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[#1]0 Interest Transfer Credit Cards

by Douglas Titchmarsh, Dou

It is possible, and is being done right now, to turn a profit from 0% credit cards.

Before we get started here are some things you need to realise before you even attempt to profit from these 0% interest credit cards.

1. It's no use making small percentage profits when you are already paying out large interest on debts elsewhere. Clear your debts first if you have any apart from a mortgage.

2. You will need to be vigilant on the 0% periods expiry, most will be 6 months, and you need to make sure you pay the money back then.

3.You need to be able to forget you have the money you borrowed on the credit card, and not dip into it for any reason.

4. You will need a good credit score from the start of this venture or it won't happen at all.

Now with those little caveats out of the way, we can get to the meat of the idea, and profit from those credit card companies.

Firstly you will need to find a credit card with a 0% interest rate for at least six months, some even offer up to nine months 0% interest. Then you need to apply for it, and wait.

You will also need either a loan or another credit card you can draw up to the limit of your 0% card on. Now here comes the science bit.

Pay the limit of the 0% credit card into a bank account by drawing it as cash or direct transfer, and immediately use the 0% card to transfer the balance to the other card to make it paid up.

The money you just got out can be placed into a high interest savings account. Leave it there until you have to pay up the 0% card at which point you will still only owe the original amount you transferred onto it. You will have made interest on the money while you had it and owe 0% interest.

If you have a real clean credit history you could even transfer the balance from another o% interest credit card to the first one, and leave the money earning interest in the savings account.

This is only meant as an informational overview, and you will need to research the credit cards and relevant laws in your own country or state. Here in the UK a few savvy people are using 0% interest credit cards to make them a nice sum, and as long as you remember the few simple rules at the beginning of this article you could too.

Credit cards-are they the bane of our existence or the wave of the future? No matter how you view them, credit cards are here to stay. With the seemingly endless variety of cards available from any number of financial institutions, the market for your credit card business is extremely competitive. Many credit card companies try to entice the average consumer with 0% interest credit cards. The offer looks great on the surface, but it is vital that you read the fine print when considering one or several of these offers.

In addition to the 0% interest rate, credit card companies offer many other perks, as well. The offer 0% on balance transfers, which can include other credit card debt, and even other types of debt, such as appliance loans or something similar. Many companies offer some kind of points program that awards you points for every dollar you spend and you can use them toward travel costs such as airline flights and hotel accommodations. Still others offer cash back percentage on all your spending, with higher rates for spending at grocery stores, drug stores and gas stations. Some even offer money towards a specific purchase, such as the GM card, which you can earn money towards a new GM vehicle purchase. Nearly every card offers zero fraud liability if your card is lost or stolen, and many offer other incentives like low annual percentage rates (APR) and no annual fees. Visa, MasterCard, American Express, and all the rest are jumping on this bandwagon to get their piece of your business.

However, it is important to look before you leap. Most of these 0% interest rate incentives only last for six to twelve months. It is imperative that you look at what your regular APR will be after the promotion period is over. The rate can be a variable rate that changes or a fixed rate, which can also change at the whim of the credit card company as long as they notify you in writing thirty days in advance. Also, if you make a late payment, it can negate the whole incentive and revert immediately to the regular APR. All that fine print in the little brochure that arrives with your offer should be read thoroughly before signing the credit agreement.

So, while a 0% interest credit card may look good at first glance, it is important to do your homework on any credit card offer you are considering. It is also a good idea to remember that it is easy to get into some serious debt very quickly with credit cards. Credit cards make spending money easy, but if you are not disciplined about your credit card use, you can get in over your head. Also, if you can't afford to pay more than the minimum payment, it can take you decades to pay it off, and the whole time the credit card company is making a fortune off of you. It is always a good idea to be in charge of your money, not let your money (and debt!) be in charge of your life.

Article Source : Does Closing A Credit Card Hurt Your Credit Score

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Both Douglas Titchmarsh & Bob Hett are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

Douglas Titchmarsh has sinced written about articles on various topics from Credit Cards, Finances and Fitness. . Douglas Titchmarsh's top article generates over 9900 views. to your Favourites.

Bob Hett has sinced written about articles on various topics from Credit Cards, Computers and The Internet and Credit Cards. Bob Hett offers great tips and advice regarding all aspects of Credit Cards. Get the information you are seeking now by visiting. Bob Hett's top article generates over 60500 views. to your Favourites.