They say nothing in life is for free, so what should I be careful about with those 0% credit card balance transfer offers?
Top answer provided by:
David Van Den Berg
The major trap with these offers is in the conditions. They are usually interest free for a period (sometimes 3 or 6 months) and only on the amount transferred over from an existing card. After this honeymoon period the cards go to a high interest rate sometimes over 20% per annum.
If you are disciplined and pay it off in time you could save money. However most people don't and end up in a cycle of relying on expensive credit cards.
Although these offers appear enticing it's important that you understand all the details and have a plan to repay the debt and be disciplined in doing so.
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