An 18 month 0 interest credit card is one where you won’t have to pay any interest on your purchases for at least 18 months. This is beneficial for those who need interest free money for over a year. The money can be used to pay bills, or for an unexpected emergency. Not having to pay any interest for 18 months helps to ease stress and can give the card holder time to get their finances in order.
It is important to understand that those with the best credit scores will have access to the best cards. With that in mind, here are a few questions to keep in mind that will help you pick the best deal.
What will the interest rate be after the 18 months are over? If you intend on keeping the card after 18 months, it will be in your best interest to see what kind of rates it will have after the 18 months are past. The interest-free offer may just be a hook that will leave you with a card with rediculously high rates.
Are there fees on balance transfers? If you need to transfer a balance from one card to another, there may be balance fees or a transfer limit. Make sure you figure out what these fees are and what the transfer limit is if your goal is to transfer your balance to a better card.
What is the annual fee? There may be no interest, but there may be an annual fee. At the end of the year this could surprise you, especially if it is a huge fee. Check to see if there is an annual fee and how much it is.
What is the late fee? If you miss a payment will they sucker punch you with a gigantic late fee? Some cards may even raise your interest rate if you are late with a payment. Find out what these fees are so that in a worst case scenario, you aren’t caught in a storm of fees and interest rate increases. Some cards really nail you if you miss a payment.
Having an 18 month 0 interest free credit card can be really helpful in times of financial stress. Just make sure that the card won’t surprise you with high interest rates after the 18 months are over, or slap on fees you weren’t aware of when you signed up.