Is 0 APR Credit Card Good or Evil?
Right now, there are so many banks are issuing 0% APR for certain introductory periods credit cards and I am pretty sure your mailboxes are filled with all these credit cards applications. Like me, you must be tempted with the 0% APR credit cards offered by different banks because with 0% APR, we can now buy stuff without paying interest rate and getting money out of our bank account. It is just like getting interest free installments in buying stuff that you want. Isn’t it pretty this way?
So, taking advance of this offer is a smart choice as let say if you want to buy a laptop that worth $1500 dollars and you don’t have that much of cash to purchase it. So, you get a 0% APR for 12 months credit card to purchase this laptop. In the next 12 months, you just have to pay back the minimum payments required by the credit card purchase and you are not charged for any interest. But, please note that you have to pay back all $1500 in 12 months. If not, the credit card company will charge you high APR after 12 months and all you plan will be in vain as now you have to pay for the interest.
Hence, whenever you get offer for 0% APR credit cards, you can think twice whether you want to take advantage of these offers or not because if you make a smart planning, these credit cards can help you in solving your financial problems and increase your credit scores. Nevertheless, please note that if you don’t have a clear plan that you are able to pay back all the money that you owe before the 0% APR introductory ends, you will end up paying a lot of money for interests because usually the APR of these credit cards will jump high from 0 to 14% or 19% or up to 24%. In short, 0 APR Credit Card can be good if you know how to manage your finances properly and have a smart planning.
