Friday, September 16, 2011
Low Interest Credit Cards Are Considered by Many The Most Popular Credit Cards
Knowledge can give you a real advantage. To make sure you're fully informed about low Interest credit cards, keep reading. Imagine the next time you join a discussion about low Interest credit cards. Your friends will be amazed when you start to share your knowledge about low interest credit cards. If you're not using a low interest credit card, ask yourself why? This credit card have numerous advantages such as the 0% Intro APR (annual percentage rate) that enables the consumer to save on interest expense. Several factors should be considered in choosing the right credit card. Depending on your situation a fixed low APR interest rate might be a better choice than the 0% intro APR if you are planning to carry a credit card balance each month. If the 0% intro APR changes to a low fixed rate after the promotional period ends then this will be an ideal situation. If the interest rate jumps up to over 20% then this might not be the best deal. This is why customers need to know what the interest rate will be at the end of the introductory period. For customers deciding on the 0% intro credit card offer will save money on interest expense which can be used to pay off the loan much sooner. Low interest credit cards main benefit is to save money on interest expense. These credit cards are very essential in saving money on interest expense when used to transfer balance from a high interest credit card to a low interest credit card. They may also be beneficial to cardholders who make large purchases and carry a balance forward every month. Banks charge a fee for balance transfers. Since this fee varies from bank to bank, customers should compare offers to find out which banks charge the lowest fees. Individuals with excellent credit can request to have the balance transfer fee waived. Customers may be pleasantly surprised to find that low interest cards offer many features similar to standard credit cards. Features can be similar to a standard credit card such as cash back, rewards, no annual fees, bonus miles etc. It’s important to compare features of low interest cards and to apply for the one that fulfils your needs and save you the most money. Individuals who are able to pay the balance off each billing cycle will save the most on interest expense. This is because credit card companies usually waive interest charges if the entire balance is paid on time each month. Unfortunately, many customers are unable to pay their credit card balance off each month because they are not making enough money or they may be having financial problems. However, using a low interest credit card could be the best alternative to save on interest expense if you are planning to make purchases and maintain a credit card balance from month to month. Individuals with bad credit pay an astronomical amount of money for interest expense and fees to credit card companies. With this kind of financial problem it can be a daunting task to get out of debt. As you can see, having excellent credit is very important because it makes it possible to get approved for a low interest credit card which in turn will save you a vast amount of money on interest expense. Be aware that credit card companies are able to change the interest rate on your low interest credit card because of late payment or they can change the interest rate for no reason at all. Managing your credit wisely is extremely important for financial success. Make sure to report errors on your credit report to the three major credit bureaus which are: Equifax, Trans Union and Experian to correct the errors on your credit report promptly. If you are overwhelmed with bills and credit card debts, why not consolidate your loans into one loan. This will save an enormous amount of money on interest expense. Consolidating your credit card debts into one loan can improve your financial situation by making your monthly payment more manageable. This is an excellent opportunity to start the process of improving your credit score. Consolidating simplifies your paperwork and saves time and energy by only keeping records for a single loan instead of several loans. Card holders will need to know about grace period and the way it relates to their specific low interest credit card. The grace period is between 20 to 25 days. You have this free period to pay no interest if your payment is credited to your account during that time frame and your account carries no balance. Customer’s monthly payment must be received by the creditor during this time frame. Learning about grace period as it relates to your specific credit card is very important. Usually credit cards without a grace period are charged finance charges immediately on new purchases even if your previous month's bill was paid in full. The internet is best place to do credit card research and submit online credit card application. The credit card types are organized into categories making it easy to find the credit card you are looking for. Just by clicking on the low interest credit card category will bring up a vast amount of information. The best thing about applying for a credit card on the internet is the speed and convenience of processing your online credit card application. No need to travel from banks to banks trying to find the right credit card then having to wait weeks for banks to process your application. Individuals with good credit can receive instant online approval. This means that the credit card applicant can receive an online approval within minutes of filling out their online credit card application. Some card holders may believe that that they can use their low interest credit cards to make new purchases and take cash advance with the 0% introductory offer. They will be surprised when they found out that they are charged different interest rates for balance transfer, new purchases and cash advance. Protect yourself from identify theft by shredding credit card offers and reporting stolen or lost credit card to your credit card issuer as soon as possible. Also, it is very important to read the credit card agreement to avoid surprises and unnecessary financial problems. Reading the credit card agreement will give you the knowledge and confidence in choosing and using the card correctly.