Just wanted to give everyone a heads up on a new card that was introduced by Citi. It's called
Citi Double Cash Card. It pay 1% cash back on purchases and then another 1% cash back when you pay for them. Effectively 2% on all transactions. No annual fee. Currently, 0% interest for the first 15 months.This Citi card now trumps the 1.5% cash back that the Capital One Quicksilver provides. The one flat rate can be nice, so that you only need to handle one card and still get cash back.
We are currently using a few different cards to get a combination of cash back at higher percentages. It can get very difficult to keep track. So I highly advise against this if you would have any trouble keeping track of different cards and their balances. I also don't recommend getting new credit cards if you would not be able to pay the new balance in full.
I will also say I'm not against people who are paying off debt to move balances to 0% cards. If you do this you need to know that nearly all cards charge a balance transfer fee of at least 3% of the balance transferred. You need to have a plan to pay off the balance you will transfer within the time frame of the 0% promotion. Otherwise, your interest rate will rise and could be higher than your original card! I would determine the balance to be transferred, add in the fee, then divide by the number of promotional rate months to determine a monthly payment. If you can meet or exceed the monthly payment you set for yourself, then you are in great shape to reduce debt and pay no interest!!
Is anyone using a 0% card to pay down debt? Did you use one in the past to accelerate your payoff?
September 7th, 2014 at 04:12 pm 1410106336
Ugh it's depressing to think about. It was meant to help me reduce my debt.
on the plus side... It's been well over a year, maybe more, since I've usecd it.
September 7th, 2014 at 04:38 pm 1410107914
September 7th, 2014 at 05:23 pm 1410110617
September 7th, 2014 at 06:51 pm 1410115917
September 7th, 2014 at 09:22 pm 1410124925
@Beawealthywarrior, I'm not sure about the rewards. Good question though.
Glad it was of interest to some of you. I just got the Citi Thank You Preferred card, so I'm not applying quite yet.
September 7th, 2014 at 09:56 pm 1410127016
The catch? They offered us a really low credit limit, which is kind of useless for our own purposes. Will see...
September 7th, 2014 at 10:00 pm 1410127232
September 8th, 2014 at 03:29 pm 1410190140