Credit cards with no balance transfer fees can help reduce credit card debt; however, you should be mindful of their other terms and conditions before applying.
These cards typically offer an introductory 0% interest rate for 60 days and offer other perks and rewards.
0% intro APR
An intro APR credit card allows you to take advantage of interest-free balance transfers and purchases for an introductory period, making them useful when paying off debt or making large purchases. But before signing on the dotted line, be certain that you can clear off your balance before its introductory period ends – failure to do so could incur severe penalties and interest charges.
Though 0% credit cards can be beneficial, they’re not the right fit for everyone. Use of one can lead to bad spending habits that lead to debt accrual before the promotional period has concluded. Furthermore, the issuer of such cards typically conduct a hard inquiry when you apply and this could cause your score to decrease significantly – so before applying for one it is vitally important that your check your score – having higher score will increase the likelihood of approval and getting you the best 0% APR offer possible.
No balance transfer fee
Balance transfer credit cards that don’t charge a balance transfer fee can save money; however, using these types of cards could backfire if you don’t commit to paying off your debt before the 0% intro APR period ends.
Credit card balance transfer calculators can show how much of your debt amount and interest rate would be payable with different cards, and help determine whether paying an upfront balance transfer fee would be worthwhile.
Importantly, balance transfer credit cards generally feature a regular APR and may also impose other fees when used – such as late payment penalties and annual fees. You should find all terms and conditions of each card within its cardmember agreement or online via your account dashboard.
Rewards or benefits
An opportunity for faster debt reduction lies within credit cards offering no balance transfer fees and rewards programs, such as Bank of America(r) Customized Cash Rewards Credit Card with 21 billing cycles of no interest on both balance transfers and new purchases, along with generous cash back offers.
This card may not be appropriate for people with bad credit due to its strict eligibility requirements and require high credit scores to qualify. Furthermore, current Bank of America customers are only eligible to apply. In order to gain approval for this card, complete and provide all requested information accurately on the application before waiting for approval process to finish and begin transferring balances onto this card – always making payments on time to avoid incurring late fee penalties.
Annual fee
Many credit cards charge annual fees, yet the rewards and other benefits often outweigh this expense. Perks such as airport lounge access, TSA PreCheck/Global Entry application fee credits and welcome bonuses often make these cards worthwhile for their annual fee payments. They also typically offer higher earning rates than their no-fee counterparts and transfer points directly to hotel loyalty programs or airline programs.
As each individual has different needs and circumstances, deciding if an annual fee is worth paying will depend on their personal needs and preferences. If you fail to pay off your balance in full each month, interest charges and fees could quickly outstrip the cash back rewards available through cards like those from Citi. If you have a strong relationship with your card issuer, try to negotiate an annual fee waiver by calling their customer service line listed on your statement – sometimes this incentive even lasts beyond just the first year!
