Wells Fargo Active Cash® Card: Elevate Your Cash Rewards Game
For those seeking a credit card that combines an enticing introductory APR offer with impressive cash rewards, the Wells Fargo Active Cash Card deserves a close look. In this review, we’ll delve into the key features, benefits, and potential drawbacks of this card to help you make an informed decision.
Card Overview
- Purchase Intro APR: Enjoy a 0% introductory APR for 15 months from the date of account opening.
- Balance Transfer Intro APR: Benefit from a 0% introductory APR for 15 months on qualifying balance transfers.
- Regular APR: The standard variable APR ranges from 20.24% to 29.99%, depending on your creditworthiness.
- Rewards Rate: Earn an impressive 2% cash back on all your purchases.
- Recommended Credit: Good to Excellent (670 – 850)
Finance Devil’s View
If you’re in search of a credit card with a generous introductory APR and long-term value, the Wells Fargo Active Cash Card should be on your radar. This card stands out for offering one of the best flat cash rewards rates available in the market, and it doesn’t charge an annual fee.
Pros:
- Welcome Bonus and Intro APR: Earn a $200 cash rewards bonus after making $500 in purchases within the first 3 months. Additionally, benefit from a solid introductory APR offer on both purchases and qualifying balance transfers.
- Generous Cash Rewards: Enjoy a best-in-class 2% cash rewards rate on all your purchases, making it an attractive choice for those looking to maximize their cash back.
Cons:
- Foreign Transaction Fee: The card imposes a 3% foreign transaction fee, which may disappoint travelers who frequently journey abroad.
- Introductory Balance Transfer Fee: While the introductory balance transfer fee is 3% for the first 120 days from account opening (with a minimum of $5), it may increase to as much as 5% after this initial period.
Card Details
Introductory Offer:
- Earn a $200 cash rewards bonus after spending $500 on purchases within the first 3 months of account opening.
Cash Rewards:
- Earn an unlimited 2% cash rewards rate on all your purchases.
Intro APR:
- Enjoy a 0% intro APR for 15 months from the date of account opening on both purchases and qualifying balance transfers. Balance transfers made within 120 days qualify for the introductory rate and a fee of 3%, which may later increase to up to 5% (with a minimum of $5).
Annual Fee:
- This card has no annual fee, allowing you to maximize your rewards without any extra cost.
Additional Features:
- Your cash rewards don’t expire as long as your account remains open.
- Access a premium collection of benefits at select prestigious hotel properties with Visa Signature Concierge.
- Get up to $600 in cell phone protection against damage or theft when you pay your monthly cell phone bill with your eligible Wells Fargo card (subject to a $25 deductible).
The Wells Fargo Active Cash Card offers an enticing combination of a substantial introductory APR offer and a high cash rewards rate, making it an attractive choice for individuals with good to excellent credit. While the foreign transaction fee and potential balance transfer fee increase are considerations, the overall benefits, including the welcome bonus and lack of an annual fee, make this card a strong contender in the cash rewards card category.
Wells Fargo Reflect® Card: A Comprehensive Review
The Wells Fargo Reflect® Card is an enticing option for individuals seeking an extended period of 0% introductory APR on both purchases and qualifying balance transfers. In this review, we will explore the card’s essential features, benefits, and drawbacks to assist you in making an informed decision.
Card Overview
- Purchase Intro APR: With this card, you can enjoy an exceptional 0% introductory APR for an impressive 21 months starting from the date of opening your account.
- Balance Transfer Intro APR: The Wells Fargo Reflect® Card offers a 0% introductory APR for 21 months from the account opening date on qualifying balance transfers.
- Regular APR: Following the introductory period, the standard variable APR ranges from 18.24% to 29.99%, depending on your creditworthiness.
- Rewards Rate: Unlike some other cards, the Wells Fargo Reflect® Card does not offer a traditional rewards program.
- Recommended Credit: This card is designed for individuals with good to excellent credit scores, typically ranging from 670 to 850.
Finance Devil’s Perspective
The Wells Fargo Reflect® Card stands out in the market due to its exceptionally long 0% introductory APR offer, making it an attractive choice for those who plan to make significant purchases or transfer balances. However, it’s crucial to note that to benefit from this introductory rate on balance transfers, you must complete the transfers within the first 120 days of opening your account, and a balance transfer fee of 5%, with a minimum of $5, applies.
