Millions of Americans have credit cards, using them almost every
day for everything from mundane things like groceries to
exciting purchases like vacations. But unless you already have a
0 APR Visa, Mastercard, or Discover credit card, chances are
you're still looking for one. Who wouldn't want a credit card
that offered 0 percent APR?
The APR is the annual percentage rate, and it determines how
much interest you pay on your credit card. No-interest credit is
the best, obviously; a credit card with no APR means you're
paying back only the amount you borrowed, with no additional
charges. When the bank makes you a 0 APR credit card offer,
you're liable to jump at the chance! But you don't need to wait
for the bank or credit card company to come to you. You can get
a 0% APR credit card yourself.
First you'll need to check your credit score. The credit card
companies are more likely to give you a low-repayment credit
card as a "reward" for being a low-risk consumer. Get a copy of
your credit report from one of the online sources available --
you're entitled by law to one free credit report per year -- and
see if there are any blemishes that might prevent you from
getting a 0 APR credit card. You should check your report even
if you're sure you've never done anything to earn bad credit,
because mistakes can creep into your report. The last thing you
want is to be denied an interest-free credit card because of
something you didn't even do!
Once you've confirmed your credit report is solid, or done
what's necessary to clean it up, you can apply for a credit card
with confidence. There are two ways you can go about getting
no-interest credit. One is to approach your current credit card
companies and request a lower interest rate. Tell them you'd
like to do a balance transfer, point out your positive credit
history, and ask for zero APR credit. Many times, they will give
you 0 APR for a period of six months or a year, which is fine:
Before the time is up, you can set up 0 percent APR on a
different card and transfer the balance. If your credit stays
good, you could move your balance from one card to another
indefinitely, thus keeping 0 APR credit for the life of the loan.
Another option is to open new credit cards that have 0 APR
offers. These are easily found online, and the 0 APR credit card
is usually an "introductory" offer, which means it switches to a
higher APR after six months or a year. The same procedure
applies: Take advantage of the offer, and then transfer the
balance to another 0 APR credit card before the time is up.
Before you get any new credit cards, though, be sure to check
into their policies on balance transfers. Some have different
APRs for balance transfers as opposed to purchases.
With a little work and careful spending habits, it's possible
for anyone with good credit to get a 0 APR credit card. Why
should the credit card company get all your hard-earned money
with its fees and APRs? No-interest credit is the way to go.
Good luck, and happy spending!
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