We are instantly drawn to no interest credit cards, who wouldn't want to save interest of what typically begins at 19 percent? Here is how no interest credit cards work.
These credit cards are offered with a condition of 12 to 18 months, interest free. Also known as the "introductory period"
The full balance must be paid before the "introductory no interest period" ends or you may be subject to interest on each purchase, regardless of if you have already started paying the balance down.
If payments are missed, you could be subject to penalties at a higher interest rate than usual. This will bring your credit score down, if payments can't be made.
No Interest Credit Cards could be a great opportunity to save, which is why it's important to know the basics of how they work.