Pros:
- Extended Introductory APR: One of the card’s primary advantages is the extended 21-month 0% introductory APR, providing cardholders with ample time to pay off balances and make interest-free purchases.
- Cell Phone Protection: Cardholders can receive up to $600 in protection against cell phone damage or theft when they pay their monthly cell phone bill with the Wells Fargo Reflect® Card. This benefit includes a reasonable $25 deductible.
- Access to Personalized Deals: Through the “My Wells Fargo Deals” program, cardholders gain access to tailored offers from various merchants. This program allows you to earn cashback as an account credit when you shop, dine, or indulge in experiences using an eligible Wells Fargo credit card.
Cons:
- Foreign Transaction Fee: A drawback of this card is the 3% foreign transaction fee, making it less suitable for international travel or transactions in foreign currencies.
- Lack of Traditional Rewards: Unlike many other credit cards, the Wells Fargo Reflect® Card does not offer a conventional rewards program, such as cashback or points, which may be a downside for those who prefer rewards-based cards.
The Wells Fargo Reflect® Card is an excellent choice for individuals seeking a lengthy 0% introductory APR period on purchases and balance transfers. However, it’s essential to be aware of the foreign transaction fee and the absence of traditional rewards when considering this card for your financial needs.
Discover it® Cash Back: A Rewarding Choice for Savvy Shoppers
If you’re in the market for a credit card that offers exceptional rewards and financial flexibility, the Discover it® Cash Back card is worth considering. In this review, we’ll delve into the key features, advantages, and potential drawbacks of this card to help you make an informed decision.
Card Overview
- Purchase Intro APR: Enjoy 0% APR on purchases for the first 15 months.
- Balance Transfer Intro APR: 0% APR for 15 months.
- Regular APR: Variable APR of 17.24% – 28.24% applies after the introductory period.
- Rewards Rate: Earn 1% – 5% cash back on your purchases.
- Recommended Credit: Good to Excellent (670 – 850)
Finance Devil’s View
The Discover it® Cash Back card kicks off with a compelling offer: 0% APR on both purchases and balance transfers for the initial 15 months. Afterward, the variable APR ranges from 17.24% to 28.24%, depending on your creditworthiness.
What sets this card apart is its cash back rewards program, which can be highly lucrative. To maximize your rewards, be sure to activate the rotating bonus categories each quarter and make purchases that qualify for bonuses.
Pros:
- Consumer-Friendly Terms: Discover cards are known for their favorable terms, including no annual fee, no foreign transaction fees, and no penalty APR.
- Cashback Match: Discover offers a unique feature – Cashback Match. At the end of your first year, they automatically match all the cash back you’ve earned, potentially doubling your rewards.
Cons:
- Rotating Categories: To maximize your rewards, you’ll need to stay on top of the quarterly rotating cash back categories, which can be a bit cumbersome for some cardholders.
- Second-Year Value: After the first year, when the Cashback Match offer ends, the card’s overall value may decrease slightly.
Card Details
Introductory Offer:
- Unlimited Cashback Match – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300.
Cash Back Rewards:
- Earn 5% cash back on everyday purchases at different places each quarter, such as Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate. Additionally, enjoy unlimited 1% cash back on all other purchases, automatically.
Intro APR:
- Benefit from a 0% intro APR for 15 months on purchases. Afterward, the standard variable purchase APR of 17.24% to 28.24% applies, based on your creditworthiness.
Annual Fee:
- This card comes with no annual fee.
Additional Features:
- Discover provides various benefits, including identity theft protection and the option to remove personal information from select people-search sites.
The Discover it® Cash Back card is an enticing choice for those seeking a credit card that combines an appealing introductory APR offer with the potential for significant cash back rewards. While the rotating bonus categories may require some effort to track, the benefits, including no annual fee and Cashback Match, make it a compelling option for savvy shoppers.
Capital One SavorOne Cash Rewards Credit Card: A Comprehensive Review
The Capital One SavorOne Cash Rewards Credit Card is a top-tier choice for individuals looking to earn substantial rewards for dining out, enjoying entertainment, streaming, and grocery shopping. In this review, we will delve into the card’s key features, benefits, and potential drawbacks to help you make an informed decision.
Card Overview
- Purchase Intro APR: The Capital One SavorOne offers a competitive 0% introductory APR on purchases for the first 15 months from the date of account opening.
