Whether you require money to pay off a debt or need a low-interest loan to buy something, you can use a cash transfer credit card to transfer money to your bank account. The upside is you can send cash from a card to your bank account at 0% interest!
Some factors can change how much you can move and how much fee and interest you’ll likely incur. To help understand the exact details, we’ll provide you several tips on using a cash transfer credit card, as follows:
Plan to Avoid Debt
The key to avoiding too much debt is to develop a reasonable budget plan and stick to it! That way, you’re clear on repayment before the transfer, and you know that using a cash transfer credit card won’t hurt your balance.
Check Credit Score
Once you have a plan in motion, you need to think about your credit score. Many fair offers (like the 0% interest rate) depend on whether your score is somewhere within the “good” or the “excellent” range. If that’s the case, then you have a valuable offer coming your way. But if it’s below the “good” threshold, you may receive an offer with unfavourable terms and conditions (or no offer whatsoever).
You have to be careful with fees on your cash transfer credit card. Otherwise, they’ll wipe out any valuable savings you have. Most cash transfer credit cards charge somewhere between 3-5 per cent.
Using a cash transfer credit card can help you escape lingering debt, but if you’re not careful, it can drown you even more profound.