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Best 0% APR Credit Cards Of September 2020

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Holly Johnson is a credit card and travel expert with a focus on rewards and loyalty programs and family travel in Europe and the Caribbean.
Caroline Lupini
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Caroline Lupini is the Credit Card and Travel Analyst for Forbes Advisor. She's a credit card enthusiast and digital nomad who has leveraged credit cards to travel around the world for next to nothing, often in style
Editorial Note: Forbes may earn a commission on sales made from partner links on this page, but that doesn't affect our editors' opinions or evaluations. The Discover it® Balance Transfer offer is not in market.

While credit cards are known for charging higher interest rates than many other financial products, one type of card can actually help you save money on interest. Balance transfer credit cards, which are also called 0% APR credit cards, typically let you avoid interest altogether for anywhere from 9 to 21 months. This can help you reduce interest costs on long-term debt and potentially even score an “interest-free loan” on a large purchase you hope to make.

Note, however, that 0% APR credit cards don’t all work the same way. Some let you avoid interest payments on purchases and balance transfers, but others only extend their offers to one or the other.

Forbes created this guide to help you see how different cards compare in terms of their 0% APR offers and additional cardholder perks. This guide can help you find the right card to reach your financial goals, whether they include debt consolidation or financing a large purchase without interest charges.

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Best 0% Credit Cards

None
Our ratings take into account the card’s rewards, fees, rates along with the card’s category. All ratings are determined solely by our editorial team.
Featured Credit Card Featured Card

Best Amex Card for Flat-Rate Rewards

American Express Cash Magnet® Card

1.5% Reward Rate
Earn unlimited 1.5% Cash Back on your purchases
Welcome Bonus
$150
Annual Fee
$0
Regular APR
13.99%-23.99% Variable
Credit Score
Excellent/Good (700 - 749)

Best Amex Card for Flat-Rate Rewards

American Express Cash Magnet® Card
Click Here To Apply Now

American Express Cash Magnet® Card

Apply Now
On American Express's Secure Website
See Rates & Fees / Terms Apply
Partner Offer
On American Express's Secure Website
Partner Offer

Great for those who want a no-annual-fee option to take advantage of Amex's robust card benefits and 0% intro APR offer while earning unlimited 1.5% cashback on all purchases.

Pros

  • Rewards never expire
  • No limits on cashback rewards
  • Flexible payment options
  • No category enrollment required

Cons

  • Minimum $25 redemption
  • No bonus spending categories to boost rewards
  • 2.7% foreign transaction fee
  • Earn a $150 statement credit after you spend $1,000 or more in purchases with your new Card within the first 3 months of Card Membership.
  • Unlimited 1.5% Cash Back on your purchases.
  • Low intro APR: 0% for 15 months on purchases from the date of account opening, then a variable rate, currently 13.99% to 23.99%.
  • Plan It® gives the option to select purchases of $100 or more to split up into monthly payments with a fixed fee and no interest.
  • Amex Offers rewards you at places you like to shop, dine, travel, and more. You can add as many Offers as you’d like to your Card, then just use that Card to pay, and enjoy rewards directly on your statement.
  • Cash Back is received in the form of Reward Dollars that can be redeemed for statement credits.
  • No Annual Fee.
  • Terms Apply.
  • See Rates & Fees
Earn a $150 statement credit after you spend $1,000 or more in purchases with your new Card within the first 3 months of Card Membership
Our ratings take into account the card’s rewards, fees, rates along with the card’s category. All ratings are determined solely by our editorial team.

[back to summary]

Featured Credit Card Featured Card

Best for Longest 0% APR Offer

Citi Simplicity® Card

Welcome Bonus
None
Annual Fee
$0
Regular APR
14.74% - 24.74% (Variable) APR on purchases and balance transfers
Credit Score
Good/Excellent (700 - 749)

Best for Longest 0% APR Offer

Citi Simplicity® Card
Click Here To Learn More

Citi Simplicity® Card

Learn More
On Citibank's Secure Website

The Citi Simplicity Card offers a very long 18-month 0% intro APR offer for balance transfers, with the catch that each transfer incurs a 3% fee. You'll also get an 18-month 0% intro APR offer on purchases. However, there is no rewards program nor any welcome bonus, making this truly a "simple" card for those looking to hold a balance interest-free for a long period of time.