- Balance Transfer Intro APR: Cardholders can also enjoy a 0% introductory APR on balance transfers for the initial 15 months.
- Regular APR: Following the introductory period, the card’s regular APR ranges from 19.99% to 29.99%, depending on your creditworthiness.
- Rewards Rate: This card offers an impressive rewards program, with cashback ranging from 1% to a remarkable 10% on various spending categories.
- Recommended Credit: The Capital One SavorOne is designed for individuals with good to excellent credit scores, typically ranging from 670 to 850.
Finance Devil’s Perspective
The Capital One SavorOne stands out as a lucrative cashback card, particularly for those who frequently dine out, enjoy entertainment, stream content, and shop for groceries. It offers a generous 3% cashback on these categories, making it a top choice for foodies and entertainment enthusiasts. Additionally, the card has no annual fee and no foreign transaction fees, making it a consumer-friendly choice.
Pros:
- Generous Rewards: The card’s rewards program is impressive, with substantial cashback percentages on dining, entertainment, streaming, and grocery store purchases. This feature can lead to significant savings for cardholders.
- Flexible Redemption: Your cashback rewards do not expire as long as your account remains open, and there’s no minimum requirement for redemption. This flexibility allows you to use your rewards on your terms.
- No Annual Fee: The Capital One SavorOne is cost-effective, as it does not charge an annual fee, making it accessible to a wide range of consumers.
Cons:
- High Ongoing APR: While the card offers attractive rewards, it comes with a relatively high ongoing APR. Therefore, it’s essential to pay off your balances in full each month to avoid interest charges.
- Limited Welcome Offer: The card’s welcome bonus of $200 after spending $500 in the first three months, while not insignificant, may be considered relatively modest compared to other cards with more substantial initial rewards.
The Capital One SavorOne Cash Rewards Credit Card is an excellent choice for individuals who prioritize dining, entertainment, streaming, and grocery shopping in their spending habits. The card’s lucrative rewards program, combined with its lack of an annual fee and foreign transaction fees, makes it an attractive option for those looking to maximize their cashback earnings. However, it’s crucial to manage your balances carefully to avoid the relatively high ongoing APR.
Capital One VentureOne Rewards Credit Card: An In-Depth Review
The Capital One VentureOne Rewards Credit Card is a compelling choice for individuals seeking a travel rewards card with no annual fee. In this comprehensive review, we’ll delve into the card’s features, benefits, and potential drawbacks to help you assess its suitability for your financial needs.
Card Overview
- Purchase Intro APR: The Capital One VentureOne offers a competitive 0% introductory APR on purchases for the first 15 months from the date of account opening.
- Balance Transfer Intro APR: Cardholders can also take advantage of a 0% introductory APR on balance transfers for the initial 15 months.
- Regular APR: Following the introductory period, the card’s regular APR ranges from 19.99% to 29.99%, depending on your creditworthiness.
- Rewards Rate: This card offers a flexible rewards program, allowing you to earn between 1.25 and 5 miles per dollar spent.
- Recommended Credit: The Capital One VentureOne is well-suited for individuals with good to excellent credit scores, typically ranging from 670 to 850.
Finance Devil’s Perspective
The Capital One VentureOne Rewards Card presents an attractive option for travelers, especially those looking to earn travel rewards without the burden of an annual fee. It boasts a valuable welcome bonus and a solid rewards rate, particularly on hotel and rental car purchases made through Capital One Travel. Additionally, it offers several travel perks, including car rental insurance and discounted access to Capital One Lounges at select U.S. airports.
Pros:
- No Annual Fee: This card’s lack of an annual fee makes it accessible to a wide range of consumers, offering a cost-effective way to earn travel rewards.
- Generous Welcome Bonus: The card provides a substantial welcome bonus of 20,000 miles after spending $500 on purchases within the first 3 months from account opening, which is equivalent to $200 in travel.
- Solid Rewards Rate: While the rewards rate varies depending on your spending habits, the card offers a competitive 1.25X miles on all purchases. Additionally, you can earn 5X miles on hotel and rental car bookings made through Capital One Travel.
- Travel Perks: Cardholders benefit from travel-related perks, including car rental insurance and discounted access to Capital One Lounges at select U.S. airports, enhancing the overall travel experience.
