It sounds like a great deal, and it comes at the perfect time. You are behind on some bills, and in the mail you receive a letter promising a low introductory rate if you apply for a new credit card. It sounds like a great deal.
Here’s the truth: low introductory credit card rates are not a great deal. Why? Because they are introductory rates. Six months from now your low 4.99% rate becomes a normal 19.99% rate, and your monthly payments go way up.
Even worse, you got the new credit card to pay off the balance on your old credit card, but you didn’t cancel your old credit card! You had a problem and used your old credit card, and now you are carrying balances on two credit cards. All you accomplished by getting that new credit card is that you increased your total debt, and increased your monthly payments!
Pay off your existing credit card, and avoid deals that seem to good to be true.