Pros

  • No late fees
  • No penalty APR
  • No annual fee
  • Very long 0% intro APR offer

Cons

  • High regular APR
  • No rewards program
  • 3% balance transfer fee (min $5)
  • 3% foreign transaction fee
  • No Late Fees, No Penalty Rate, and No Annual Fee… Ever
  • 0% Intro APR on balance transfers for 18 months from date of first transfer. All transfers must be completed in first 4 months. After that, the variable APR will be 14.74% – 24.74%, based on your creditworthiness
  • 0% Intro APR on purchases for 18 months from date of account opening. After that, the variable APR will be 14.74% – 24.74%%, based on your creditworthiness
  • If you transfer a balance with this offer, after your 0% Intro purchase APR expires, both new purchases and unpaid purchase balances will automatically accrue interest until all balances, including your transferred balances, are paid in full
  • There is a balance transfer fee of either $5 or 3% of the amount of each transfer, whichever is greater
  • The same great rate for all balances, after the introductory period
  • Save time when you call with fast, personal help, 24 hours a day — just say “representative”
  • Enjoy the convenience of setting up your own bill payment schedule on any available due date throughout the month
None
Our ratings take into account the card’s rewards, fees, rates along with the card’s category. All ratings are determined solely by our editorial team.
Featured Credit Card Featured Card

Best for No Balance Transfer Fees

Chase Slate®

Welcome Bonus
None
Annual Fee
$0
Regular APR
14.99% - 23.74% Variable APR on purchases and balance transfers
Credit Score
Good/Excellent (700 - 749)

Best for No Balance Transfer Fees

Chase Slate®
Click Here To Learn More

Chase Slate®

One of the best balance transfer cards on the market, the Chase Slate® offers a generous 15-month 0% intro APR on purchases and balance transfers. Just be sure to transfer within 60 days to avoid a high 5% balance transfer fee.

Pros

  • Free monthly FICO® credit score
  • Fee-free balance transfers within 60 days of account opening
  • Solid balance transfer and purchase 0% intro APR offer

Cons

  • Can’t transfer balances from another Chase account
  • No rewards or cash back
  • After the 60-day intro period, high 5% balance transfer fee (min $5)
  • Low introductory APR: 0% intro APR for 15 months on purchases and balance transfers from account opening. After that, 14.99%–23.74% variable APR.
  • No annual fee: You won’t have to pay an annual fee for all the great features that come with your Slate card
  • Contactless – Just Tap To Pay: For fast, easy and secure checkout simply tap to pay where you see the Contactless symbol
  • Free Credit Score: Credit Journey gives you unlimited access to your credit score and more. It’s free, even if you are not a Chase customer. Checking your score does not affect your credit
  • Purchase Protection: Covers your new purchases for 120 days against damage or theft up to $500 per claim and $50,000 per account
  • Fraud alerts: In the case of unusual activity, Chase can notify you by phone, text or email
  • We help safeguard your account using sophisticated Real-Time Fraud Monitoring
None
Our ratings take into account the card’s rewards, fees, rates along with the card’s category. All ratings are determined solely by our editorial team.

[back to summary]

Featured Credit Card Featured Card

Best Amex Card with No Balance Transfer Fee

Amex EveryDay® Credit Card *

Up to 2x Reward Rate
Earn 2X Membership Rewards® points at US supermarkets on up to $6,000 per year (thenRead More
Welcome Bonus
10,000 points
Annual Fee
$0
Regular APR
12.99% - 23.99% Variable APR on purchases
Credit Score
Good/Excellent (700 - 749)

Best Amex Card with No Balance Transfer Fee

Amex EveryDay® Credit Card

Amex EveryDay® Credit Card *

If you are looking for a solid intro APR offer and frequently spend at US supermarkets, this is the card for you.

