Promotional financing offers that feature 0% APR on balance transfer offers are incredible financial tools. These credit cards allow customers to transfer their balance from another card, and avoid interest payments for up to 18 months.
Nevertheless, these offers are not foolproof. Here are some of the things that can prevent cardholders from utilizing these offers:
- 0% intro APR on balance transfers for 18 months—then a variable purchase APR applies, currently 10.99% - 22.99%. A 3% fee applies to each transferred balance.
- 0% intro APR on purchases for 6 months. Then the variable purchase APR applies, currently 10.99% - 22.99%.
- Over 7,000 cardmembers rated 4.8 out of 5 stars* and J.D. Power awarded Discover "Highest in Customer Satisfaction with Credit Card Companies. Tied in 2014."+
- 5% Cashback Bonus for gas and ground transportation on up to $1500 in purchases from Jan. through Mar. 2015 after you sign up for 5% Cashback Bonus. 1% cash back on all other purchases.
- Free FICO® Credit Score on monthly statements, online and in our mobile app.*
- No annual fee, no late fee for your first late payment, APR won't go up for paying late, no overlimit fee and no foreign transaction fee.*
- Each Discover purchase is monitored. If it's unusual, you're alerted by e-mail, phone or text-and never responsible for unauthorized Discover card purchases.
- *See rates, rewards, free FICO® Credit Score terms, balance transfer terms and other info by clicking "Apply."
0% for 6 months*
0% for 18 months*
10.99% - 22.99% Variable*
1. Applicant is not approved. Credit cards with 0% APR promotional financing are only offered to those with the best credit scores. Those who have a limited credit history, a large amount of debt, or a record of missing payments are unlikely to qualify.
2. Low credit limit granted. Even when approved, credit cards with promotional financing may not offer recipients as high of a credit limit as they might have liked. As a result, it may not be possible for cardholders to transfer their entire balance to the new card, and they will still have to pay some interest.
3. The balance transfer is not performed correctly. Sometimes, balance transfers are requested, but they are not completed in a timely fashion. Therefore, cardholders should always continue to make payments on their balance until the balance transfer is confirmed by the issuer of the card that the balance is being transferred from.
4. The balance transfer is used to enable procrastination. The purpose of a promotional balance transfer is to pay off debt more quickly by saving money on interest payments. Yet too many cardholders see these offers as a way to avoid paying debt indefinitely. This is a mistake.
- Chase Slate® named 'Best Credit Card for Balance Transfers' two years in a row, MONEY® Magazine, October 2013, 2014.
- $0 introductory balance transfer fee for transfers made during the first 60 days. After that, the fee for future balance transfers is 3% of the amount transferred with a minimum of $5.
- 0% Introductory APR for 15 months on purchases and balance transfers. After the introductory period ends, a variable APR of 12.99%, 17.99%, or 22.99%.
- $0 Annual Fee
0% for 15 months*
0% for 15 months*
12.99%, 17.99%, or 22.99% Variable*
Cardholders should always try to pay off their entire balance before the promotional financing expires. Those who want to count on continuing to receive more balance transfer offers in the future are setting themselves up for problems. Balance transfers offers come and go, and credit card holder’s credit scores can rise and fall. At some point, the music can stop, and those who rely on the balance transfers may not have a chair.
When credit card users understand some of the ways that 0% APR promotional balance transfers can fail to produce the desired results, then they can take steps to ensure that it does not happen to themselves.