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Balance Transfer Credit Cards And Their Rewards
By: Bradley Carson
If you haven't been credit card shopping recently, you'd be amazed at the
variety offered today. In addition to the different interest rates, the extent
of rewards or perks offered is vast. There are cards offered to fit everyone's
needs. Good credit, bad credit, in between, 0% APR introductory offers, sky
miles, cash back,... just to name a few.
Of course the financial experts would tell you to watch that credit card debt,
pay off the balance every month so you don't have to pay interest. If you do
have high balances the experts would also tell you to take out a loan on your
home so you could get a lower interest rate and tax advantage too. But that's
not always realistic or possible for some. Perhaps they just bought their first
home and the equity is limited. There could be a number of reasons why the
professional financial advice just won't work. So what to do?
What if you just purchased your first home and your credit cards had balances
with interest being accrued each month? Then say you like to travel, but you
have these bills. Could you plan a trip in the not too distant future? I believe
you could.
Most of the credit card companies today have 0% APR introductory offers. This
rate is good for six to twelve months and many times is valid for balance
transfers and purchases. In addition, many offer rewards such as air miles.
First figure out the most you could pay each month on these accounts combined.
Apply for a card that offers 0% APR for twelve months and transfer the balances
that are accruing interest to this new account. Now remember, you're saving
interest each month. Then you could use the credit card as much as possible for
daily expenses, keeping track of and setting that amount aside each day. At the
end of the month, you should pay the amount determined which you could afford on
the balance transferred and then pay the entire amount charged for the monthly
expenses.
By doing this, you would be paying off the older balance with a 0% interest rate
and earning rewards at the same time. At the end of the twelve months you may
very well have enough points to take that planned trip. Your credit card balance
should be paid off almost completely.
When things seem out of reach, you can achieve them, as long as you have a plan.
About the Author:
Bradley Carson is an internet marketer. http://cards-king.com/
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