How much faster could you pay down your credit card bills if you didn’t have to pay all that interest? Credit cards with 0% introductory APR provide an opportunity to take a break from interest charges. That break can help you pay down an existing balance, save for the future, or get ahead on future payments. By law, these interest-free promotional financing offers must last at least six months. But the most competitive offers go well beyond this legal requirement to offer 0% introductory APR financing for 14 months or longer. The majority of the major credit card issuers offer at least one card with 0% introductory APR promotional financing, but that doesn’t mean that the cards are all equal. Factors like the length of the promotional financing period, balance transfer offers, and other bonus factors were important to us when we were choosing the top 0% introductory APR credit cards.
How we chose the top 0% intro APR credit cards
To determine the top no intro APR credit cards, we first divided the market into the following six categories:
- Longest duration 0% APR promotional financing offers
- Competitive 0% APR cards with strong cash back offers
- Zero percent APR cards that also feature travel rewards
- Cards that offer 0% APR on both new purchases and balance transfers
- Zero percent APR cards with very low standard interest rates
- Small business cards with 0% APR
Next, we looked at over a dozen major card issuers and credit unions to find the cards that best fit each of these subcategories. We included only cards that are offered to all applicants, leaving out products offered by credit unions that not everyone can join. Finally, we looked at the factors that were likely to be most important to someone choosing a card from each subcategory. For example, when looking for a card with the longest duration financing offer, the number of months of 0% APR financing was obviously the most important factor, while rewards were not an important factor in that case. However, when looking for the top competitive 0% introductory APR cards with strong cash back offers, we had to balance both the length of the promotional financing and the value of the cash back offered. Of course, credit card terms may change from time to time, but the following rankings reflect information that was accurate in August 2021.
The longest duration 0% APR promotional financing
Having as much time as possible to pay off your balance without accruing additional interest can help you save a lot of money. That’s why having a card that offers the longest duration for no-interest financing can be such a huge value. When looking at cards with the longest duration 0% introductory APR financing offers, the most important factor was obviously the number of months of the offer, but we felt that it was also important to look at cards without an annual fee.
If you want the top 0% APR Card with the longest duration of promotional financing: US Bank Visa® Platinum Card
The U.S. Bank Visa Platinum Card offers the longest duration for 0% promotional financing available from any major card issuer. With this card, an applicant can get an amazing 20 months of 0% APR financing on both new purchases and balance transfers. Taking advantage of the 20 months of 0% APR promotional financing offer on this card could help you buy time to pay off existing balances on other cards or on other kinds of loans. After the introductory APR offer ends, the variable APR of between 14.49% and 24.49% will apply, depending on your creditworthiness. If you’re planning on taking advantage of the 0% APR offer for balance transfers, just note that it only applies to balances transferred within 30 days from account opening. There’s also a 3% balance transfer fee, with a $5 minimum balance transfer. There is no annual fee for this card, and this card doesn’t offer a new account bonus or rewards for spending.
Competitive 0% APR Cards with strong cash back offers
Applicants shouldn’t have to choose between a card that includes 0% APR introductory offer and a card that earns a strong rate of cash back rewards. When looking at top 0% introductory APR credit cards with strong cash back offers, balancing the length of the promotional financing with the value of the cash back offered was important. We also looked for cards with a strong new account bonus, no annual fee and valuable benefits.
If you want a top 0% APR card with competitive rates of cash back: Wells Fargo Active Cash
The Wells Fargo Active Cash is a great option for those who want to avoid accruing interest while still earning cash back on new purchases. The card offers 0% introductory APR for 15 months from account opening on purchases and qualifying balance transfers. After the introductory period, the standard APR will be 14.99%, 19.99% or 24.99% variable, depending on your creditworthiness. Balance transfers made within 120 days from account opening qualify for the introductory rate and the 3% balance transfer fee. The card also earns an unlimited 2% cash reward on purchases, with no rewards category limitations or quarterly activations. New applicants can earn $200 when spending $1,000 on purchases in the first three months of account opening. As an added bonus, this card comes with up to $600 of cell phone protection against damage or theft when the monthly cell phone bill is paid with this card (subject to a $25 deductible). There’s no annual fee for this card.
