How About That 0 APR Credit Card?
When surfing the Internet you see them all the time – the offer for the infamous 0 APR credit card. Sure, it looks good. Actually, it looks very good for the fact that 0 APR is a very attractive number when it comes to the annual percentage rate of a credit card. Some choose to close their eyes and fantasize for a moment as to what it would be like to have a credit card with 0 APR. Most envision a full trunk of bags from their favorite stores while at the same time thinking, “And I don’t have to pay interest for this.” Well, unfortunately that isn’t entirely true. Most people don’t find out the truth about the 0 APR until they have already racked up a large credit card bill. This is why it's important to always read the fine print, so there are no surprises later.
The truth about the 0 APR credit card is that after the introductory period, which can be anywhere between ninety days to a year, it is time for the real APR to be assessed to the account. This means that any balance you have hanging out on your card will be subject to this APR that's applied to the account after the introductory period. A 0 APR credit card is more or less the bait that catches the fish, but there are some really great credit cards out there that offer a 0 APR credit card to consumers that do not have a high APR when the introductory period is over.
Some cards have a considerably high APR that unless your read the fine print you won't find out until it's too late for you to do anything. This is one reason why it is very important to review what the APR will be after the 0 APR credit card offer is made. Once you have read the fine print you can decide if this is the card for you. Anything with an interest rate of 9.49% to 13% is what the majority of cards charge. Yet some cards go as high as 21%.
So keep a look out on the terms and conditions related to your 0 APR credit card. Sure, it is a great deal, but you want to make sure there are no balances hanging around on your card when it is time for the APR to be applied. This can be a blow to your pocket book, especially if a significant balance is present. So stay very aware of what is going on with your best credit card offers so that you don’t find a surprise on your bill.