Think About A Life Of Balance Card

Category: Finance.

Is A 0% Balance Transfer A Good Idea?

Why do you think banks keep offering 0% deals on their balance transfers? Everyone thinks so! Then again, people who have been using 0% balance transfers- improperly, I might add- would know that there is a bad side to this deal. He still needs to pay for it. For one, once an individual has transferred all of his credit card debt to that new credit card, his debt does not disappear. The problem lies in the fact that sometimes, people tend to forget that they still have a considerable amount to pay off. What happens next is that they think that since they are still in the zero per cent interest period, they can use the card as much as they like.

Add to that the idea that they are not paying interest on the existing debt and you have the formula for disaster. They are lulled into the false sense of security that they can spend as much as they want. Then again, that does not mean that 0% balance transfer cards are inherently bad! Before they know it, the zero per cent promo has expired and they are in more debt than they could handle. All that you need is to know how to handle them properly and you may very well get the better end of the deal- just remember these tips. That is, after transferring your existing credit card debt, do not use your new 0% card for anything. NEVER use your 0% balance transfer card.

I mean anything. If you find yourself tempted to use it, remember the reason you took it out in the first place. What I suggest is that once you get the card, leave it in a secure place at home and for no reason whatsoever take it with you. You want to be able to pay off your existing credit card debt without having to pay the humongous amount in interest. The chances are that the normal interest rates will be killers so just stick to the one you have of it has reasonable rates. So leave that card there until you pay everything off- and then have it cut.

Think about a life of balance card. This way, you wouldn t have to be affected by fluctuating rates. If you see that your existing credit card debt is way too much and you probably would not be able to pay it all off even with the 0% interest period, then you may want to consider switching over to life of balance cards which allow users to pay fixed fees. There are banks which offer these kinds of cards and you can opt to switch to them after your zero per cent interest period expires. Aside from not using your credit card till you pay the balance off, why not take the time to reconsider your spending habits? Re- think your spending. You might very well find that you can do without some expenditures in your life.

You can then use the extra money to straighten out your financial situation.

Read more...

Quite Frankly, There Are Few Other Ways To Effectively Build Wealth As Fast And As Securely As A 401( K) Plan - Finance Blog:

If your employer offers a retirement plan, then taking advantage of that plan is essential toward building wealth.