Top 0% Intro APR offers on cards that also feature travel rewards
Although it’s rare, some cards do offer both 0% introductory APR and competitive travel rewards for spending. For people who love to travel, saving money on interest while earning travel rewards may sound like an ideal combination. For this category, we looked at both good 0% introductory APR terms and strong travel rewards to find the top choices.
If you want a top 0% APR Card with valuable travel rewards: Chase Freedom Unlimited
The Chase Freedom Unlimited not only features a 0% introductory APR, but also a 0% APR on balance transfers, strong cash back options, and added benefits like purchase protection and trip insurance, too. The card offers new cardholders 15 months of 0% APR financing on both balance transfers and new purchases, while also earning cash back on those new purchases. After the introductory APR offer ends, a variable APR of between 14.99% and 23.74% will apply, depending on the cardholder’s creditworthiness. For balance transfers, there’s a transfer fee of the greater of $5 or 3% of the amount of each transfer made within 60 days of account opening. After that, the transfer fee will be $5 or 5% of the amount of each transfer, whichever is greater. The total amount of the transfer balance, including interest and fees, cannot exceed the available credit limit or $15,000, whichever is lower.
Transferring balances from another Chase account is not allowed. Award travel enthusiasts will appreciate the fact that this card’s cash back rewards come in the form of Chase Ultimate Rewards (UR) points. Chase UR points can be combined with cards like the Chase Sapphire Preferred, Chase Sapphire Reserve, or Ink Business Unlimited, to offer even more value when redeemed for travel reservations or transferred to airline and hotel programs. As for the rewards component of the card, it offers 5% cash back (5x points per dollar spent) on travel purchased through Chase, 3% on dining (including takeout), 3% on drugstores, and 1.5% on all other purchases.
In addition, for the first year, cardholders get 5% cash back on grocery store purchases, up to $12,000 spent. As an added bonus, new applicants can also receive a $200 bonus (20,000 points) after spending $500 on purchases in the first three months from account opening. This card even comes with purchase protection, extended warranty protection, trip cancellation/interruption insurance, and an auto rental collision damage waiver benefit. This card’s rewards don’t expire as long as the account is open, and there is no minimum for redeeming cash back. There is no annual fee for this card.
Top cards with 0% intro APR offers on new purchases and balance transfers
For someone who has a lot of purchases coming up but also wants to pay off existing debt, a card that offers 0% APR on both new purchases and balance transfers may be the way to go. Such a card lets you transfer a balance from another card, and then work toward paying down the balance without incurring interest on previous or future purchases. So, for evaluating these cards, we focused on cards that offered 0% APR on both for the best terms.
If you want a Top 0% APR Card that also includes a balance transfer offer: US Bank Platinum
The U.S. Bank Visa Platinum Card offers 0% APR on new purchases and balance transfers. With this card, applicants get a full 20 months of 0% APR financing on both new purchases and balance transfers. Twenty months of no interest is one of the longest promotional financing offers on this list, which is why this card ranked as a top card in that category as well. After the introductory APR offer ends, the variable APR rate of between 14.49% and 24.49% will apply, depending on the cardholder’s creditworthiness at the time of application. If you’re planning on taking advantage of the 0% APR for balance transfers, just note that it only applies to balances transferred within 30 days from account opening. There’s also a 3% balance transfer fee, with a $5 minimum balance transfer. This card does not have an annual fee.
Top 0% APR Cards with low standard interest rates
Zero interest rate financing periods don’t last forever. After the introductory period ends, many cards go back to charging high interest rates. A card that has 0% introductory APR plus a very low standard interest rate may be appealing for those who are looking to pay down existing debt but who also want to know they’ll incur interest charges at a lower rate if they need to carry a balance in the future. Those are the two elements we balanced in choosing the top card in this category.
