Balance transfer fees a surprise
The balance transfer fees for the month of October come as a surprise. While the average fee charged on balance transfer dropped from to around 4% to around 3.6%, the APR was at 0% for a period of 6 months. The new change has been brought about by Citibank which has extended 0% balance transfer offers for a long 21-month period and dropped the charges from 5% to 3%. The two cards who have made these offers are Citi Diamond Preferred Card as well as the Citi Platinum Select Card.
While most of the other big credit card companies were stuck to the 0% APR and balance transfer durations, they kept the fee structure steady. Whereas, Discover More did hike the 0% balance transfer and increased the duration from 15 to 18 months, it also did hike the transfer fee to 5% whereas, for Discover More $100 cash back (bonus version) the balance transfer fees were lowered to 3% for a period of 12 months.
The offers that have been made by Discover and Citibank with regard to balance transfer are really exceptional in the world of balance transfer. For instance, Bank of America has continued to charge 4% fees on balance transfers that last for a period of up to 7 or about 10 months and it is dependent on the credit reviews of the card holder. 0% APR balance transfers which last only for a period of 6 months (offered by U.S. Bank) carry with it very high fees of about 4% even though it is for such a short duration.
The others such as Wells Fargo seem to have gone a step ahead by charging 3% balance transfer fees (for about 2.9 balance transfers) and lasting for only 6 months. These offers by these banks are by far the worst offered by any major bank. They are the most expensive and of very short durations compared to offers by other banks.
A few others such as Chase and Capital One have offered 0% balance transfer cards (0% interest rates) that last for a period of one year. The Platinum Prestige as well as the Capital One Platinum cards have offered 0% rates (until November, 2011) and charge 3% balance transfer fees. While Chase comes with balance transfer fees that vary between 3% to 5% and may last up to about 6 months to a year.
So there is a golden opportunity for consumers who have balances on cards other than Citibank as well as Discover, as they can shift to these cards and end up making substantial savings by transferring balances to cards with these offers.
Latest Balance Transfer Card News
More people may find themselves on Santa’s “nice” list this year, getting all the things they wished for on their holiday list. At least, if spending forecasts are right, they will.
A new co-branded card from Chase and United Airlines is offering an array of benefits, including 40,000 bonus miles when cardholders spend $2,000 in the first three months of having the card and a $100 bonus when they make their first purchase.
The holidays are supposed to be a joyful time, but for many, that joy is dimmed by concerns about money. Credit card debt, in particular, can cast a shadow over holiday cheer, according to a survey by one of the United States’ leading mortgage servicer.
More people than ever before are entering retirement while still carrying debt, according to data from the Federal Reserve Bank of New York. Debt held by people ages 60 and older has almost doubled, jumping from nearly 13% in 2003 to nearly 23% in 2016. The debt load among older Americans equals about $3 trillion.
New budgeting tools from Bank of America will aid cardholders in staying on track with their financial goals, giving them better control over their money and offering greater convenience than they previously enjoyed on the Bank of America website and mobile app. Michelle Moore, Bank of America’s head of digital banking, explained that the new […]