Pros

  • No annual fee
  • Flexible rewards program with a wide variety of redemption categories
  • Easy-to-earn welcome bonus

Cons

  • Foreign transaction fee of 2.7%
  • Regular APR can be high, depending on your credit
  • High penalty APR
  • Mediocre base rewards rate
  • Earn 10,000 Membership Rewards® Points after you spend $1,000 in qualifying purchases on the Card within your first 3 months of Card Membership
  • Earn 2X Membership Rewards® points at US supermarkets on up to $6,000 per year in purchases (then 1X)
  • Earn 2X Membership Rewards® points when you use your Card to book your trip through AmexTravel.com
  • Earn 1 Membership Rewards® point for every eligible dollar you spend on everything else
  • You can use Membership Rewards® points towards eligible charges you make on your Card, such as retail, dining, entertainment and more
  • Payment Flexibility: Your Card gives you the option to carry a balance with interest or pay in full each month
  • Use your Card 20 or more times on purchases in a billing period and earn 20% extra points on those purchases
Earn 10,000 Membership Rewards® Points after you spend $1,000 in qualifying purchases on the Card within your first 3 months of Card Membership
Our ratings take into account the card’s rewards, fees, rates along with the card’s category. All ratings are determined solely by our editorial team.
Featured Credit Card Featured Card

Best 0% APR Credit Card Welcome Bonus

Wells Fargo Propel American Express® Card

Up to 3X Reward Rate
Earn 3X points on eating out and ordering in; Earn 3X points on gas stations,Read More
Welcome Bonus
20,000 points
Annual Fee
$0
Regular APR
14.49% - 24.99% Variable APR on purchases and balance transfers
Credit Score
Good/Excellent (700 - 749)

Best 0% APR Credit Card Welcome Bonus

Wells Fargo Propel American Express® Card

Wells Fargo Propel American Express® Card

Considering that there's no annual fee, cardholders gain access to 3x points reward rates across an impressive range of spending categories.

Pros

  • Option to transfer points to other Wells Fargo cards
  • 3x points reward rate on several spending categories
  • Points don’t expire

Cons

  • Low 1x points reward rate on non-bonus categories
  • No points transfer partners
  • No bonus points reward rate for groceries
  • Earn 20,000 bonus points when you spend $1,000 in purchases in the first 3 months – a $200 cash redemption value
  • $0 annual fee and no foreign currency conversion fee
  • Earn 3X points on eating out and ordering in
  • Earn 3X points on flights, hotels, homestays and car rentals
  • Earn 3X points on gas stations, rideshares and transit
  • Earn 3X points on popular streaming services
  • Earn 1X points on other purchases
  • No limit to the points you can earn
20,000 bonus points when you spend $1,000 in purchases in the first 3 months – a $200 cash redemption value
Our ratings take into account the card’s rewards, fees, rates along with the card’s category. All ratings are determined solely by our editorial team.

[back to summary]

Here's a summary of the Best 0% APR Credit Cards

Credit Card
Best For
Credit Score
Annual Fee
Welcome Bonus
Best Rewards Credit Card for Purchases
Good/Excellent
$0
20,000 bonus miles once you spend $1,000 on purchases within the first 3 months
Best for Balance Transfers
Excellent/Good
$0
Unlimited first year cash back match
Best for Purchases and Balance Transfers
Excellent/Good
$0
None
Best Amex Card for Flat-Rate Rewards
Excellent/Good
$0
$150
Best for Rewards with 0% APR
Excellent/Good
$0
$200 bonus
Best for Flat-Rate Rewards
Good/Excellent
$0
One-time $150 cash bonus
Best for Longest 0% APR Offer
Good/Excellent
$0
None
Best for No Balance Transfer Fees
Good/Excellent
$0
None
Best Amex Card with No Balance Transfer Fee
Good/Excellent
$0
10,000 points
Best 0% APR Credit Card Welcome Bonus
Good/Excellent
$0
20,000 points

Methodology

Forbes considered dozens of 0% APR credit cards from major issuers to come up with this list of the absolute best. Card attributes given priority include the length of 0% APR offers, rewards programs and credit card fees. We also considered credit card bonus offers on cards that extend 0% APR on purchases.