Cons:
- High APR Range: The card’s APR range, even at its lowest, remains relatively high compared to average credit card interest rates. This underscores the importance of managing balances effectively to avoid accruing interest charges.
- Limited Travel Perks: While the card offers some travel-related benefits, it may not match the extensive perks provided by top-tier travel rewards cards, potentially leaving frequent travelers wanting more.
The Capital One VentureOne Rewards Credit Card is an excellent choice for individuals seeking a no-annual-fee travel rewards card with a flexible rewards program. Its valuable welcome bonus, solid rewards rate, and travel-related perks make it an attractive option for occasional travelers and those looking to earn rewards on their everyday spending. However, it’s crucial to be mindful of the card’s APR range to ensure responsible credit management.
READ ALSO: Discover it® Student Cash Back: Elevating Rewards for the Ambitious Student
Citi Custom Cash® Card: A Comprehensive Review
The Citi Custom Cash Card is a versatile cashback credit card that offers an innovative approach to earning rewards. In this detailed review, we’ll explore the card’s key features, benefits, and potential drawbacks to help you make an informed decision about whether it suits your financial needs.
Card Overview
- Purchase Intro APR: The Citi Custom Cash Card provides a 0% introductory APR on purchases for the first 15 months after account opening.
- Balance Transfer Intro APR: Cardholders can also enjoy a 0% introductory APR on balance transfers for the initial 15 months.
- Regular APR: After the introductory period, the card’s regular APR ranges from 19.24% to 29.24%, depending on your creditworthiness.
- Rewards Rate: This card introduces a unique approach to cashback rewards. The category in which you spend the most each billing cycle automatically becomes your 5% cashback category, applicable to up to $500 in purchases per billing cycle, with 1% cashback on additional spending.
- Recommended Credit: The Citi Custom Cash Card is designed for individuals with good to excellent credit scores, typically ranging from 670 to 850.
Finance Devil’s Perspective
The Citi Custom Cash Card stands out as an appealing choice for cashback enthusiasts, offering a creative way to earn bonus cash back without an annual fee. Its 0% introductory APR on both purchases and balance transfers for 15 months further enhances its attractiveness.
Pros:
- No Annual Fee: This card allows you to earn rewards without the burden of an annual fee, making it a cost-effective choice for those seeking cashback benefits.
- Innovative Rewards Structure: The card’s unique rewards structure adapts to your spending habits, automatically designating your highest-spending category each billing cycle as the 5% cashback category (up to $500 in purchases).
- Generous Welcome Bonus: Cardholders can earn $200 in cash back after spending $1,500 on purchases within the first 6 months of account opening, fulfilled as 20,000 ThankYou® Points.
- 0% Intro APR: The card provides a substantial 15-month introductory period with 0% APR on both balance transfers and purchases, offering flexibility for managing balances and new purchases.
Cons:
- Rewards Cap: While the card offers a unique rewards structure, the 5% cashback category is capped at $500 in purchases per billing cycle, followed by 1% cashback. This cap may limit high-spending individuals.
- Limited Redemption Options: Points earned through the Citi ThankYou Points rewards program with this card cannot be transferred to Citi’s travel partners, limiting flexibility in redeeming rewards for travel.
The Citi Custom Cash Card is an attractive cashback credit card with an innovative approach to rewards. Its lack of an annual fee, generous welcome bonus, and adaptive rewards structure make it a compelling choice for those looking to maximize cashback rewards on their everyday spending. However, individuals with substantial spending in a single category may find the rewards cap restrictive. Additionally, if you prioritize travel rewards, this card may not offer the versatility of some other options.
Comparison of Top 0% Intro APR Credit Cards by Finance Devil
Here is a comprehensive comparison of the top 0% introductory APR credit cards recommended by Finance Devil, highlighting their unique features, introductory APR offers, and Finance Devil’s scores:
Discover it® Cash Back
- Our Pick for: Bonus category variety
- Intro APR Offer: 0% intro APR for 15 months on both purchases and balance transfers
- Ongoing APR: 17.24% to 28.24% (variable)
- Finance Devil Score: 4.6 / 5
- Key Feature: Rotating bonus categories for enhanced cashback rewards.
