Credit card offers are a great way to get out of credit card debt. Offers often provide an introductory rate that typically ranges from 0 percent to 4 percent. According to credit card law, credit card companies that offer these rates are required to keep them in place for at least six months, but they can last as long as a year. Most of the time, these types of credit card offers are reserved for transferring balances and also for cash advances.
Introductory Offer Credit Card for Balance Transfers
Banks issue what are called introductory offer credit cards in order to make these credit cards an attractive product to people. Credit cards have an interest rate, and introductory offer credit cards often have an interest rate that is, typically, below the market rate. Very often, people can find credit cards offering an introductory rate of 0 percent.
With a 0 percent interest rate, people can carry a balance on the card without having the principle increase because interest is not being added. The best credit card offers of this nature are for credit card balance transfer offers. This would be advantageous to people who have balances on other credit cards who switch to a 0 percent introductory rate credit card.
As most credit card balance transfer offers last as long as six months, customers who pay their balances in full in that time eliminate their debts faster than they can with a high interest rate card. With a high interest rate credit card, the amount keeps growing, but with a 0 percent rate, the increase stops and people can take control of their finances again.
Cash advances are a convenience that credit card companies give their clients, too. They are short-term loans that depend upon the amount of credit that the company has extended to the cardholder; cardholders can withdraw up to the limit that the credit card company sets. These advances are subject to being charged interest because the amount withdrawn is added to the credit card’s balance.
The best credit card offers give people the opportunity to obtain cash advances with an introductory rate credit card. As long as these cardholders can pay their cash advances back before the introductory period ends, receiving cash advances from their credit card companies can keep them out of financial troubles when they need immediate cash.
Examples of Introductory Credit Card Offers
The Capital One Venture One Rewards Credit Card is an introductory offer credit card that gives its new customers an introductory rate of 0 percent for a full year, until August 2012.
Those who need credit card balance transfer offers have two Chase credit cards to choose from for this purpose. The Slate from Chase is one of the best credit card offers because it gives people a 0 percent introductory rate for up to 15 months and also allows for balance transfers at 0 percent for the same amount of time.
The Chase Freedom Visa offers the same type of deal but for less time; the introductory rate of 0 percent will last for six months and the balance transfer 0 percent rate remains in effect for one year.
People looking for credit card offers that will help them reduce their debts have the option of applying for an introductory rate credit card. Those who need short-term loans may receive them from the same types of cards.