Using a business credit card balance transfer
can assist small and home business owners by offering an affordable way
to transfer debt from one card to another. In so doing, it is possible
to pay back what is owed much more quickly and cost effectively than if
the debt remains on a card that charges higher interest. Deals generally
offered can vary from 0% interest to other desirable low introductory
rates. Given that many types of incentives are offered, it is a good
idea to thoroughly check into the balance transfer options that are
available through third party review websites.
Finding the Best Business Credit Card Deals
Conduct some research about 0% and other low balance transfer offers. Look at different creditors to review which companies have the best balance transfer deals. Check with your present bank to see if there are any deals offered that you are eligible for. Websites such as CardHub.com allow for comparisons on the various credit card deals available. Use the data found to help make the best credit decisions for your home business.
Balance Transfer Calculators
Try using a free credit card balance transfer calculator. This can assist in figuring out which offer will ultimately cost the least. Various online calculator tools offer different solutions. For example, some card issuers may include a basic calculator on their web site so that you may see what the savings may be by switching to their credit card offer. Independent balance transfer calculators can offer a way to assess different deals in a comparison lineup which displays the cost savings basis for each card offered.
Note the New Interest Rate
Once you have chosen a new card to apply for, note the interest rate once the interest-free period has ended. Calendar the date the introductory date ends so that you won't wind up paying a significantly higher interest rate than before. Pay off the entire credit card balance before the interest-free period terminates, for the best advantage.
Read the Fine Print
Be sure you understand fully if there is any catch to the offer. For example, the new balance transfer rate will probably apply only to the amount that is transferred to the new card. Because of this, new purchases will rack up finance charges. Make a note not use the card for new purchases, if this is the case. Keep the card in a file so that it is not mistakenly used. New purchases should be made only if the low rate applies to them, or if you know you can pay the purchase off before interest is charged. Also ensure that you understand whether the balance transfer fee will be subject to finance charges.
Most business credit cards offer convenience checks. While they may seem like a great idea, be aware that using those checks is usually the same as a cash advance, which can be quite costly. While credit card cash advances historically have very high interest rates, some credit cards offer favorable interest rates if the checks are used to transfer balances. Ensure that you fully understand all of the charges and fees associated with convenience checks before you use them.