When you are looking to transfer your credit card debt to a 0% balance transfer card, you shouldn’t pick the first offer you qualify for. While you will get 0% with any card, you also need to look at the offer details such as fees, transfer deadlines, and how long the 0% offer lasts before increasing to the regular card rate. Applying for one of the best balance transfer credit cards will help you repay your debt faster.
Picking a Balance Transfer Credit Card
There are two primary criteria you should look at when choosing a balance transfer credit card.
The most important is the 0% interest repayment window. Most credit cards offer 0% APR for the first 12 to 18 months, although it can be as short as 6 months. After that, your remaining balance will be charged the normal interest rate which can vary from 10% to 25%. If you have a large balance, you might need the entire 18-month period to repay the balance without interest.
After finding the longest repayment window, you need to find the lowest balance transfer fee. Most cards charge 3% of the transferred balance or $5, whichever is the larger amount, to offset the 0% interest offer. These fees are almost always cheaper than continuing to pay your current interest rate.
You may also want to avoid credit cards with an annual fee as that also increases your repayment costs. Thankfully none of the best balance transfer credit cards don’t charge an annual fee.
One final note, you will want to read the fine print as some credit card issuers will not allow you to transfer the balance from one of their other credit cards to the new balance transfer credit card or applied for a similar card within the most recent 16-24 months.
Best Overall Balance Transfer Credit Card
Citi Simplicity
Annual Fee: $0
Introductory Offer Length:21 Months
Balance Transfer Fee: $5 or 3%
Not only does the Citi Simplicity have one of the longest introductory terms at 21 months, you also will not pay any late fees or penalty rates. You will need to transfer your balances within the first 4 months to qualify for the 0% rate.
Also, the foreign transaction fee is 3% and isn’t the best card to travel abroad with.
Best Balance Transfer Credit Card with No Transfer Fee
Chase Slate
Annual Fee: $0
Introductory Offer Length:15 Months
Balance Transfer Fee: $0 for first 60 days then $5 or 5%
The Chase Slate doesn’t charge a transfer fee and it has a 15-month 0% introductory rate. To take advantage of this offer, you need to act quickly as all balances must be transferred within the first 60 days. After that, the fee is $5 or 5% of the balance to be transferred.
There is also a 3% foreign transaction fee on this card. Another added benefit is that you get complimentary access to your FICO score. This allows you to watch your credit score grow as you repay your balance.
Best Balance Transfer Credit Card with Purchase Rewards
Citi Double Cash
Annual Fee: $0
Introductory Offer Length:18 Months
Balance Transfer Fee: $5 or 3%
The Citi Double Cash is one of the few credit cards you can continue to use after you repay the balance because it earns 2% cash back on all purchases. You will earn 1% when you make the purchase and the second 1% when you pay the balance.
Besides being one of the best cash back credit cards, it also has a really good balance transfer introductory offer with 0% for 18 months. You have four months to transfer the balance and will pay $5 or 3% of the balance.
Also, the first late fee will be waived if you happen to miss a payment.
Best Balance Transfer Credit Card with Additional Benefits
Wells Fargo Platinum Card
Annual Fee: $0
Introductory Offer Length:15 Months
Balance Transfer Fee: $5 or 3%
The Wells Fargo Platinum Card offers a complimentary cell phone insurance up to $600 (after a $25 deductible) when you enroll in automated payments with you carrier using the Wells Fargo Platinum Visa. The last thing you need is another large expense when you are trying to get out of debt. Additional benefits also include free FICO credit score access, and travel insurance.
You will pay 0% interest on any balance you transfer within the first 15 months and there isn’t a transfer deadline. But, it will start accruing interest even if you transferred the balance in month 14. Also, the balance transfer fee increases to $5 or 5% (from 3%) after the 15-month period for all future balance transfers.
Summary
These are some of the best balance transfer credit cards due to their long introductory terms and additional perks. With the exception of the Citi Double Cash, you will probably want to switch to another rewards credit card once you repay the transferred balance.