The Best 0% APR Credit Cards

Capital One® VentureOne® Rewards Credit Card

The Capital One® VentureOne® Rewards Credit Card* makes it easy to earn rewards on purchases and save money on interest at the same time. This card also comes with no annual fee and no foreign transaction fees, making it a smart rewards card to keep for the long haul.

0% APR Offer: Qualify for 0% intro APR on purchases for 12 months, followed by a variable APR of 15.99% – 25.49% based on your creditworthiness.

Rewards: Earn 1.25 miles for each dollar you spend.

Bonus Offer: Earn 20,000 bonus miles once you spend $1,000 on purchases within the first 3 months from account opening.

Annual Fee: $0

Benefits and Drawbacks: The Capital One® VentureOne® Rewards Credit Card is an easy card to consider if you want to make a large purchase and pay it off over time. Once you’re approved, you’ll have 12 months to make purchases and pay them off without any interest payments. You can also earn an initial welcome bonus on your spending, and you’ll earn 1.25 miles for each dollar you spend.

The only real downsides of this card include the fact you’ll only qualify for 0% APR for 12 months, and that this offer only extends to purchases (and not balance transfers). Also be aware that a handful of credit cards offer a longer 0% APR period with a higher rate of rewards, including some cards on this list.

You can read our full review of the Capital One VentureOne Rewards Card here.


Discover it® Balance Transfer *

The Discover it® Balance Transfer card * offers an interesting combination of perks. You’ll be able to earn exceptional rewards on purchases.

Rewards: Earn 5% back on up to $1,500 spent in bonus categories that rotate each quarter* plus 1% back on other purchases.

Benefits and Drawbacks: The benefits of the Discover it® Balance Transfer are obvious. It’s also nice to know you can earn 5% back on up to $1,500 spent in rotating bonus categories each quarter*, and that you’ll earn 1% back on everything else you buy. The fact that Discover will double all your rewards after the first year is just icing on the cake.


BankAmericard® Credit Card *

The Bank Americard® credit card is another credit card that extends 0% APR to purchases and balance transfers made within a specific length of time. This makes this card a good option if you have some debt to transfer over from high-interest credit cards and loans but you also want to make a few purchases and pay them down without interest over time.

0% APR Offer: Qualify for 0% APR on purchases and balance transfers made within the first 60 days of account opening for 18 billing cycles, followed by a variable APR based on your creditworthiness. Balance transfers are subject to a 3% fee ($10 minimum).

Rewards: This card doesn’t offer rewards.

Bonus Offer: None

Annual Fee: $0

Benefits and Drawbacks: Being able to avoid interest on purchases and balance transfers for 18 billing cycles could be a huge boon for your finances. The biggest downside of this card is an obvious one. Unlike a few other cards that extend 0% APR for purchases and balance transfers for a similar length of time, the Bank Americard® credit card doesn’t let you earn points or cash back on your purchases.

You can read our full review of the BankAmericard credit card here.


American Express Cash Magnet® Card

The American Express Cash Magnet® Card is another card that lets you earn flat-rate rewards for each dollar you spend. You’ll also qualify for 0% APR on purchases for more than a year, making this a solid card for a large purchase or debt consolidation.

0% APR Offer: Qualify for 0% for 15 months on purchases from the date of account opening, then a variable rate, currently 13.99% to 23.99% APR based on your creditworthiness (see rates and fees).

Rewards: Earn a flat 1.5% back for each dollar you spend.

Bonus Offer: Earn a $150 statement credit after you spend $1,000 or more in purchases with your new Card within the first 3 months of Card Membership.

Annual Fee: $0 (see rates and fees)

Benefits and Drawbacks: The American Express Cash Magnet® Card offers a standard 0% APR introductory offer for purchases, but you’ll also earn an initial bonus offer and ongoing rewards.


