American Express targets their credit cards to big spending consumers. However, over the past few years, American Express has offered a great deal on fixed APR for life balance transfers with many of their credit cards. However, as we reported last month, American Express is no longer offering fixed APR for life balance transfers. Instead, many of their credit cards now offer low rate balance transfers of 2.99%.
While a 2.9% interest rate may be an attractive offer to people paying 10% interest or more on their credit card balances, there are a lot of credit card companies offering 0% APR balance transfers. With 0% balance transfers available, there’s little reason to opt for a 2.9% rate. Plus, when you add in balance transfer fees of 3% per transaction (with a $99 maximum), your effective interest rate is closer to 6%.
One balance transfer credit card of note from American Express is its Clear card. This card offers a 3.99% APR for 12 months, but charges no balance transfer fees. Individuals who plan on repaying their balances quickly can probably save more money with this offer than with a 0% balance transfer card that charges a 3% fee.
For more information on American Express balance transfers, please see their respective section in the credit card comparison section of this website. For more information on 0% APR balance transfers, please refer to that section.
