When to Use 0% Intro APR Credit Cards

Different credit cards are readily available in the marketplace and one of the best cards you can choose to apply for is the 0% intro APR credit card. You may want to consider applying for this type of credit card when you are planning to get a new credit card. You may also apply for a new card even if you already have another credit card depending on your situation.

Simply put, a 0% intro APR credit card does not have an annual interest rate for a specified period, called the interest-free period. Depending on the credit card issuer, the interest-free period can be as short as 6 months or as long as 12 months or more.

There are some different situations where a 0% intro credit card can become of great benefit to the consumer.

From the start, this is the only type of credit card that you can use to pay all your current debt by doing a balance transfer from higher interest credit cards. You simply transfer your credit card balances onto this card in order to settle the debt within the introductory (interest-free) period. In simple terms, the card gives you the opportunity to consolidate all of your credit card debt onto one card which will often save you money.

Use a regular credit card to purchase high value item, booking a vacation or booking airline tickets can be very expensive if you carry a balance.

Using a 0% intro APR credit card however makes it cost effective since you will not pay any initial interest on the spending. You can literally borrow money for free so long as you settle the bill within the interest-free period.

Just like when your shopping for other types of credit cards, there are several factors that you need to consider when comparing different 0% intro APR credit cards offered by different credit card issuers. First, you need to look at how long a credit card’s introductory period lasts in relation to the value of the intended purchase.

Select a card that will give you sufficient time to settle your bill or debt before the introductory period lapses. It may also be important to compare applicable balance transfer fees charged by different credit card issuers in case you are out to consolidate your credit card debts.

Like with other credit cards, some credit card issuers offer incentives in form of rewards with use of their 0% intro APR credit cards. These are all factors you may need to consider.

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