12 Month Balance Transfer Us Cards

Credit Card Balance Transfers Fighting it out in February

February is proving to be possibly one of the best months of 2011 for balance transfers. This is because Discover is offering two limited time promotions for the month of February. The first offer, which is a no balance transfer fee card, is 0% interest for 12 months on balance transfers and purchases. This is probably one of the best deal for consumers and many are taking advantage.

Discover is also offering a 24-month interest free balance transfer. This card, however, requires a 5% balance transfer fee. This may be the best option for consumers who will require more time to pay off their balances.

Consumers can get 0% interest for 18 months with a 3% balance transfer fee by using the Cit Platinum Select Card.

Many credit card companies, including Bank of America, are making competition fierce. However, Discover’s two limited time offers, which expire in February, are the main reason the balance transfer market is so strong for the month of February. If you were to take the offers from Discover and Citibank out of the equation, you would see that the overall market for balance transfers is surprisingly weak. This is because the average balance transfer deal is only 9 months long which doesn’t give consumers the confidence that they can pay their balances within that time frame.

The Chase Slate credit card offers great balance transfer terms, up to 18 months. However, consumers with less than perfect credit may only be offered 6 months to pay their balances. Those with perfect credit can expect the appealing 18 month terms.

Other banks such as Bank of America, Wells Fargo and U.S. Bank also offer balance transfer deals. However, these are usually unpopular due to the short terms, some lasting only 9 months to pay balance transfers. Transfer fees are also relatively high for these banks making these offers less appealing to consumers.

0% Credit Cards: Are They Worth It? - www.businessmeetings.us

Credit card jumping has become a common practice. The term refers to the habit of moving debt balances from card to card to take advantage of preferential rates. But just how worthwhile is credit card jumping for consumers?

UK consumers have staggering levels of debt. Consumer borrowing has grown by more than 50% in five years. It’s no wonder that people are looking for new ways to ease the debt burden. Credit card jumping offers one possible solution.

Money Saving Device

People who are carrying large amounts of debt can save hundreds of pounds in interest simply by taking advantage of the latest credit card balance transfer deals. Many of these offer a 0% interest rate for a fixed period, such as three, six, nine or even 12 months.

As well as transferring balances from other credit cards to a 0% credit card, consumers are sometimes able to transfer balances from store cards and even outstanding loan amounts. It is worth checking to see if these transactions also benefit from the 0% balance transfer rate.

Transferring a balance to a 0% credit card means that any payments made are paying off the principal rather than the interest. This reduces the amount owed, which is good news for those using this as a debt management method. Many card issuers do charge a balance transfer fee to curb the practice of credit card jumping, so it is worth looking around for the best deal.

Getting The Best From Credit Card Jumping

To get the best from 0% credit cards, many savvy consumers move from card to card when the preferential rate period expires. This requires some organization, but credit card jumping can mean that debt balances continue to go down as consumers move money (or rather, debt) from card to card. Those who don’t move their debt at the right time often find they are paying a much higher interest rate – and the debt is not being cleared. This strategy works best when consumers pay on time. Late payment can result in fees that increase consumers’ level of debt.

Consumers who are using many credit cards to manage their debt should consider creating standing orders to manage payments automatically. It is also worth using a spreadsheet or calendar program to keep track of when it is time to move to the next credit card.

Other Incentives

Credit card jumping can be an effective way of reducing debt, providing consumers do not add any new debt. There are also other incentives for using 0% cards, such as charitable contributions, rewards points, air miles, travel insurance and much more. It is worth shopping around to get a reward as well as the interest-saving rate.