There is a temptation when you have high-interest debts on one or more credit cards to go to the first big offer to transfer a credit card balance that you find. Well, today there are a lot of people who will pay to determine the one that best suits their needs. Here are some guidelines on how to do this.
- Can you repay your debt in 6 months, 12 months, 15 months?
The most important factor when choosing the right credit card for a balance transfer is the rate at which you can actually pay the balance to which you transfer … taking into account that the interest rate will be very low or zero Hundred only for a limited time. Often with these cards, the rate returns to the cash advance rate (usually above 20%), after the end of the introductory period the rate decreases. So be honest with yourself: do not claim a card with a low-interest rate of only 6 months, if, according to your calculations, it will probably take 12 months to calculate it, because it may cost more interest than you. pays now
- How low is the balance transfer level?
There are many credit cards for balance transfers, as well as introductory rates of less than 2%, so if the card does not offer something in this region, you will have to pay to compare prices. You will need to weigh the speed and duration of the combined sentence to see which one suit you best.
- Will you shop?
This is important. If you intend to make purchases with a balance transfer credit card in malaysia, they will be charged at an annual interest rate (APR), not a balance transfer fee, and will begin to charge interest on them from day one. Regardless of the interest-free period, if your card still has an unpaid balance transfer amount. In general, it is better to avoid these purchases until you have fully paid the transfer amount.
- Are you going to use the card after the balance transfer amount has been cleared?
If you choose one of the 0 credit cards to transfer the balance, but you find that after paying the amount you will be charged a high APR without an interest-free period, this will make the card much less attractive if you intend to use it for a long time. Some smart people simply use the card to pay the transferred amount and then change the cards (often this must be done at another supplier).
If you want to save and use a long-term card, make sure that other card functions (APR, interest-free period, annual fee, advance fee, and remuneration fee) are acceptable to you.