Save thousands in Interest with a low interest credit card transfer

Do you have any idea how much you're paying a month in credit card interest? Chances are if you don't know that, then you probably also don't know what your current interest rate is on your credit card. If you're unsure of these questions then take a few moments to read this article about low interest credit card transfers. More specifically, we're going to discuss how you can save money, if it's worth switching credit cards, and what to watch out for when you are switching. By the end of this article you should know if a low interest credit card transfer is the right decision for you.

How can I actually save money?

The way in which you can save money by doing a low interest credit card transfer is quite simple. If you're currently carrying a balance on all or any of your credit cards you can transfer that amount to another card that is offering either a fixed or introductory lower interest rate. Right away you'll be saving the difference in interest charges between the two cards. Now the real sweet thing is that you're not only saving money but if you continue making the same monthly payments you're actually going to pay down your debt faster!

Is it worth it to make the credit card switch?

Now everyone should consider switching to a low interest credit card. Who should stick to the card they have? Well if you currently use a rewards card of some sort, and you use those rewards then you should likely keep it. Unless you have a huge balance at a really high rate, or the rewards you get aren't really worth anything to you. The reason I say this is because most low rate credit cards aren't going to come with any frills.

The second reason you might not need to consider switching to a lower rate credit card is if you never carry a balance. If you don't have money on your card to be charged interest on then there really isn't any great rush to apply for a card with a really low interest rate. Of course it makes sense to have a low rate credit card in case you do need it, emergencies do happen.

What you need to be careful of when applying

So you've decided that you fit the description of someone who should have a low rate card. It's time to apply for one, but there are a few things you need to watch in the fine print before you submit your application and actually go through with your low interest credit card transfer. First off, check to see if the low rate is an introductory rate, or a fixed rate. Introductory simply means that it's a promotional rate that will expire after a particular amount of time. If the duration is 6-12 months, and you're confident you can pay off your balances in that time, go for it! If not, be sure to check what the fixed rate will be after the introductory interest rate is over.

The Second thing to watch out for is if the low interest credit card transfer rate is just that only a rate for the transfer balance and not for new purchases. This doesn't often happen but sometimes you can be given a 0% APR for balance transfers for the first 6-12 months but the rate for the card on new purchases is 19%.

The moral, read the fine print before you apply for the card.