With all the credit card gimmicks and offers out there, it can be enticing to carry multiple cards. However, carrying too many credit cards can lead to burdensome debt and mounting interest. Despite making payments, it can be difficult to completely pay what you owe.
Those who struggle to keep up with multiple credit card statements and bills for loans may find that applying for a balance transfer credit card is a great strategy for managing and paying off debt.
You can transfer and consolidate your existing credit card debt to this card, and as a result, deal with only one bill each month. These cards typically come with an attractive introductory offers, such as 15 months without incurring any interest, as well as new purchases.
However when looking for a card, it’s important to familiarize yourself with all the features being offered. Most balance transfer cards carry a fee of 3 percent of your overall balance. You should consider is whether the money you’ll be saving in interest by moving to a new card is enough to merit the average three percent balance transfer fee. The higher your bill is, the higher the fee will be, so take this into consideration.
Another catch is that some balance transfer cards will offer a zero percent APR on your debt, but not new purchases.
Usually when the introductory offer ends, interest rates can be high, so it pays to calculate whether or not you can pay off your debt in that amount of time.
For our updated list of the top 5 balance transfer credit cards, click to begin the slideshow.