While it is almost impossible to resist the urge of using your credit card, everyone hates paying off debts. Most credit cards attract high-interest rates and paying for them can be a painful affair. All in all, you have no other option but to pay back what you spent, notwithstanding the interests. The good news is that the process doesn’t have to be painful. There are various ways to pay off a $10,000 credit card debt. Here are the best methods that most financial experts endorse:
Use a powerful tool
Treat credit card balance as an emergency situation that needs a quick remedy. If you find yourself in one of them, the first thing to do is look for ways to minimize any further damage to the situation. In the case of credit balance, focus on bringing to a halt all the interests that you are paying. How can you do it, yet almost all financial institutions are focusing on benefits?
Don’t assume that all cards are the same, do some research and be keen on those enticing ads from banks. You will get one that charges zero interest rates on its credits. Try to find a card that offers 0% on APR transfer and transfer all your balance to it. Customers using these cards can go for up to 18 months without being charged any interests on the transferred balances.
To be among the beneficiary of these cards, you need to stay alert on the market trends and buy specific cards that don’t charge any interests on a long-term basis.
If you are skeptical about these strategies, take a look at this scenario: Let’s assume that you owe your creditor $10,000 and you are supposed to repay $200 per month. You will end up being overwhelmed by the interest rates because out of $200, only $50 or $75 will make it repay your money. The rest of the money will go to the bank. This may sound brutal, but it is the reality that happens with most credit cards. A no-interest credit card will spare you from such kind of torture.
Transferring your balances will provide you with both the short term and long term relief. In this review, we are going to look at the credit cards that attract zero interest rates. They also offer an extended period in which you are supposed to repay your debt.
Take advantage of the interest-free period Even after transferring your balances and freezing the interest rates; you should fully capitalize on this period which you are not paying any interests. All you have to do is continue remitting the payments as you used to do when you were paying the attention. The only difference now is that the entire amount will go towards reducing your debt, rather than paying for some fictitious every day.
Let’s assume that you have transferred your $10,000 debt. The new 0% intro APR card may require you to repay $200 monthly for the next 15 months. Since all the money is going towards debt, you will be done with the debt earlier than expected.
Now that you have understood how 0% credit cards work, let’s review some of the cards that you should consider using to get out of a vicious debt cycle.
Amex EveryDay Credit Amex every day has 0% intro APR and holders can settle their debts within 15 months. Transferring your balance to this card in the right time can save you from dealing with transfer fees. You should place a request for the balance transfer within sixty days of opening the account.
One fringe benefit of using the Amex EveryDay card is that it offers its members some reward points that they can use to do shopping worth $1000. Amex every day is a good option for someone who is tired of high interest rates. Apart from the reward points, the card does not charge transfer expenses.
This card has an 18-month bank transfer and comes with an array of cash back rewards. However, it does not have the 0% intro APR length. As a credit card holder, you stand a high chance of earning 5% cash back on various expenses such as department stores, food eateries, Amazon and gas stations. The card does not charge annual fees. Discover It is appropriate for people who want to enjoy long balance transfers and those looking to collect irresistible cash rewards.
HSBC Gold MasterCard credit card
HSBC Gold MasterCard offers a 0% interest rate balance transfers. In simple terms, you can pay your balance for 18 months without being charged any accumulating interest. With this card, you can enjoy a fee waiver without paying any penalties. You will also not pay foreign transaction and annual fees.
Capital One Quicksilver Credit Card
This is another credit card that can save you from massive debts. It has a 0% balance expenses for nine months. It offers $1.5 bonus on every purchase that you make. In addition to that, the credit card comes with fantastic cash rewards that you can use to pay your debt. If you spend $500 on purchases in the first 3 months of opening the account, you will earn a $150 cash bonus. Music lovers can get a 50% off of their monthly Spotify premium subscription.
Wells Fargo Premium Visa card
This credit card offers an intro rate of 0% that runs for up to 15 months. It also has a balance fee that attracts the shift expenses of 3% intro for 15 months. Another outstanding feature of Wells Fargo Premium credit card is that it offers up to $600 cover on your phone against theft or damage. It can also save you from high-interest fees.
Chase Freedom Card
The Chase Freedom Card offers its holders a 0% Intro APR that runs for 15 months. You can also enjoy a $150 cash bonus after spending $500 on purchases within 3 months after opening an account. You will be charged an exchange fee of $5 or 5% of the balance to be shifted.
With these credit cards, there is no reason why you should continue suffering in debts. Avoid the pain of dealing with high-interest rates by getting any of the above 0% interest credit cards.