topic The Return of 0% APR Credit Cards in Credit in the News

The Return of 0% APR Credit Cards

Lel — Fri, 15 Oct 2010 14:12:44 GMT

"Consumers with credit scores of 720 and higher have been inundated with card applications and preapprovals touting 0% annual percentage rates on new purchases and balance transfers -- for as long as 21 months. Credit card analysts say consumers can expect to see more of these offers as delinquency rates — already down 26% from a year ago, according to the most recent data from the Federal Reserve — continue to fall and card issuers try to boost profits by targeting prime borrowers."

The Return of 0% APR Credit Cards

Re: The Return of 0% APR Credit Cards

haulingthescoreup — Fri, 15 Oct 2010 14:37:41 GMT

I haven't seen any 21-month offers yet. I'd probably take one with a 21-month BT, because the impact of the balance transfer fee would be so lessened. I still have a HELOC that I could peel a BT from, but with its APR of 2.3%, it has to be an awfully good offer to beat that. 16 months @ 0% with a 3% fee would about be the breakeven point.

(Still waiting for DXH to decide what he wants to do with our house, and thus pay off the HELOC for good.)

Re: The Return of 0% APR Credit Cards

marty56 — Fri, 15 Oct 2010 16:40:32 GMT

LOL they should target prime, but not that prime borrowers. They ones who will pay late a day just once, so they can boost the rate back to 29.99%.

Seriously, I have a 0% loan for a new AC unit which must be PIF by June which will be kind of tight so I would welcome a BT offer from one of my existing CCs. My Southwest Visa card from chase would be nice since I only got it to get a free ticket for a $1 puchase. I don't use it and it's CL would cover the BT.