August 2023’s Best Balance Transfer Credit Cards
August 2023's Best Balance Transfer Credit Cards
Best Balance Transfer Credit Cards: A Comprehensive Guide
If you’re carrying credit card debt, you can avoid paying high interest by using one of the best credit cards with introductory 0% APR offers on balance transfers. Not only can these credit cards help you save money, but they also provide additional benefits and rewards. In this comprehensive guide, we will explore the top balance transfer credit cards available, discuss their pros and cons, and provide valuable insights into the world of credit card balance transfers.
The Best Balance Transfer Credit Cards
- Wells Fargo Reflect® Card: Best for an extra-long intro APR on balance transfers and purchases.
- Citi Simplicity® Card: Best for late payment forgiveness.
- Blue Cash Everyday® Card from American Express: Best for groceries, gas, and online shopping.
- Chase Freedom Unlimited®: Best for earning flexible rewards on everyday spending.
- Chase Freedom Flex℠: Best for rotating bonus categories and flexible redemptions.
- Bank of America® Customized Cash Rewards Credit Card: Best for customizing cash-back bonus categories.
- Citi® Double Cash Card: Best for strong flat-rate cash back earning.
- Citi Custom Cash℠ Card: Best for automatically maximizing rewards.
- Discover it® Balance Transfer: Best for rotating cash back bonus categories.
- Chase Slate Edge℠: Best if you’re building credit.
To benefit from a balance transfer card, make sure you can pay off your balance in full before the introductory APR period ends. Otherwise, you’ll start paying interest on your balance once again. Now, let’s take a closer look at each of these top balance transfer credit cards and explore their unique features.
Wells Fargo Reflect® Card
The Wells Fargo Reflect® Card tops our list for its extra-long intro APR offer on both balance transfers and purchases. New cardholders receive a 0% intro APR for 21 months from account opening on purchases and qualifying balance transfers made within 120 days. After the introductory period, the variable APR ranges from 17.99% to 29.74%. However, keep in mind that balance transfers must occur within 120 days of account opening to qualify for the intro 0% APR rate and will come with a fee of 5% for each balance transfer.
Despite not earning Wells Fargo rewards for spending, this card offers several benefits such as cell phone protection and roadside dispatch. The cell phone protection, in particular, is a standout feature, providing coverage for cell phone damage or theft when you use the card to pay your monthly cell phone bill, up to $600 (with a $25 deductible) with a maximum of two claims per 12-month period.
Pros: Ultra-long 0% introductory APR, no annual fee. Cons: No welcome bonus offer or rewards, and few benefits aside from cell phone protection.
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Citi Simplicity® Card
The Citi Simplicity® Card offers one of the best 0% intro APR offers in the market, making it an excellent choice for consumers with high-interest credit card debt. Cardholders enjoy a 0% intro APR on balance transfers for 21 months and on purchases for 12 months. After the introductory period ends, the APR ranges from 18.99% to 29.74%, depending on your creditworthiness.
This card stands out for its simplicity, featuring no annual fee, automatic account alerts, 24/7 customer service, and the ability to choose your payment due date. However, there is a balance transfer fee of 3% (minimum $5) for transfers completed within four months of account opening.
Pros: No annual fee, solid 0% intro APR, no late fees. Cons: 3% intro balance transfer fee (minimum $5), few cardholder perks.
Blue Cash Everyday® Card from American Express
The no-annual-fee Blue Cash Everyday® Card from American Express offers a 0% intro APR on both purchases and balance transfers for 15 months from account opening. After the introductory period, the variable APR ranges from 19.24% to 29.99%.
Cardholders can enjoy a welcome bonus offer of a $200 statement credit after spending $2,000 in purchases on the new card within the first six months of membership. Additionally, they earn up to 3% cash back on various categories, including US supermarkets, US gas stations, US online retail purchases, and 1% cash back on all other purchases.
The Blue Cash Everyday® Card also provides perks such as car rental insurance, purchase protection, access to the Global Assist Hotline, and the Amex Offers program.
Pros: Long 0% intro APR, no annual fee, great earning rates in useful categories. Cons: Balance transfer fee, foreign transaction fees.
Chase Freedom Unlimited®
The Chase Freedom Unlimited® is a versatile card that offers a 0% intro APR on both purchases and balance transfers for the first 15 months. After that, the variable APR ranges from 20.24% to 28.99%.
