There is no such thing as paying no interest on a credit card. The companies who issue credit cards would not stay in business in this were the case. However, you can obtain an interest free credit card, which means you will not pay any interest for a designated period of time. This varies from company to company. Always compare what credit card lenders have to offer before you dive in and apply for an interest free credit card with them.

Some interest free credit card companies offer introductory offers where no interest is charged for three months, six months or in some cases, up to 18 months. This is often based on how much is charged to the card. If you go over a specified amount (your limit) then interest could very well be charged sooner. This is a way to encourage new business for the company. While the interest free period might sound very attractive, make sure you find out what the standard interest rate will be after the interest free period is over with.

The very best way to avoid having to pay interest is to be smart with your purchases and to pay your bills on time. As well, never charge beyond the amount you can afford to pay by the time your bill is due and payable. All credit cards do have a grace period or an interest free period. In most cases this falls somewhere between 40 to 60 days after you have made a purchase or purchases. This is especially beneficial if you plan to charge something expensive such as a trip, a computer or a flat screen plasma television.

If you already have a credit card and find an interest free credit card that has better rates, then most companies will allow you the opportunity to transfer your balance from one to the other in order to take advantage of the zero percent introductory rate. Make sure that you choose a credit card company that will not charge you much of a fee (or preferably no fee at all) for making the transfer.