Wells Fargo Active Cash Card
- Our Pick for: Flat-rate cash rewards
- Intro APR Offer: 0% intro APR for 15 months on purchases and qualifying balance transfers from account opening
- Ongoing APR: 20.24%, 25.24%, or 29.99% (variable)
- Finance Devil Score: 4.3 / 5
- Key Feature: A straightforward cash rewards card with a competitive introductory APR offer.
Wells Fargo Reflect Card
- Our Pick for: First intro APR card
- Intro APR Offer: 0% intro APR for 21 months on purchases and qualifying balance transfers from account opening
- Ongoing APR: 18.24%, 24.74%, 29.99% variable
- Finance Devil Score: 4.3 / 5
- Key Feature: Offers one of the longest introductory APR periods, making it suitable for those looking to finance purchases or consolidate debt.
Capital One SavorOne Cash Rewards Credit Card
- Our Pick for: Dining and entertainment
- Intro APR Offer: 0% intro APR for 15 months on purchases and balance transfers
- Ongoing APR: 19.99% to 29.99% (variable)
- Finance Devil Score: 4.9 / 5
- Key Feature: Ideal for individuals who frequently dine out or enjoy entertainment activities, offering competitive cashback rewards.
Capital One VentureOne Rewards Credit Card
- Our Pick for: Travel
- Intro APR Offer: 0% intro APR for 15 months on purchases and balance transfers
- Ongoing APR: 19.99% to 29.99% (variable)
- Finance Devil Score: 4.1 / 5
- Key Feature: Suited for travelers with rewards focused on hotel and rental car bookings through Capital One Travel.
Citi Custom Cash Card
- Our Pick for: Flexible rewards
- Intro APR Offer: 0% intro APR for 15 months on purchases and balance transfers
- Ongoing APR: 19.24% to 29.24% (variable)
- Finance Devil Score: 4.4 / 5
- Key Feature: Adaptable cashback rewards structure, automatically adjusting to your highest spending category each billing cycle.
These credit cards offer a range of benefits, from bonus category variety and flat-rate cash rewards to extended introductory APR periods. The choice depends on your specific financial needs and spending habits, ensuring there’s an option suitable for everyone, whether you prioritize cashback, travel rewards, or flexible rewards.
How Your Credit Score Affects Your Interest Rate
Your credit score significantly influences the interest rate (APR) on your credit card. Here’s how it works:
- Credit Card APR and Credit Score Relationship: The APR for your credit card is determined when you are approved for the card. Cards with the lowest APRs are typically offered to individuals with good or excellent credit scores. Conversely, cards available to those with bad or fair credit scores tend to come with very high APRs. In essence, your credit score directly impacts the interest rate you receive.
- Impact of Lower Credit Scores: If your credit score is lower, you are more likely to be assigned a higher interest rate. For instance, if a credit card offers an APR range of 18 percent to 27 percent and is intended for those with good-to-excellent credit, a FICO score of 670 (borderline “prime credit”) might qualify you for the 27 percent APR. On the other hand, an excellent FICO score (800 or higher) has a better chance of securing the lower-end APR of 18 percent.
- Consideration Beyond Credit Score: Even if you technically qualify for a card with a “good” credit score, if you are offered a higher APR, it might not be the best option, particularly if you plan to carry a balance occasionally after the introductory APR period.
Difference Between Interest and APR
In the context of credit cards, “interest rate” is often used interchangeably with “APR” (Annual Percentage Rate). Both terms refer to the rate at which interest is charged on your credit card balance.
When you open a credit card account, the issuer may offer a 0 percent introductory APR period or no-interest financing for purchases made during this period. These interest-free promotions typically last anywhere from 12 to 21 months. It’s important to note that while there are usually no upfront fees or penalties during this promotional period, once it ends, any remaining balance starts accruing interest at the regular rate, typically ranging from 16 percent to 29 percent, in addition to any applicable fees or charges like late payment fees.
Terms to Know
- Purchase APR: A temporary interest offer with no automatic interest applied to new purchases on the card, usually lasting 12 to 15 months, though zero-interest cards can extend it to 18 to 21 months.
- Balance Transfer APR: A temporary interest offer with no interest applied to debt balances transferred from another card, typically lasting 12 to 15 months, or longer for zero-interest cards.
- Variable APR: The range of potential credit interest rates on the card, determined by a cardholder’s creditworthiness and subject to change with the prime rate set by the Federal Reserve.
- Ongoing Interest Rate: The interest rate applied to your balance after the introductory APR period expires.
