Can someone imterpret this credit card “fine print” for me?

Britt: Can someone imterpret this credit card “fine print” for me?
Im interested in transferring my higher balance card to this new one I havent activated yet. Good or bad idea???? Can someone tell me if there is any tricks in the fine print for me. Thanks!

Terms and Conditions
Print

Promotional Offer ID HKN9K7HVD:The promotional Annual Percentage Rate (APR) Offer for this Balance Transfer is 0% through your statement Closing Date in 02/2010. Your promotional offer may end sooner. If you pay late or exceed your credit limit, then as of the first day of the billing cycle in which that occurs, the promotional offer will end. When this Offer ends, the APR for this promotional balance will increase to the then prevailing non-promotional variable rate for Balance Transfers; as of 01/31/2009 the APR is 9.99% . In addition, we may increase the APRs on your account up to the Default Rate without giving you notice. The variable Default Rate is currently 27.99%. The transaction fee for this Balance Transfer is 3% of each transaction, minimum $ 10.00.

Balance Transfers and Direct Deposits are subject to account status, delinquency, and credit availability. Also, we may decline a Balance Transfer or Direct Deposit request if we determine that you no longer meet our credit standards. If we decline a request because you no longer meet our credit standards, we will try to contact you first but we may reject the request and notify you later. Borrowing the full amount of your available credit may result in an overlimit fee, as applicable. You may not use a Balance Transfer to make a payment on this or any other credit account issued by FIA Card Services, N.A. APRs are subject to change in accordance with the terms of your Credit Card Agreement. We will allocate your payments to balances (including new transactions) with lower Annual Percentage Rates (APRs) before balances with higher APRs.

Answers and Views:

Answer by SonoranAngel
In addition, we may increase the APRs on your account up to the Default Rate without giving you notice. The variable Default Rate is currently 27.99%

I would worry about that sentence right there.

Answer by Ted
First, the rate isn’t 0%,; it’s 3% because they’re giving you a year and charging you a transfer fee of 3%.

They’re losing money on every account at 3%. Why do they do this? Because a large number of customers will miss a payment by maybe one day and let the company off the hook. In fact, that late payment may qualify you for 28% as well as a late payment charge on top of it.