If you want a top 0% APR Card with a low standard interest rate: Discover it cash back
The Discover it Cash Back credit card has both a great introductory APR offer and a fairly low standard interest rate. The card offers a 0% introductory APR for 14 months on new purchases and balance transfers. If you’re taking advantage of the balance transfer offer, there’s a 3% introductory balance transfer fee until November 10, 2021, so be sure to act quickly. Afterward, the standard variable purchase APR will be between 11.99% and 22.99%, and the balance transfer fee increases to 5%. For the most qualified applicants, this can result in a standard interest rate that’s well below the national average of 16.22% (as of the week of September 1, 2021).
The card not only offers 0% APR, 0% balance transfers, and low standard interest rates, but it’s also a solid cash back card as well. You can earn 5% cash back on rotating quarterly categories like groceries or gas stations, up to $1,500 spent each quarter. That’s up to $75 back each quarter. Plus, you can earn 1% cash back on all other purchases. As an added bonus, this card offers an unlimited dollar-for-dollar match of cash back earned at the end of the first year. There’s no annual fee for this card.
Top 0% APR Cards for small business owners
It’s not just individuals who could benefit from 0% introductory APR offers; small business owners may want to take advantage of these offers as well. There are a few small business cards with 0% APR offers, and we looked for the one with the longest promotional financing period and no annual fees.
If you want a Top 0% APR Card for small business owners: US Bank Business Platinum
The U.S. Bank Business Platinum card is a relatively simple small business credit card that offers 0% introductory APR on new purchases and on balance transfers for 18 months. This includes 0% APR for the first 18 months for new purchases, as well as for balances transferred within 30 days of account opening. After the introductory APR offer ends, the variable APR rate of between 11.99% and 20.99% will apply. If you’re taking advantage of the balance transfer offer, make sure to transfer balances right away due to the short window of opportunity. There is a balance transfer fee of 3% of the amount of each transfer or $5 minimum, whichever is greater. There is no annual fee for this card, but there are also no rewards currently available.
The Takeaway
Whether you’re trying to pay off existing debt or avoiding future debt, a credit card with 0% APR interest financing can help. Interest charges can add up very quickly, making paying off debt feel impossible. But with 0% APR interest financing in effect, every dollar of your credit card payment will go toward paying down your balance, making it easier and quicker to get out of debt. Finding the top credit card for your needs is easier when you know what choices are available to you.
This article originally appeared on lanterncredit.com and was syndicated by MediaFeed.org.
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Can medical bills affect your credit report?
Medical costs can sneak up on you. They’re often confusing and even frustrating.
Billing statements may be hard to read. So can an insurer’s explanation of benefits (EOB). Sometimes there’s a coding error or the charges are mistakenly denied. Or maybe there just isn’t enough money in the bank to pay the bill all at once.
Meanwhile, time may pass while you’re making phone calls, asking questions and waiting on some kind of resolution — and the bill might go unpaid during that time. Maybe forgotten. Maybe ignored. Maybe impact your credit.
Most doctors and hospitals don’t report unpaid bills directly to the agencies that determine a person’s credit status. But if a bill becomes delinquent while you dispute an insurance claim or try to negotiate a payment, it eventually could land in the hands of a debt collection agency.
And if that bill collector reports it to one or more of the major credit bureaus, it might result in a ding to your credit standing and/or a decrease in your credit score.
Before we get started, a brief note: As with any credit-related tips in articles like this one, your mileage may vary.
The views in this article are very general in nature and based on assumptions, and it’s likely your situation will differ and have all sorts of variables we can’t account for. Never rely on a blog post like this one for financial, legal, or tax decisions.
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Nearly three in 10 insured Americans have had an unpaid medical debt sent to a collection agency, according to a 2019 Consumer Reports survey.
Of the 1,000 adults surveyed, 24% said they didn’t realize the bill was owed, and 13% said they never received the bill. Another 10% said the bill was sent to collections mistakenly, even though they had already paid.
What constitutes a delinquent account may vary between medical and medical insurance providers.
