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• Hidden in the fine print is a clause which states that if you do not pay at least the minimum payments
on time every month, the credit card company will scrap your teaser rate in favour of a much higher interest rate as a penalty.
• Balance transfers have fees associated with them. This fee can be a flat fee
or a percentage of the amount being transferred. A credit card charging a balance transfer fee of 5.99 % with an introductory interest rate of 0 %
for a time period of 6 months, will incur the almost the same cost (25 cent difference) as a credit card with an interest rate of 11.99 %.
To take advantage of a balance transfer read the fine print.
Take note of any fees associated with a balance transfer and use the true cost of balance
transfer calculator to determine if you are truly getting a deal.
Take note of the interest rate after the introductory period is over if you do plan
on keeping the credit card.
Ensure you can pay the complete balance before the introductory period ends and don’t make any new payments on the credit
card if you do not plan on keeping it. Some experts even recommend cancelling the card as soon as you have paid your balance transferred off.
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