Five Simple Guides to Get the Best Zero Interest Credit Card

Zero interest credit cards are without doubt the first choice of many people when it comes to getting a credit card. One reason for this is that zero interest credit cards provide a fantastic opportunity to reduce credit card expenses.

Meanwhile, there are many varieties of zero interest credit cards in the market available to you, and this can lead to confusion as to which one you should choose. Therefore, the following simple guides should be considered when you are planning to apply for a zero interest credit card.

· Search Online – In order to get the latest information about zero interest credit cards, it is better to search online rather limiting yourself to one particular card company. Searching online will give you the opportunity to get access to a wide variety of cards that will suit your need.

· Introductory period – For how long do you want the 0 % introductory period to be? Most credit card companies normally grant the introductory period of between six and twelve months. It is very important to choose a zero interest credit card with long introductory period of which you do not have to pay any interest for a very long time.

· Purpose of the card – What exactly do you need a zero interest credit card for? This is a question that you should ask yourself before applying for it. Most people apply for these cards for the purpose of balance transfer. The reason being that credit cards with 0 % APR on balance transfers are good for paying off balances from credit cards with very high interest rate. On the other hand, some people also apply for a zero interest credit card for the purpose of new purchases. Therefore, you should be aware of the purpose for applying for the card. If your aim of getting the card is for balance transfer, then you should avoid using the card for any new purchases. Cash advances are not appropriate for zero interest credit cards.

· Annual fees – Other than the 0 % APR which is the main feature of this card, it is very important for you to be aware of certain costs which may be associated with your card. Most of the zero interest credit cards tend to have annual fees. You should check how much it will cost you to maintain your card annually.

· Interest rate – The introductory period of most zero interest cards is normally between 6 and 12 months. Therefore, it is very important that you know before hand what interest rate will be after the introductory period. It is very important that you choose a card with low APR after the introductory period expired.

To enjoy the benefits of zero interest credit cards, the above guides should therefore be considered before applying for it. However, you should be aware that some conditions must be met before you can be granted the opportunity of owning a zero interest credit card.

Understanding the Basics of Zero Interest Credit Cards

As the name implies, zero interest credit cards indicate a 0 % interest credit cards. However, this does not mean that you are not going to pay interest at all over the entire period of using the cards. What these credit cards imply is that you are entitled to zero interest rate during the first few months or a year of using the cards. This interest free period is known as the introductory period. After the expiration of this introductory period, you are then liable to pay the standard rate of interest.

These types of credit cards are being offered by several big credit card companies such as American Express, Citi and Discover. However, the length of interest free period and interest rate after the introductory period varies from card to card. For instance, the American Express Blue Credit Card offers 0 % interest for about 15 months with 11.74 % APR. The Citi Platinum Select Card provides 0 % interest for 12 months with average APR after introductory period of 11.24 %. The Discover Platinum Card also offers 0 % interest for 12 months with regular APR of 10.99 %.

Zero interest credit cards are of great benefits for financing large purchases. When you purchase an expensive item with the card, then you need not pay any interest on the purchase over the introductory period. Similarly, they are equally useful for balance transfer. You can pay off bills on your previous cards without paying a high interest rate. Sometimes, zero interest credit cards are also accompanied by other rewards such as cash back and travel miles.

Zero interest credit cards are very valuable based on every individual’s requirements, but a note of caution on how wisely you use the cards in order to enjoy its benefits.