Chase Freedom®

The Chase Freedom® * offers the best of all worlds for consumers hoping to save money with 0% APR and willing to keep track of rotating categories in order to earn 5 Ultimate Rewards points per dollar spent on certain purchases (equivalent to 5% cash back). This card extends 0% APR for purchases and balance transfers, with the APR increasing to the regular APR after 15 months. As an added bonus, you can qualify for a generous signup bonus.

0% APR Offer: Qualify for 0% APR on purchases and balance transfers for 15 months followed by a variable APR based on your creditworthiness. Balance transfers are subject to a 3% fee ($5 minimum) during the first 60 days, after which the balance transfer fee increases to 5% ($5 minimum).

Rewards: You’ll rack up 5 Ultimate Rewards points per dollar spent (equivalent to 5% cash back) on up to $1,500 in bonus category spending each quarter (then 1 point per dollar) and 1 point per dollar spent on all other purchases.

Bonus Offer: Earn a $200 bonus after you spend $500 on purchases in the first 3 months from account opening. And earn 5% cash back on grocery store purchases (not including Target® or Walmart® purchases) on up to $12,000 spent in the first year.

Annual Fee: $0

Benefits and Drawbacks: The Chase Freedom® makes it easy to save money on interest and earn rewards at the same time. This is especially true since the 0% introductory offer extends to both purchases and balance transfers.

The major downside to this card is the fact that 15 months isn’t as long as some other cards on this list provide that 0% APR. If you need to avoid interest for the longest time possible, you may want to consider another option.

You can read our full review of the Chase Freedom card here.


Capital One® Quicksilver® Cash Rewards Credit Card

The Capital One® Quicksilver® Cash Rewards Credit Card* offers exceptional flat-rate rewards anyone can benefit from, but you also qualify for 0% APR for a limited time. There are no annual fees or foreign transaction fees, so it’s easy to keep this card for the long haul.

0% APR Offer: Qualify for 0% APR on purchases and balance transfers for 15 months, followed by a variable APR of 15.49% – 25.49% based on your creditworthiness. A balance transfer fee of None. After 15 months, this card does not have a balance transfer fee.

Rewards: Earn a flat 1.5% back on everything you buy.

Bonus Offer: One-time $150 cash bonus after you spend $500 on purchases within 3 months from account opening.

Annual Fee: $0

Benefits and Drawbacks: The Capital One® Quicksilver® Cash Rewards Credit Card lets you save with 15.49% APR on purchases and balance transfers for 15 months. However, a 3% balance transfer fee applies for balances transferred during the promotional rate.

This card is free of foreign transaction fees and annual fees, which is a major plus.


Citi Simplicity® Card

If you have a lot of debt at a high-interest rate that you desperately want to pay off, this card should be on your radar. The Citi Simplicity® Card offers the longest 0% APR introductory terms for balance transfers, giving you a full 18 months to pay down debt without paying a dime in interest along the way.

0% APR Offer: Qualify for 0% Intro APR for 18 months on balance transfers when transfers are completed within 4 months of account opening and for 18 months on purchases from date of account opening, followed by a variable APR based on your creditworthiness. A balance transfer fee of 5% (minimum $10) applies.

Rewards: This card doesn’t offer rewards.

Bonus Offer: None

Annual Fee: $0

Benefits and Drawbacks: While most balance transfer credit cards extend 0% APR for up to 18 months, the Citi Simplicity® Card comes with a longer offer that is hard to beat. If you have a ton of debt at high-interest rates and need a lot of time to pay it off at 0% APR, it’s easy to see how this card could help you get ahead.

Still, there are a few notable downsides to be aware of, the first of which is the 5% balance transfer fee (minimum $10). Some cards on this list only charge a 3% balance transfer fee, and a few don’t charge balance transfer fees for a limited time.

Another obvious downside is the fact that this card doesn’t offer any rewards for purchases. Then again, it’s possible you may not care about rewards if your goal is paying off debt for the long haul.


Chase Slate® *

If you want to pay down debt with minimal cost involved, consider the Chase Slate®. This card lets you save money with 0% APR for a limited time, after which the APR will increase to a variable rate based on your creditworthiness. You can access 0% APR for balance transfers initiated within 60 days of account opening.