What sets this card apart is its earning potential. New cardholders can earn a welcome bonus offer of 1.5% cash back on everything they buy, with an additional 5% back on travel booked through Chase, 3% back on dining, and 1.5% back on all other eligible purchases. The cash back is earned in the form of Chase Ultimate Rewards® points, which can be redeemed for cash back, travel, gift cards, and more.
If you have an annual-fee Chase card that earns Chase Ultimate Rewards points, you can combine your rewards and unlock more redemption options, including transferring points to Chase’s airline and hotel partners.
Pros: Intro APR on balance transfers and purchases, strong earning on all spending, earns valuable Chase Ultimate Rewards points. Cons: 3% intro balance transfer fee, foreign transaction fees.
Chase Freedom Flex℠
Similar to the Chase Freedom Unlimited®, the Chase Freedom Flex℠ offers a 0% intro APR on purchases and balance transfers for the first 15 months. After that, the variable APR ranges from 20.24% to 28.99%.
Cardholders can earn a $200 cash bonus (received as 20,000 bonus points) after spending $500 on purchases within the first three months from account opening. Additionally, they earn 5% cash back in rotating categories each quarter, 5% back on travel booked through Chase, and 3% back on dining and drugstores.
With its flexibility and generous rewards, the Chase Freedom Flex℠ is an excellent choice for those looking to maximize their cash back potential.
Pros: Earn up to 5x points on spending, no annual fee, earn valuable Chase Ultimate Rewards points. Cons: 3% intro balance transfer fee, foreign transaction fees.
Bank of America® Customized Cash Rewards Credit Card
The Bank of America® Customized Cash Rewards Credit Card offers a long interest-free period on both balance transfers and purchases, making it an attractive option for those looking to consolidate debt. New cardholders enjoy a 0% intro APR on purchases for the first 18 billing cycles and on balance transfers made within the first 60 days of account opening. After the introductory period, the variable APR ranges from 17.99% to 27.99%.
As a cardholder, you can earn a $200 cash rewards bonus after spending $1,000 on purchases within 90 days of account opening. The card also allows you to earn 3% cash back in a category of your choice (gas, online shopping, dining, travel, drug stores, or home improvement/furnishings), 2% back at grocery stores and wholesale clubs, and 1% back on all other purchases.
Pros: Ability to earn the most cash back in a category you choose, no annual fee, long intro APR on balance transfers and purchases. Cons: Foreign transaction fees, few benefits, 3% balance transfer fee.
Citi® Double Cash Card
The Citi® Double Cash Card offers a 0% intro APR on balance transfers for 18 months. After that, the variable APR ranges from 18.99% to 28.99%.
This card stands out as one of the best cash-back credit cards, as it allows you to earn 2% cash back on all purchases — 1% when you make a purchase and an additional 1% when you pay it off. Citi ThankYou points can be redeemed at a rate of 1 cent each for cash back, travel, gift cards, and more.
While there is no welcome bonus offer currently available, the Citi Double Cash Card remains a solid choice for those seeking long-term cash back rewards and a lengthy balance transfer period.
Pros: Strong cash-back rate, no annual fee, long intro APR period. Cons: No welcome bonus at this time, 5% balance transfer fee, 3% foreign transaction fee.
Citi Custom Cash℠ Card
The Citi Custom Cash℠ Card is an excellent choice for individuals with varying spending habits. Cardholders can earn 5% cash back on up to $500 in purchases in the eligible category they spend the most in each billing cycle (then 1%), and 1% on all other purchases.
The qualifying categories include everyday expenses such as restaurants, gas stations, grocery stores, select travel, select transit, select streaming services, drugstores, home improvement stores, fitness clubs, and live entertainment.
New cardholders enjoy an introductory 0% intro APR on both balance transfers and purchases for 15 months, followed by a variable APR ranging from 18.99% to 28.99%. There is a balance transfer fee of 5% (minimum $5) and no annual fee.
The Citi Custom Cash℠ Card earns Citi ThankYou points, which can be redeemed for various rewards. Additionally, if you have the Citi Premier® Card or Citi Prestige® Card, you can pool your rewards and transfer points to Citi’s airline and hotel partners.
