To Balance Transfer Credit Cards

Initially consider the size of the balance transfers to be made, and correspondingly the amount of financial gain that follows. The period of 0% APR is important, how much credit do you expect to use, and correspondingly how much interest will you save from credit card balance transfers during the offer.
Do the balance transfers incur a transaction fee and if so how much? Consider how long the introductory APR lasts and the APR after that in your calculations. And, as always, be sure to read the fine print. You don?t want to encounter unexpected costs. The best offer sometimes is not the one with the lowest rate of interest.

Balance Transfer Trivia

The best type of balance transfer credit cards are the ones with a 0% rate of interest. Many companies have begun offering such cards, at an incredible introductory period of up to one year. It is possible to transfer your debt to a credit card with a 0% APR, and then retransfer it to another one at the end of the introductory APR period on the existing card. However this is not a recommended action as it can result in a lower credit rating for you. Credit card balance transfers can be done online; most companies offer this system of balance transfer.

Credit Card Balance Transfers In A Nutshell

Substantial savings can result if you get you balance transfer credit card arithmetic right. Before applying for one look, be sure to look at the fine print. Good financial sense with credit card balance transfers can make for good finances. If you have spent substantially utilizing "plastic" money, a balance transfer credit card just might make good financial sense for you.

A Book of Al Thatcher Card Magic by Gordon Boyd
After Hours Magic: A Book of Al Thatcher Card Magic by Gordon Boyd with contributions by Tom Craven, Stephen Bargatze, Gary Plants, Mike Powers, Dan Block, Steve Beam, Del Copley, Wynn Mertz, Nick Trost (Courtesy of H & R Publishing), Robert Bengel, Evert
Guitar Notes Master
Maximize your practice time by using this software tutor to quickly learn the fundamentals of guitar fretboard theory: note positions, intervals, chords, scales and arpeggios - even away from your guitar!
Urget Information For Talented Actors!
How I Finally Got An Agent, Quit My Day Job, and Made \$85,000 Acting On TV... And How You Can Too!
Freestyle rap like a natural
Freestyle rap like a natural with The Pro Freestyle Masterclass
Use Sheet Music Like a Treasure Map
Discover the riches of buried treasure in every song
Lightroom Presets Bundle - Exposure Empire
Here at Exposure Empire we offer many different packs of presets that make it fast and easy to edit your photos in Lightroom. If you love saving time, getting amazing results with your photos, and saving money, our Lightroom Presets bundle is for you!
Quality Office Furniture USA Shipped Direct - Madison Liquidators
Nationwide vendor of quality office furnishings including Desks, Office Chairs, Conference Tables, Cubicles and more!

Get Rid of Tattoo Naturally
Learn how to get rid of unwanted tattoo naturally that you've been regretting for a long time without risky, expensive, painful laser and abrasive procedures

Trick Photography and Special Effects by Evan Sharboneau
Master Any DSLR Camera And Take Gorgeous, Attention-Grabbing Photos By Following Step-By-Step Video Tutorials!