Pros and Cons of 0% APR Credit Cards
Pros:
- The Gift of Time: 0% APR credit cards provide an extended period, often 18 months or more, to pay off a substantial debt.
- Saving on Interest: These cards can help you save hundreds of dollars on interest charges with introductory 0% APR on both purchases and balance transfers.
- Lower Monthly Payments: You can enjoy lower monthly payments during the introductory period.
- Potential Credit Score Improvement: Responsible debt management can positively impact your credit score, demonstrating you’re a low-risk borrower.
Cons:
- Introductory APR Forfeiture: Missing a payment can lead to forfeiture of your introductory APR period, causing the standard APR to apply.
- Credit Score Impact: Applying for a new credit card results in a hard credit inquiry, temporarily affecting your credit score (inquiries typically fall off after a year).
- Balance Transfer Fees: Most issuers charge balance transfer fees, often around 3 percent to 5 percent of the transferred amount.
- Limited Duration: Remember that introductory APR offers have an expiration date, depending on the duration set by your card issuer.
Who Should Get a 0% Intro APR Credit Card?
0% intro APR credit cards can be beneficial for several types of individuals:
The Large Expense Planner: If you have substantial upcoming expenses, such as replacing appliances, home improvement projects, or major purchases, a 0% intro APR card can give you time to pay off these expenses without incurring interest charges during the introductory period.
The Debt Manager: If you want to transfer a balance from a high-interest credit account or seek relief from high APR on existing credit card balances or loans, a balance transfer credit card with a zero-interest introductory offer can save you money. Be mindful of any applicable balance transfer fees.
The Credit Card Beginner: For those who are new to credit cards and are learning how to use them effectively, a 0% APR card provides a safety net. During the introductory APR period, you won’t incur interest charges even if you overspend in a billing cycle.
It’s important to note that while 0% APR cards can be helpful, achieving the best ongoing APRs typically requires a high credit score.
How to Choose a 0% APR Credit Card
When selecting a 0% APR credit card, consider the following factors:
Determine Your Goal: Decide whether you plan to make a large purchase and need to finance it interest-free for a specific period or if you want to pay down existing credit card debt. Your goal will influence which type of 0% APR card is best for you.
Assess the Time You Need: Know how much time you require to pay off your balance before the introductory period ends. Different cards offer varying intro APR lengths, usually between 15 and 21 months. It’s essential to pay off the balance before the intro period ends to avoid interest charges.
Consider Long-Term Value: Evaluate the card’s value after the introductory APR period. Some rewards cards with shorter intro APRs may offer better overall value than cards with longer intro periods. Consider your spending habits and lifestyle when choosing.
Check for Fees: Pay attention to card fees, including annual fees and balance transfer fees. Many 0% intro APR cards do not charge annual fees, but balance transfer fees are common. Be aware that balance transfer fees typically range from 3% to 5% of the transferred amount.
How to Make the Most of a 0% APR Offer
To make the most of your 0% APR offer:
- Calculate Total Payment: If you’re transferring a balance, factor in the balance transfer fee when calculating the total amount to pay back. Use tools like credit card payoff calculators to create a clear repayment plan.
- Determine Monthly Payment: Calculate the monthly payment needed to pay off the balance before the intro period ends. Paying above the minimum can help settle the debt faster.
- Avoid Additional Charges: Use the 0% APR card only for its intended purpose, whether it’s financing a large purchase or managing a balance transfer. Avoid adding more charges that could increase your debt.
- Keep the Card Open: After paying off the debt, avoid closing the card immediately. Keeping the card open and occasionally using it can positively impact your credit score by maintaining available credit and average account age.
What Happens When the 0% Intro APR Ends?
When the introductory 0% APR period ends, the card’s regular ongoing interest rate will apply to any outstanding balance. It’s crucial to pay off the balance during the introductory period to avoid interest charges. The ongoing APR rate can typically be found in the card’s terms and conditions.
For those facing upcoming student loan payments, using a 0% intro APR card with both purchase and balance transfer options can be a strategic way to cover expenses while allowing time to adjust your budget and debt payment plans.
