Zero APR Balance Transfer

6 steps for using balance-transfer cards

Follow these six steps to get the money you need without having to find yourself deeper in debt:

Do not get cash advances. Read the fine print carefully and make sure you do not get a cash advance. Cash advances almost always with significant costs and interest rates extremely high. Some credit card companies send you checks for balance transfers or cash advances, sometimes in the envelope next to each other.

If you choose to use one of the checks for balance transfers, check several times to make sure you have the law and avoid triggering a cash advance. Cash advances almost never work well and are one of the things that you should not use a credit card. I do not recommend them for any purpose. Post continues after the video.

Attention to mathematics. If you get a $ 5,000 balance transfer at 0% interest 12 months and an additional 3%, which is the same as the borrowing of $ 5.000 at% interest 3.It's always a good deal, especially if you plan to repay a loan at higher interest rate or credit card balance with the money. But keep control of your calculations. If you found $ 5000 on the same 3% tax, but an annual rate of 0% for six months, which translates into charges of 3% to an annual rate of 6%. It is not as good of a deal.

Think of the expense of the balance transfer in the same way you think about the APR. Many costs are as high as 5%, and the initial cost is also why you do not want to pay a balance transfer 0% at the beginning.Leave your money at the bank where it can earn interest until the final payment is due. Of course, the best type of balance transfer of 0% is a no-transfer fee. It is an achievable ideal: I received two offers toll in the last month, U.S. Bank and other of Commerce Bank.

Smart Spending combines the best saving tips from MSN Money and the rest of the Web. Our team of experts on stretching dollars:

- Karen Datko, lead blogger, is a veteran journalist in a small town in Montana where her mortgage is $ 310 per month.

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- Donna Freedman lives a frugal life and writes in Seattle. She also writes a column for MSN Money and blogs donnafreedman.com.

» 3 Ways to Get Cash From a 0% APR Balance Transfer Credit Card Offer

2. Transfer and repayment

Another way to turn a balance transfer in cash is to request a balance transfer that exceeds the existing balance. To clarify, let's say you owe $ 325 on credit card A, but you get an offer in April% 0 balance transfer credit card B. You can then request a balance transfer of $ 6,250 gives you a credit of $ 5,925 on your credit card balance. You can then call the Customer Service Credit Card A and request a refund.Sometimes the customer service representative will give you a little trouble, as the amount of the overpayment, but it is generally not a problem for them to issue the refund. I found that Chase Bank is the easiest to work with when attempting to obtain a refund, and Bank of America and discover even directly deposit your refund directly into your account credit checks.

It is important to avoid the transfer of a balance on a card that you have never used or have a balance of about $ 0. In the early years, it is possible to request a balance transfer card with no current balance.Once I transferred $ 10k to a credit card without pay and then asked (and obtained) a full refund $ 10K. But recently, banks have got wise to this and if there is no existing balance, many simply refuse to accept the balance transfer. Even a minimum balance of $ 5 can make the difference between a balance transfer success and failure.

Instead of requesting a refund, many people simply go through the overpayment balance transfer.For example, if you transfer $ 4,000 by credit card for an overpayment of $ 3,750 on credit card B, you can use the credit card B without having to make a payment to this card until equilibrium has disappeared. However, be warned that this technique can be a slippery slope as a credit card balance is very easy to move, especially since it has the attraction of being "free money." But if you do not spend the money you would normally use within your monthly budget and long-term financial goals, you slowly build a surplus in your bank account.Keep in mind that this is just free money for the twelve months - and even that is only true as long as you pay on time.

Remember that the 0% introductory game balance transfer in April can be risky if you have a history of compulsive shopping and spending, poor record keeping, or making payments late. If you are guilty of any of these mistakes, taking advantage of balance transfer game is not for you.