How to Play the Balance Transfer Game Successfully

Do you have heavy credit card debt? If so, you can save some big money by taking advantage of credit card balance transfers. With balance transfer credit cards you can take advantage of teaser rates that are offered several times each year by major credit card companies. Teaser rates are usually good for three to six months after you receive the card. Rates can range from 0% to 9% and they are beneficial to credit card holders who have large debts on credit cards with higher interest rates. By transferring the balance from the high interest card to the teaser card, you will save big money on interest.

Be sure to remember that most banks treat transfers identical to cash advances. Also, the transfer may be subject to daily interest fees, which can add up quickly and often there is no grace period where interest isn't charged. The costs of transferring a large balance in these cases can be astronomical. Try to choose a teaser card that waives transfer charges for balance transfers in the initial promotional period.

Always read the fine print when applying for a credit card. Be aware of the term 'flat balance transfer', which will cost you fees on all balance transfers. You must be knowledgeable of the cost of all balance transfers. If you find nothing on the credit card application, ask a banking representative if there are any flat balance transfer fees.

Take advantage of the credit card grace period. Transfer the balance on your high interest card to the teaser card before the payment due date that appears on your bill. Most credit card companies offer a grace period of between 25 and 30 days. After the due date, interest is charged on the outstanding balance. If you transfer the balance before the due date, you will save money on interest. Some credit card companies offer no grace period. In this case, you are charged interest from the moment you charge an item or from the day you transfer your balance. Do not apply for credit cards that do not offer a grace period.

After you have transferred your balance to the low interest teaser card, you will receive a bill with a payment due date. Always pay before the due date and always pay more than the minimum payment, which is the lowest payment you can make if you wish to keep your card and your credit history in good standing. Credit card companies are ecstatic when you only make minimum payments. Why? Because minimum payments usually pay only the accrued interest or a portion of it. That means that the principal remains at the same amount that it was before you made your payment. This is the way that credit card companies rake in huge profits. Minimum payments extend the principal amount for months or years. Each month you pay a minimum payment, it is taken off the interest. The following month, the credit card company charges the interest again and you pay it - again and again and... Well, you get the idea. If you pay only the minimum payment, it will take years to pay off credit card debt.

Balance transfer credit cards are a good short term strategy, but don't use it over an extended period of time. Be sure to check out all options before playing the balance transfer game. If not, you will find that you have created a financial nightmare that has no end.

Frequent Flyer Credit Cards What You Should Know

If you have, or are considering applying for, an airline frequent flyer credit card, you need to ask yourself two questions:

1. Are benefits available from the largest airline in my area?
2. Which airline credit card can I use to reap the benefits quickly?

Here we take a look at Frequent Flyer Credit Cards available an offer a comparison between them.

Accepting Credit Cards For Your Online Business With Online Merchant Accounts

Did you know that one of the best ways to increase sales for any online or offline business is to offer your customers the convenience of paying by credit card? As a merchant, you have several options available when it comes to becoming part of the credit card acceptance and processing chain. Here's a quick guide to get you thinking.

Cash Back and Reward Credit Cards

Credit is sweet if it's properly used and today it can be even sweeter if you use cash back or reward credit cards. With these types of cards, you make your usual credit card purchases and receive incentives in the form of cash back or reward points. You use these incentives to receive free or discounted products and services. Some cards even allow you to donate your cash back to your favorite charity. There are also cards that will allow you to deposit your cash back into a savings account to save for your child's college fund, which can add up over the years and can be very beneficial.