In this article we will talk about how correctly to choose a credit card with the zero interest rate on purchasing, during an induction period (Intro period). The induction period (Introductory Period) is a time interval during which time credit granting soft terms act.

Agree that the offer on reception of such credit card sounds very seductively. And it is very frequent, banks offer credit cards with 0 interest rate with the period from 6 about 15 months.

For example, all this period you can use bank money free of charge, correctly? — It is not always so. Necessarily read agreement conditions at credit card reception (Terms and Conditions). The correct choice of a credit card is such at which, the client will pay to bank a minimum for using the credit, or will avoid this payment at all. Be convinced that you understand value and kinds of collections and penal damages. Sometimes late payment, can lead to a credit overdrafting that also can increase the balance sheet on the card.

At a choice of a credit card with 0 interest rate, it is necessary to remember that:

such rate is applied not to all operations with the card (purchasing, balance sheet transfer, cash withdrawal);

in the agreement with bank it is often said that in case of payment delay, the bank has the right to cancel action of an induction period and to start to apply the usual interest rate;

after induction period end, at balance sheet calculation unusually high interest rate will start to be applied. It is possible to close the account certainly, or to translate the balance sheet on other card. But what to do, if you don’t have cash, and the new card doesn’t manage to be received?

After end of induction period, at balance sheet calculation on the card, the balance sheet amount of last month of an induction period (see the clause) can be considered.

Credit cards with rewards programs:

There is a set of offers of various credit cards with rewards programs (Rewards Program). The majority of the given programs work exclusively with certain shops and it is necessary, literally to “juggle” with credit cards, using one credit card for food shops and another for autorefuellings. Each credit card issuer to aspire to become number one for the client that has led to development of new conditions for credit cards with rewards programs.

At use of the given kind of cards it is necessary to pay attention on:

1. An annual interest rate.

2. Some credit cards can have a limit determining, the maximum quantity of compensations.

3. Choose credit cards with rewards programs depending on personal needs then you can earn on the credit card.

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