Balance transfer cards are specifically targeted for those who are looking to consolidate debts spread across multiple credit cards by transferring them to a single credit card account. Best of all, you can transfer balances from gas, store and other types of credit cards. Sometimes a fee is required to make the transfer but not always.
To determine if a balance transfer card is right for you, consider the following pros and cons:
You should avoid a balance transfer card one if:
- You have trouble controlling your spending
- You lack the discipline required to pay off your credit card bill in full on a monthly basis
However, if you’re financially responsible, they offer the following perks:
- Improved money management. Consolidating multiple credit card balances into a single card reduces the number of bills you have to sift through and that makes it easier to track your expenses.
- Lower costs. Transferring your higher-interest card balances to a balance transfer credit card with a lower rate, will save you money, thereby allowing you to pay down your debt faster.
Photo Credit: GotCredit
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