Also, according to the same Consumer Reports survey, nearly one-fifth of Americans say their credit scores have been negatively affected by unpaid health care bills.
A low credit score may make it more expensive to borrow money (at a higher interest rate) or more likely that a loan application could be denied.
Determining how an unpaid medical bill will affect your credit standing could get complicated. The credit models lenders use to gauge their amount of risk in working with borrowers typically include things like payment history, amounts owed, length of credit history, credit mix and new credit.
But the current models may give different weights to various categories when making their assessments. It’s also good to note that different lenders may employ varied credit scoring models.
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There’s good news for those struggling with medical debt, however. With FICO Score 9, the newest version of FICO credit scores, as well as VantageScore 3.0 and 4.0, medical debt now has less impact on a person’s score because it carries less weight in the calculation.
Another recent change is that the three credit reporting agencies now have to wait 180 days before including an unpaid medical bill on a credit report.
That grace period is meant to give consumers, health-care providers and insurance companies an opportunity to sort out their differences before the bill damages a person’s credit.
Once that six-month period is over, however, if the bill is over $100, it can go on a person’s credit report. That said, the credit agencies remove medical debt from a person’s credit history once it’s fully paid off.
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Even with these new changes, it’s still important to take an active role in making sure medical bills don’t crush your credit. It may be worth considering these steps:
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Just because you left a doctor’s office without forking over more than a copay, doesn’t mean you’re done. The bill’s submission to your insurance company doesn’t automatically mean it will be accurate or even paid.
Reading the bill and the insurance company’s explanation of benefits to be sure there aren’t any errors — and to see if you’re still responsible for paying some part of the remaining balance — could prove helpful. Following up with monthly or even weekly calls to make sure the bill is paid may also be key.
If the time has passed without resolution and your health-care provider is threatening to turn the bill over to a collection agency, one general recommendation is seeing if you can negotiate a payment schedule instead — while continuing to pursue reimbursement from your insurance company if you feel you should be covered.
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If you know ahead of time that you won’t be able to pay the entire amount owed, it’s recommended to contact the healthcare provider’s billing office or financial department and try to negotiate a lower amount or a payment plan. If you can come to an agreement, it’s a good idea to get it in writing.
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If a collection agency employee contacts you about a bill you think has been paid or should have been paid by insurance, stay calm and ask if you can call back with information that shows there’s no open balance.
If you do, in fact, owe some money, one option is to ask if you can send the money right away to avoid any damage to your credit. Again, it’s recommended that you get everything in writing.
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If your bill went to collections by mistake, you can take steps to have it removed. Collect as much evidence as you can to prove your case: Dig up copies of old credit card or checking statements or ask for payment records from your medical provider’s billing office.
If your insurance company shows you as already having paid the bill, provide whatever paperwork you have. Another common step is to file a dispute with the credit bureau that’s reporting the error.
The credit bureau will need to investigate and respond to you within a prescribed period of time — 30 days. You may also receive email updates from the credit bureau regarding the status of your dispute.
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If the balance on your medical bill is yours to pay, you can look for ways to make that process manageable. If there’s room in your budget to pay it off immediately without borrowing money — even if you have to make some adjustments — then that may be your best bet. Or maybe you can take on a temporary side hustle to cover the cost.
If that’s not possible, you may wish to explore other avenues, such as a zero-interest or low-interest credit card, as long as you can be disciplined about making on-time payments and are able to pay off the balance before the introductory rate goes up.
Or you may consider an installment loan such as an unsecured personal loan to pay off the balance of your medical bill before it goes to collections. A personal loan might have a lower interest rate than your credit cards (depending on your credit record and other factors) and may offer additional options for repayment.
A personal loan may be beneficial when negotiating with your medical provider, who may prefer to be paid in a lump sum rather than over months or years.
Key to maintaining a solid credit record is to pay bills on time — long before they reach collections. Staying on top of medical bills can mean extra vigilance — but the effort has the potential to make a real difference to your financial future.
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This article originally appeared on SoFi.com and was syndicated by MediaFeed.org.
Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s
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