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0% Intro APR Credit Cards

Updated: Apr 1, 2023

You just bought a house. You saved all your hard-earned funds for the down payment and closing costs. You’ve moved in and realized… this is JUST the beginning! You need to buy a lawn mower, you don’t have a sofa, your dishwasher needs to be replaced. Bills, bills, bills.


Credit card companies will not want me to share this trick with you. But, currently, many cards are offering 12-21 months 0% interest. This temporary, introductory offer for new credit card holders provides an easy way to slowly reduce debt.


If you are planning big purchases, consider utilizing this free source of credit to stretch payments.


If you’re looking to pay down debt, consider transferring to one of these 0% interest credit cards. This is not an ad, just my personal thoughts!

A long introductory rate on purchases and qualifying balance transfers could provide you the grace period needed to pay off large purchases or reduce debt without accruing additional interest payments.


Remember, any remaining balance after the introductory period ends will be subject to interest charges, even if you made the purchases during the initial time. Make sure you have paid your balance by the time the 0% interest expires.


PROs

CONs

  • ​Time: The biggest bonus of 0% Intro APR is it gives you time to pay off large debt. The offers below have at least 15 months’ time frame.

  • ​Missing payments could forfeit your intro APR period: The issuer could consider a missed payment a violation of the introductory terms and start charging standard APR immediately.

  • ​Interest savings: you could potentially save hundreds of dollars on interest with this introductory offer for purchases and balance transfers.

  • ​Credit score impact: when you apply for a new credit card, a hard credit inquiry hits your credit report and dips your credit score. Hard credit inquiries come off your credit score in one year though.

  • ​Lower monthly payments: Having more than one year to pay off a balance could mean lower monthly payments.

  • ​Balance transfer fees: Most cards charge a balance transfer fee, usually 3% (sometimes up to 5%) with a min. $5 fee.

  • ​Potential long-term credit improvements: responsibly managing debt can help boost your credit score in the long run. While you have a longer period to pay off debts interest-free, you should plan to have fully paid the balance by the time your introductory offer expires.

  • Intro APR expires: Remember this 0% intro APR doesn’t last forever.

Calculate your total payment amount to figure out your monthly payment needed. While it may be tempting to spend, spend, spend during this period, you should avoid adding extras to your debt total. The 0% interest rate works well as a debt reduction tool, so responsible spending patterns are necessary in order to reap the full benefits.


Best Credit Card Offers with 0% Intro APR:

Longest Intro APR – Wells Fargo Reflect Card

Additional Rewards after Intro Offer – Capital One SavorOne Cash Rewards

Best for Balance Transfers – Bank of America Unlimited Cash Rewards

Best for Additional Travel Rewards – Chase Freedom Unlimited




This is not an advertisement or solicitation for business, and my personal experience does not constitute universal application. Information is for informational and recreational purposes only. Each financial situation is unique, and you should do your own due diligence. Past performance does not guarantee future results. Some content may contain affiliate or referral links.



Jordan is the creator of Lifetime Tidbits and has spent more than 10 years working in finance, primarily as a securities trader. She holds her CFA charter and has been Series 7 & 63 licensed.

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