Discover it balance transfer is one of the best cards for transferring credit card debt. It offers an introductory 0% APR on balance transfers and rewards.
It also has strong customer service and identity alerts to help you avoid fraudulent charges. It also replaces lost or stolen cards with free overnight shipping.
No annual fee
Balance transfer cards are a popular option for people who want to get out of debt without incurring hefty interest charges. They can be used to pay off a variety of types of debt, including credit card balances, gas and store cards, auto loans and medical bills.
Discover offers a number of low intro APR balance transfer credit card offers, so you can find one that matches your budget and financial goals. Some of these offers also include cash back rewards or other benefits.
In addition to its 0% introductory APR period, the Discover it Balance Transfer Card offers 5% cash back on rotating categories (up to quarterly maximum), as well as 1% cash back on all other purchases. However, you will need to activate these bonus spending categories each quarter to maximize your cash back earnings.
Another benefit of the Discover it Balance Transfer is its yearly credit report, which includes a year-end summary that can help you better understand your spending habits and avoid incurring unwanted debt. The card issuer also offers excellent customer service and credit monitoring via its Identity Alerts feature, which notifies cardholders of any suspicious activity or changes to their Experian credit reports.
Although Discover it Balance Transfer doesn’t offer the longest introductory APR period on the market, its ongoing cash back rewards make it a solid choice for people with a strong credit history who want to consolidate their debt and save on interest. Its 5% cash back earnings are high, but it requires some planning and effort to optimize your spending for maximum results.
No foreign transaction fees
Credit cards with no foreign transaction fees are a great option for travelers looking to earn rewards. These cards also provide travelers with a safe place to store their money when traveling abroad.
But before you apply for a card with no foreign transaction fee, make sure it meets all your travel needs. If you’re a frequent international traveler, a card without a foreign transaction fee may save you hundreds of dollars in the long run.
While a 1% or 3% foreign transaction fee may seem like a small amount, it can add up quickly. These fees are charged by the bank or issuer when you use your credit card overseas, and they typically cover a portion of the currency exchange rate conversion.
That can be a big problem, especially if you’re making purchases that cost more in the foreign country than they do in the U.S. The best way to avoid these fees is to use your bank’s own wholesale currency exchange rate, which will save you more money than the merchant’s local currency exchange rate.
However, there are exceptions to the rule. Some credit card issuers, such as Wells Fargo, do charge a foreign transaction fee on some cards.
Other issuers, such as HSBC, also have no foreign transaction fees on some cards. These cards aren’t always the best choice, as they tend to be less accepted outside of the U.S.
No penalty APR
The discover it balance transfer card is a good choice for people with good credit who are looking for an interest-free debt consolidation option. The card offers one of the longest 0% introductory APR periods for balance transfers, and it has a unique welcome offer that lets you create your own personalized sign-up bonus.
It also features an unusual feature for balance transfer cards: elevated rewards on everyday spending, which gives cardholders a reason to keep the card after paying off their transferred balances. This isn’t always a feature offered by competing balance transfer cards, so it’s worth considering for those who aren’t planning to use the card’s 0% APR promotion.
Unlike other balance transfer cards, the Discover it balance transfer doesn’t charge penalty APR after you’ve been in arrears for 60 days or more. This makes it an ideal choice for those who want to consolidate high-interest credit card debt or use a cash advance to pay off other debts.
There are other perks, too. It doesn’t charge foreign transaction fees, and it includes free Social Security number alerts, a free credit monitoring service and access to your FICO credit score.
The card also has no annual fee, which is rare for a 0% APR credit card. However, the 5% balance transfer fee and a 5% cash advance fee can make this card less appealing to people who plan to use the card for big purchases.
Cash back rewards
The Discover it balance transfer card offers 5% cash back on rotating bonus categories, up to $1,500 in purchases each quarter. The card also earns 1% cash back on purchases that don’t fall into any of these bonus categories.
The card also offers a cash back match program at the end of your first year. It matches the rewards you’ve earned for the first 12 months on all of your purchases, so your rewards add up quickly.
In the meantime, you can use your cash back to purchase gift cards from Discover’s partners for a minimum of 25% off. You can even buy them in bulk and use them to reduce your spending or finance new purchases.
However, you’ll have to be a bit strategic about when and where you spend in order to maximize your rewards with this card. You’ll need to proactively activate the rotating bonus categories each quarter in order to get the higher 5% cash back rate, and you’ll have to make sure you’re not using it for purchases that aren’t on the bonus category calendar.
If you’re not in the habit of activating bonus categories on a quarterly basis, a flat-rate cash back card could be a better option for you. A 2% cash back card like the Wells Fargo Active Cash Card would be a good choice because it doubles your cash rewards every time you purchase outside of the rotating categories.
The cash back on the Discover it balance transfer card is a decent amount, but it’s not without a learning curve for those who aren’t comfortable interacting with their credit card company to activate bonus categories. The annual fee is $0, and the card comes with a generous introductory balance transfer APR period of 18 months.