For the second year in a row, Discover is running a limited time 0% APR no fee balance transfer promotion. This is presently the only no fee balance transfer offer on the market.

Consumers who apply and are approved for this Discover card (see online application here) pay no fees to transfer balances and are granted a 0% APR on balance transfers and purchases for 12 months. Because balance transfer fees typically range from 3% to as much as 5% of the amount being transferred, opting for this offer saves consumers $30-$50 for every $1,000 transferred. On a $3,000 balance transfer, this works out to an additional $90-$150 of savings in addition to what can be saved with a 0% interest rate. Continue Reading »

Although consumers are typically more focused on spending money than saving money with balance transfers during this time of year, credit card companies continue to aggressively pursue new consumers with 0% balance transfer offers. This November, Chase unveiled a 0% APR no fee balance transfer version of Chase Slate. This is the first such offer made available by a major bank since February. Meanwhile, Citibank and Discover continue to offer 0% rates on balance transfers and/or purchases lasting up to 21 months.

Consequently, November is a good time for consumers to preemptively take advantage of 0% APR credit cards in the event the market deteriorates following the holiday season. Given the large number of cards offering 0% rates on purchases as well as balance transfers, utilizing this type of credit card now can also help eliminate the need to pay a 3% transfer fee on balances accrued during the holidays on high rate cards if a 0% card is needed down the road.

Average 0% Offer Durations & Fees in November

As a result of the introduction of the Chase Slate no fee balance transfer offer, average balance transfer fees fell to 3.1% this month, down from 3.26% in October. However, because the Slate card offers a relatively short introductory period that lasts either 6 or 12 months, the average length of 0% offers also declined slightly from 12.16 months to 12.08 months.

Compare November’s Best Balance Transfer Offers Continue Reading »

Discover has joined the ranks of Chase and Citibank by introducing a new version of the Discover More Card that offers a $150 cash back bonus. Like similar cash back credit card offers, the Discover $150 cash back credit card offer requires consumers to meet a spending threshold in order to obtain the advertised bonus.

Discover $150 Offer Details

New applicants who apply and are approved for the Discover $150 promotion are required to spend $1,000 within 90 days of becoming a card-member. This spending requirement is relatively high compared to what is required on the Chase Freedom $200 cash back offer as well as the Citi Dividend $100 offer, both of which only require $500 of spending during a similarly sized 90 day time horizon. While this higher spending requirement should be a deterrent for consumers who wouldn’t ordinarily spend $1000 over a 90 day period, the fact that this $150 cash back offer coincides with the holiday season may make reaching this threshold more realistic than it would otherwise be during other parts of the year. Continue Reading »

Discover credit cards always gets less attention than rival offering from Visa, MasterCard, and American Express. At the same time, those who actually have a Discover card are intensely loyal to the company’s way of doing business: since J.D. Power began studying credit card customer satisfaction, Discover has ranked second every year, bested only by American Express. By offering low interest rates and fees coupled with a high rewards payout, it is easy to see why Discover has become the card of choice for so many people who also hold other cards. The Discover® Open Road Card is a perfect example of this philosophy in practice.

Discover® Open Road Card Features

To start with, the Discover® Open Road Card excels at the basic level of offering low fees and interest rates. There is no annual fee and their introductory offer is 0% APR on both purchases and balance transfers for a full year.  Next, card holders can expect an 11.99% – 20.99% variable APR (as of today), depending on their credit worthiness.

When it comes to rewards, members receive cash back so that they are not subject to the whims of airline award availability or reductions in the value of credit card points. The first $250 per month on purchases made at gas stations and restaurants earn a full 2% cash back. Card holders also receive .25% cash back on their first $3,000 in annual spending. All subsequent purchases will receive 1% cash back. Continue Reading »

The best credit card offers in October range from money saving 0% balance transfers that last 18 months to enhanced cash back credit card promotions that offer up to $100 cash back to new card members. Discover is the main driver behind improvements in the quality of credit card deals this month, as they improved 0% APR balance transfer offers and increased their cash back promotions.

Best Balance Transfer Credit Card Offers

Discover leads the pack with an 18 month 0% balance transfer offer (I wrote recently on why I consider this to be the best balance transfer credit card.) The new offer, available on the Discover More Card, matches the 0% APR for 18 months balance transfer deal available on the Citi Platinum Card. Both credit cards charge a 5% balance transfer fee and, while Discover is consistently ranked as a better credit card company, the Citi Platinum Card does offer a longer 0% interest period for new purchases, 12 months versus 6 months.

Consumers who think they will need a 0% APR on purchases may want to choose the Citi Platinum Card, but those who are just looking for a balance transfer will likely be much happier with Discover. For more information on these and other current balance transfer offers, please see the 0% APR balance transfer section where you can compare balance transfer credit cards and apply online.

Best 0% APR Credit Card Offers

The aforementioned Citi Platinum Select card remains the best overall 0% APR credit card offer with its industry leading 0% APR for 18 months on balance transfers and 0% APR for 12 months on purchases. A few other Citi credit cards, as well as one offer from Discover and one offer from Chase, also provide a 0% APR for a 12 months on purchases and balance transfers. However, no major issuer is offering a 0% APR on purchases for more than 12 months. Continue Reading »

During 2009, over 500 credit card complaints were posted on Smart Balance Transfers.  Of those 500, 2 were directed at Discover.  While other credit card companies were doubling or tripling interest rates, adding annual fees, and pushing consumers toward the brink of financial ruin, Discover was essentially conducting business as usual.  They treated their customers well and avoided the temptation to gouge them before the new credit card laws took effect.  Why?  In my opinion, its because they had to. Continue Reading »

Last May, the Federal Reserve proposed sweeping new credit card regulations.  The regulations, aimed at helping consumers, may in fact have a measured negative impact instead.  How could a consumer-centric initiative backfire?  By limiting the ability of credit card companies to offer 0% APR balance transfers, among other things.

The issue lay in one of the main initiatives:  prohibiting banks from repricing pre-existing credit card balances.  Why this may sound like a good thing, Discover’s (DFS) CEO was asked if the availability of balance transfers would be effected by the new regulations.  His response was sobering, as he stated the new regulations, “would and could change how we execute balance transfer offers.”  When asked if this would be an industry wide issue, he quickly responded, “certainly.”

Repricing current balances allows banks to manage risk, particularly the risk associated with extended generous 0% APR deals.  However, should the proposed changes to the the Federal Reserve Board’s Regulation AA (Unfair or Deceptive Acts or Practices), the ability for consumer who lack the highest credit scores to get a 0% balance transfer may be hindered.

With many expecting this legislation to clear before year’s end, and that little credit crunch issue still lingering, this is not the time to be sitting on the sidelines piling up interest expense.  Take control of your finances with a 0% APR balance transfer soon, as you may not be able to do so later.