Which Zero Percent Credit Card to Choose? Citicard’s Platinum or Chase’s Platinum?
You know, they come in the mail several times a year, and I always wonder if I should switch from the credit cards I’m using now. And, is interest free really interest free? Personally, I usually toss these into the office shredder.
You know, they come in the mail several times a year, and I always wonder if I should switch from the credit cards I’m using now. And, is interest free really interest free? Personally, I usually toss these into the office shredder.
You know, they come in the mail several times a year, and I always wonder if I should switch from the credit cards I’m using now. And, is interest free really interest free? Personally, I usually toss these into the office shredder.
In this article I’ll compare two of the top “zero percent” credit cards on the market today. These two cards are the Citicard Platinum Select Card and the Chase Platinum Card. But, please do your own due diligence – what’s a great deal today might be so great tomorrow or next month. The credit card companies delight in changing the rules on us frequently. Also, before using any credit card while traveling abroad, read the fine print carefully – some cards charge extra fees that are NOT travel-friendly.
Both of these cards charge NO interest for the first 12 months and each allows free balance transfers. (Check the fine print on those transfers; they call them free but there are sometimes hidden fees.) Neither charge an annual fee. Both allow online access and bill payment. But after that, there are significant differences.
The Citicard Platinum goes up to 11.24% after the first year and the Chase Platinum card goes up to 14.24%. Excellent credit is required for approval with Citicard but with Chase, you might squeak by with just good credit.
Citicard and Chase both offer a $0 liability on unauthorized purchases whereas most cards hold you to the $50 liability for unauthorized use of your card.
The Chase card changes that 12-month “zero interest” to less months if your credit worthiness is not as high as they’d like and the balance transfer is sometimes good for only three months.
With the Chase card, the cash advance fee varies from 24.24% to 28.24%, variable. And, their default interest rates goes up to 32.24%, variable. If overdraft advance is allowed in your state, the rate is 13.99 fixed. The minimum finance charge is $1.00. They use a two-cycle average balance method, including new purchases. The APR’s vary monthly according to the Prime Rate. There is a 20-day grace period on new purchases. Late fees are $15 if your balance is $250 or less; otherwise this fee goes up to $39.00. Their over-limit fee is $35.00.
The Citicard offers 23.24% on cash advances after the initial one-year introductory period, and the default APR goes up to 32.24%, variable. This card also reserves the right to increase your introductory rate if you pay late in any given month on their card or on any other card you hold. This company might also raise your APR if they deem you’ve had too many credit inquiries. They calculate interest on your daily balance, including new purchases. Late fees are $15 on balances under $100, $29 on balances between $100 – $249, and $39 on monthly balances of $250 and above. Their minimum finance charge is $ 50.
With the Citicard Platinum Select Card, your annual income must also be at least $12,000 to qualify for this card. You also cannot transfer any balances from other Citicard credit cards.
Some things to consider – when transferring balances, do not transfer any balance which is “in dispute.” In doing so, you might lose your dispute rights. As I mentioned above, read the fine print carefully before selecting the two cards you’ll use when traveling abroad. (I say two, in case one doesn’t work for some reason.) There are many fees, some hidden, some not, in using credit cards in foreign countries and with foreign currencies and you’ll want to save money when you can.
After comparing the two, I’d pick the Citicard Platinum Select. It has a lower interest rate once the first year is over. Try to never be late – their fee “structure” according to your balance is ridiculous. A late fee should be a late fee regardless of what your balance is.
However, here are some hints in how to use credit “almost for free.” Use the card only for one year, including balance transfers – be sure it’s paid in full and then don’t use the card or cancel it. Don’t use any cash advances and never be late or over your limit. Pay your bill in full every single month. Transfer any remaining balances before the initial 12 months is up. Before you buy a car, boat or vehicle, call the company and tell them you’ll be having credit inquiries made and request them to not increase your APR because of that.
