To attract customers to their credit card, many companies offer free balance transfers from your old credit card. Once the money is safely owed to the new company, they will often provide a grace period where they charge far less on the transferred balance. This introductory rate lasts from around six months to an year after the balance transfer takes place. It is an excellent method of reducing credit card debt.

I lately found a credit card offering zero percent interest until February 2008, for one-and-a-half year. Using this credit card, I opened a new account that offers free balance transfer. It was a great deal, and things could not be better than that.

While some companies charge a huge transfer fee that can be a percentage of the balance transferred, some offer zero percent interest and no transfer fees to its customers. A difference of nearly two percent every month can show how quickly you are able to pay off your credit card debt.