This Post comes from Michael, chief editor of DoughRoller.net, which helps consumers find the best online banks available today.

If you’ve been wondering what a credit card “grace period” is, don’t be ashamed. Many credit card ads can be confusing, appearing quickly on television commercials and rattling off small print in the seconds before Law & Order returns. Grace periods are one aspect of a card agreement very important to consumers.

First, let’s take a look at the financial mechanism known as the credit card. When you purchase any item, be it dinner, a movie ticket or box of tissues, the credit card company makes you loan in the amount of the purchase, and releases that amount of funds to the merchant. The merchant, in turn, gives you whatever it is you’ve purchased.

The amount of the transaction is added to your card balance. Your card balance is a running tally of the small loans the issuer has made to you for every transaction, the total amount loaned. Like any loan, the loan card issuers make to card carriers comes with an attached interest rate. Interest rates on credit cards can vary largely based on the card company, whether or not the card offers a rewards program (card companies often subsidize rewards with hire interest rates), and the credit history of the card carrier. Rest assured, however, that credit card balances will almost always carry the highest interest rate of any loan you’ll see. And, they’ll certainly top how much your pennies are earning in a savings account. Whatever that rate is, it’s generally applied once a month. If the balance is paid in full, however, no interest is charged. Continue Reading »

The best credit card offers in October range from money saving 0% balance transfers that last 18 months to enhanced cash back credit card promotions that offer up to $100 cash back to new card members. Discover is the main driver behind improvements in the quality of credit card deals this month, as they improved 0% APR balance transfer offers and increased their cash back promotions.

Best Balance Transfer Credit Card Offers

Discover leads the pack with an 18 month 0% balance transfer offer (I wrote recently on why I consider this to be the best balance transfer credit card.) The new offer, available on the Discover More Card, matches the 0% APR for 18 months balance transfer deal available on the Citi Platinum Card. Both credit cards charge a 5% balance transfer fee and, while Discover is consistently ranked as a better credit card company, the Citi Platinum Card does offer a longer 0% interest period for new purchases, 12 months versus 6 months.

Consumers who think they will need a 0% APR on purchases may want to choose the Citi Platinum Card, but those who are just looking for a balance transfer will likely be much happier with Discover. For more information on these and other current balance transfer offers, please see the 0% APR balance transfer section where you can compare balance transfer credit cards and apply online.

Best 0% APR Credit Card Offers

The aforementioned Citi Platinum Select card remains the best overall 0% APR credit card offer with its industry leading 0% APR for 18 months on balance transfers and 0% APR for 12 months on purchases. A few other Citi credit cards, as well as one offer from Discover and one offer from Chase, also provide a 0% APR for a 12 months on purchases and balance transfers. However, no major issuer is offering a 0% APR on purchases for more than 12 months. Continue Reading »

Starting October 1st, Discover has increased the length of the 0% APR balance transfer term on the Discover More card to 18 months. This is an increase of 3 months and, along with the Citi Platinum Select card, the Discover More card now shares the title of longest 0% balance transfer offer. However, while the length of these balance transfer offers is the same, Discover More is hands down the best balance transfer credit card available, especially for consumers who can benefit from the extraordinarily long length of this deal.

Why is this the Best Balance Transfer Credit Card

The reason I heavily favor the Discover More card over the Citi Platinum Select card stems from my experience during the credit crunch. From late 2008 until the CARD Act kicked in this February, hundreds of people posted credit card complaints on Smart Balance Transfers or sent me personal emails. Of those complaints, about .005% Discover. 99.55% were about the major banks. It was during this period of turmoil that I developed the highest respect for Discover. They are a company that values customers over a quick buck.

While my personal preference for Discover was shaped by the respect they demonstrated towards their card holders during the credit crisis, both the Brand Keys Customer Loyalty Survey and J.D. Power’s annual credit card satisfaction survey back up my position that Discover offers the best balance transfer credit card offers. Continue Reading »

When utilized properly, 0% APR credit cards can save you hundreds, if not thousands of dollars. To maximize savings, however, it is very important to apply for a 0% credit card at the right time. This is especially true if you intend to use the card for purchases as opposed to balance transfers. Below are some tips to help you figure out when to get a 0% APR credit card.

When to get a 0% APR balance transfer credit card

If you have more than one or two thousand dollars in credit card debt and know you won’t be repaying it in the next year, get a 0% APR balance transfer credit card as soon as possible. This will immediately help you save money on interest and, if you use that money to pay down your credit card debt, the combination of a 0% interest rate and the extra money you use to pay down the principle will help you get out of debt much faster than you possibly could with even an average rate of 14%.

While most people will benefit substantially by doing a 0% balance transfer as soon as possible, there is one reason to hold off on applying for this type of 0% APR credit card:  if you know you will be making some larger purchases in the very near future. Continue Reading »

Editor’s Note: Please see the Balance Transfer Reports section of this website for information on the most recent 0% deals.

Just a few months ago, most credit card companies had cut 0% APR credit card offer durations to as little as 6 months.  However, Citibank recently began offering a 0% APR for 15 months deal on its Citi Platinum card.  Unfortunately, this particular 0% for 15 months offer is not all its cracked up to be.

Like many advertised 0% introductory offers, this credit card advertises a 0% APR for up to 15 months on balance transfers and purchases.  In the fine print, however, one quickly learns that only some applicants will qualify for the 15 month 0% interest rate.  Continue Reading »

With provisions of the new credit card laws due to go into effect on February 22, 2010, credit card companies are adjusting their offers accordingly.  Long term interest rates have already increased across the board and 0% credit card rates are likely to increase, and thus disappear.

With congress passing and President Obama signing the CARD act of 2009, provisions of which have been enacted already with the remainder to be implemented in 2010, credit card issuers are preparing for the most sweeping changes to hit the industry in decades. This, along with the uncertainty around consumers’ ability to pay their debts, has credit card companies closely examining their rates and incentives. Continue Reading »

Around this time last year, credit card companies began tinkering with 0% interest rates.  First, they stopped offering fixed APR credit cards with low interest rates.  Then, slowly at first, they began reducing 0% interest offers from as much as 15 months to around 6 months.  Today, 0% interest credit cards have managed to hang in there, though many deals are not what they once were.  Here’s a round-up of what you can expect to find in the credit card market today.

1.)  0% Interest on Purchases:  Credit card companies use 0% interest rates on purchases to lure in new customers who will use their cards, spend (and earn then fees every time you use the card) and then carry a balance once the 0% interest period expires.  Continue Reading »