Millions of Americans are paying 0% interest on their credit card debt and saving an average of $2,375/year. Keep reading to find out how...
If you're one of the 38% of Americans currently struggling with credit card debt – you’re going to love this!Companies like Chase, Citi, and Discover are now offering a new type of credit card that allows you to transfer your current credit card debt, or make a new purchase ...and pay 0% interest for as long as 21 months.
These types of cards are known as “Balance Transfer” cards, and are helping people struggling with debt finally dig their way out. In fact, one will even pay you up to 5% cash back.
You’d be in good shape if you had any of these cards, but after some thorough analysis, one truly earns the title of the “best”. Here they are at a glance:
You might be saying to yourself, “Discover it® is the clear winner because of the 5% cash back” However, you can’t jump to a conclusion just yet, as there are a number of important factors to consider when picking the right card for you.
So we’ve broken them down piece by piece…
Lowest Transfer Fees
Chase Slate
Both Citi Simplicity® & Discover it® charge a one-time 3% fee on the "transfer amount" before the 0% interest starts.
While the one-time 3% fee is far lower than what you’d be paying with your normal card, if you plan to use this card to transfer your debt from your current card, Chase Slate® is by far the best option.
The other thing to note about Chase Slate®, is that it only requires a credit score of around 630 to get approved. Both Citi & Discover both require a minimum of around 680+. If you know your score isn't that great, than read no further, because Chase Slate® is 100% the card for you!
Lowest Fees Winner: Chase Slate®
Best Rewards Program
Discover it
When it comes to rewards, Discover’s it® card will give you 0% interest for 18 months, and put up to 5% cash back right in your pocket. Not bad, considering the other two have no rewards program at all.
Here’s how it works – Discover pays 1% cash back on all purchases, and then 5% cash back on a different category every few months, for example from this July to September you'll get 5% cash back on all purchases from Home Improvement Stores as well as Amazon.com.
Best Rewards Winner: Discover it®
Longest 0% Interest Period
Citi Simplicity
Keep in mind, once your introductory period is up, you can always transfer your debt to a new balance transfer card. However, if you think you’ll likely need some extra time, it’s probably best to play it safe with the extra 6 months of 0% from Citi.
Longest Period Winner: Citi Simplicity®
Conclusion
Despite Citi’s 21 month 0% period, we just can’t argue with Chase’s no fees and Discover’s cash back. For that reason, it's a two-way tie between Chase and Discover.When it comes down to it, Chase Slate® is the clear winner for those with "average" credit that are looking to transfer their current debt. While if you’re looking to make a new purchase and have the credit to support it, Discover it® Card’s cash back program takes the cake.
Stop the vicious cycle of being stuck with credit card debt, and give one of these cards a try today!
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