How We Assess the Best Zero-Interest Credit Cards
When evaluating the best zero-interest credit cards, we use a comprehensive approach that takes into account various factors, ensuring the cards meet the needs and priorities of a diverse range of cardholders. Our assessment process involves analyzing over 100 of the most popular zero-interest cards and considering more than 3000 data points, including card ratings, APRs, and perks. Here are some key factors we consider:
Generous Intro and Ongoing APR: The quality of the introductory APR offer and ongoing APR plays a significant role in our assessment. For balance transfer and low-interest cards, the intro APR on balance transfers and new purchases is crucial. Balance transfer cards are rated more on their intro APR for balance transfers, while general low-interest cards focus on intro APR for new purchases. Cards with long 0% intro APRs on both balance transfers and purchases receive higher ratings.
Reasonable Fees: We evaluate cards based on their fees, particularly balance transfer fees. A lower balance transfer fee is favored, as it can significantly impact the total cost of a balance transfer. This fee is weighted less for general low-interest cards but still considered because cardholders may transfer debt to a low-interest card even without a 0% intro APR. Other fees such as annual fees, foreign transaction fees, cash advance fees, and late payment fees also contribute to the assessment.
Solid Long-Term Value: In addition to introductory offers and low ongoing APRs, we assess the long-term value of cards. Cards that offer ongoing rewards programs or unique perks are rated higher, as they provide value beyond the introductory period. Rewards and cash back cards with slightly shorter intro APR periods but the potential for greater overall savings are also included in our best cards list.
By considering these factors, we aim to provide a well-rounded evaluation of zero-interest credit cards that caters to various financial needs and preferences.
Frequently Asked Questions About 0% APR Credit Cards
How do I qualify for a 0% APR credit card?
To qualify for a 0% APR credit card, especially those with longer introductory periods, it’s generally necessary to have at least a good to excellent credit score. Excellent credit, typically defined as a FICO score of 800 or higher or a VantageScore of 781 or higher, provides the best odds and rates. While there are cards available for lower credit scores that offer introductory APR offers, they often come with fewer perks and shorter-term value. You can start by looking for preapproved card offers from the issuer or through services like Finance Devil’s CardMatch.
What are the longest 0% APR credit card offers?
As of the most recent information available, the longest introductory 0% APR offers typically last for around 21 months. However, the availability of these lengthy offers may change over time. Some examples of credit cards with extended introductory periods include:
- Citi Diamond Preferred Card: Offers a 0% intro APR for 21 months on balance transfers (with a variable APR of 18.24% to 28.99% on balance transfers made within four months of account opening) and 12 months on purchases.
- Wells Fargo Reflect Card: Provides a 0% intro APR for 21 months on purchases and qualifying balance transfers (with a variable APR of 18.24%, 24.74%, or 29.99% thereafter, and balance transfers must be made within 120 days to qualify for the intro APR rate).
- Citi Simplicity Card: Offers a 0% intro APR for 21 months on balance transfers (with a variable APR of 19.24% to 29.99% on balance transfers made within four months of account opening) and 12 months on purchases.
Can I request 0% APR on my credit card?
It’s highly unlikely that your current credit card issuer would agree to lower your APR to 0%. However, many cardholders have successfully negotiated lower interest rates with their issuers, even if it’s not reducing it to zero. It’s often easier to make this case if you’re a long-time customer with a history of on-time payments.
Is deferred interest the same as a 0% APR credit card?
No, deferred interest and 0% APR credit cards are different. With deferred interest, interest begins accruing when you open the account, but it’s forgiven if you pay off the charges within the specified time frame. However, if you don’t pay off the balance by the deadline, the accumulated interest is added to your balance.
On the other hand, a 0% intro APR credit card won’t charge interest retroactively. Instead, it offers a period during which no interest is applied to the balance, but once the introductory offer expires, the card’s standard APR applies to any remaining balance.
What are the benefits of a 0% APR credit card with an extended intro period?
The primary benefit is the ability to make purchases or transfer balances without incurring interest charges for an extended period, which can help you save money. It allows you to pay down existing debt or finance significant purchases without the burden of high-interest costs.
Are there any fees associated with 0% APR credit cards?
While 0% APR credit cards don’t charge interest during the introductory period, some may have balance transfer fees or annual fees. It’s essential to review the card’s terms and conditions to understand any associated fees.
What happens when the 0% intro APR period ends?
Once the introductory period ends, the card’s regular ongoing APR will apply to any remaining balance. Cardholders should aim to pay off their balances before the intro APR period expires to avoid interest charges.
