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.
Convenience Checks
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.