Pros: 0% intro APR on both balance transfers and purchases, no annual fee, strong rewards earning. Cons: 5% balance transfer fee, foreign transaction fees.
Discover it® Balance Transfer
The no-annual-fee Discover it® Balance Transfer is an excellent choice for consolidating high-interest balances on other credit cards. It offers a 0% intro APR on balance transfers for 18 months and on purchases for six months. After the introductory period, the variable APR ranges from 16.99% to 27.99%.
Cardholders can earn 5% cash back in rotating quarterly bonus categories, up to the first $1,500 spent. Categories such as gas stations and digital wallets offer increased rewards during specific periods. Additionally, Discover matches all the rewards earned in the first year, making this card even more rewarding.
With features like free Social Security Number alerts, no foreign transaction fees, and no late fees on your first late payment, the Discover it® Balance Transfer is a solid choice for those seeking a balance transfer card with added benefits.
Pros: 0% intro APR on both balance transfers and purchases, Cashback Match in the first year, quarterly rotating bonus categories. Cons: Only earns 1% back outside of bonus categories, 3% intro balance transfer fee and up to 5% fee on future balance transfers.
Chase Slate Edge℠
The Chase Slate Edge℠ offers a 0% intro APR on purchases and balance transfers for the first 18 months from account opening. After that, the variable APR ranges from 20.24% to 28.99%.
This card is tailored toward individuals looking to improve their financial situation and increase their credit score. It features an automatic, one-time review of your credit for the chance of a higher limit. On each account anniversary, you’ll be considered for a 2% APR reduction, as long as you’ve paid your card on time and met the spending requirements.
While the Chase Slate Edge℠ doesn’t offer rewards or a welcome bonus, its focus on helping cardholders build credit and improve their financial health makes it an attractive option for those looking to establish a strong credit history.
Pros: Intro APR is good for both balance transfers and purchases, automatic consideration for credit line increase and APR reduction if spending requirements are met. Cons: No rewards or welcome bonus offer.
Balance Transfer Credit Card Basics
Carrying credit card debt with high-interest rates can be burdensome and can quickly lead to financial trouble. Using a balance transfer card can be a smart move to consolidate debt and save money on interest charges. However, it’s important to understand the basics of balance transfer credit cards before making a decision.
A balance transfer card allows you to move your outstanding credit card balance from one card to another, typically with a lower interest rate or an introductory 0% APR offer. By transferring your balance, you can avoid high-interest fees and better manage your debt.
Before you decide to use a 0% intro APR credit card, ensure that you have the means and a plan to pay off your balance in full before the introductory APR period ends. If you don’t think you’ll be able to pay off your debt in full by that time, a balance transfer credit card may not be your best option.
Additionally, it’s important to be aware of balance transfer fees, which are typically 3% to 5% of the amount being transferred. While these fees can be significant, they are often outweighed by the savings from avoiding high-interest charges.
How To Do a Balance Transfer
If you’re interested in doing a balance transfer, you can follow these steps with various credit card issuers:
Bank of America: You can complete a balance transfer through Bank of America by requesting it during the application process for a new credit card. If you already have a balance transfer card, you can request a transfer through the Bank of America mobile app or website.
Chase: Chase allows you to do a balance transfer with several of its credit cards. You can request a transfer through the Chase website or by contacting customer service. Most balance transfer requests are processed within a week.
Capital One: Capital One offers balance transfers with select credit cards. You can request a transfer online or over the phone. The transfer process typically takes three to 14 days.
Discover: Discover allows you to complete a balance transfer with its cards, provided your account has been open for at least 14 days. You can request a transfer on the Discover website or through customer service.
Why You Should Trust Us
Choosing the right balance transfer credit card is crucial, and that’s why you can trust our expertise in selecting the best options available. At Insider, we thoroughly review each credit card and consider factors such as 0% intro APR periods, balance transfer fees, additional benefits, rewards programs, and annual fees. Our methodology for rating credit cards ensures that we provide accurate and unbiased information to help you make an informed decision.
Now that you have a comprehensive understanding of the best balance transfer credit cards, their features, and the basics of balance transfers, you can confidently choose the card that aligns with your financial goals. Remember to use your credit card responsibly, avoid overspending, and make timely payments to improve your financial well-being.
