Credit card companies know that numbers get your attention. This is why institutions with a low interest credit card rate are always proud to advertise it in big fonts, using slogans such as “0% on balance transfers” and “low ongoing fees”. But before you rush to transfer your existing credit card balance to the shiny new one, it might help to read the small font.
Is there a transaction fee on balance transfers?
You may find that even if the introduction rate on your balance transfers is 0% for the first 6 months, a 2% transaction fee on a $5000 transfer will cost you $100.
Make sure you qualify for the rate, and know what the conditions are. Many low interest credit card holders find that one late payment could make the rate jump higher than premium cards.
Ratecity.com.au can help you find the best low rate credit cards in the market, to get started check out our low rate credit card comparison tool.