0% APR Offer: Qualify for 0% APR on purchases and balance transfers for 15 months, followed by a variable based on your creditworthiness with no balance transfer fees for the first 60 days your account is open. After the first 60 days, this card has a 5% balance transfer fee (minimum $5).

Rewards: This card doesn’t offer rewards.

Bonus Offer: None

Annual Fee: $0

Benefits and Drawbacks: The Chase Slate® comes with one of the best 0% APR offers available today based on the simple fact there aren’t any balance transfer fees for the first 60 days. This makes it easy to pay down debt without any out-of-pocket costs and access 0% APR on purchases for the first 15 months.

The major downsides of this card include the fact you don’t earn rewards. There are also longer 0% APR timelines available from other cards, and these could be more beneficial if you have a lot of debt to pay down, even after taking into consideration balance transfer fees.


Amex EveryDay® Credit Card

The Amex EveryDay®* Credit Card offers a nice combination of interest savings and rewards that can make sense for anyone who wants to rack up points while avoiding interest payments. Plus, you can avoid balance transfer fees when you transfer balances to your new card within 60 days of account opening.

0% APR Offer: 0% intro APR on purchases and balance transfers for 15 months, then a variable APR, 12.99% to 23.99%.”Rewards and last para needs to be “Earn 2X POINTS at US supermarkets on up to $6,000 per year in purchases (then 1X) plus 1X Membership Rewards® point for every eligible dollar you spend.

Rewards: Earn 2 Membership Rewards points per dollar spent on up to $6,000 spent at U.S. supermarkets stores each year plus 1 Membership Reward point per dollar spent on all other purchases. Notably, this card also gives you 20% in bonus rewards when you use it for at least 20 purchases each billing period.

Bonus Offer: Earn 10,000 Membership Rewards® Points after you spend $1,000 in qualifying purchases on the Card within your first 3 months of Card Membership
.

Annual Fee: $0

Benefits and Drawbacks: There are plenty of reasons to love the Amex Everyday® Card, including the fact you can qualify for 15 months with 0% APR on purchases and balance transfers. The fact there are no balance transfer fees when you transfer your high-interest debt over within 60 days of account opening is the icing on the cake.

Earning a welcome bonus is always good news, and racking up 2 Membership Rewards points per dollar spent on up to $6,000 in U.S. supermarkets store spending (on top of 1 point per dollar on other purchases) is excellent as well. We also love the 20% bonus rewards you can earn when you use this card for at least 20 purchases each billing period, making it a good choice for an everyday card.

In terms of downsides, the only potential pitfall is that there are longer 0% APR offers on the market.


Wells Fargo Propel American Express® Card

We love the Wells Fargo Propel American Express® Card based on its welcome offer alone, but the introductory 0% APR offer doesn’t hurt, either. Add in the fact that you’ll earn 3 points per dollar spent in popular categories each month with no annual fee, and this card is hard to beat.

0% APR Offer: Qualify for 0% APR for purchases and balance transfers for 12 months, followed by a variable APR based on your creditworthiness. Balance transfers made within the first 120 days from account opening are subject to a 3% fee ($5 minimum). After the first 120 days, balance transfers are subject to a 5% fee ($5 minimum)

Rewards: Earn 3 points per dollar spent on dining, gas stations, rideshares, transit, flights, hotels, homestays, car rentals, and popular streaming services plus 1 point per dollar spent on other purchases.

Bonus Offer: 20,000 bonus points when you spend $1,000 in purchases in the first 3 months – a $200 cash redemption value.

Annual Fee: $0

Benefits and Drawbacks: This card’s earning rates are exceptional, and that’s especially true when you consider how many categories you can rack up 3x points in. The fact there’s no annual fee is also spectacular when you take in the welcome bonus you earn the first year.

While getting 0% APR on purchases and balance transfers is always nice, keep in mind that this offer is only good for 12 months. Also, note the 3% balance transfer fee (minimum $5) that applies and is only available for the first 120 days.


How to Pick a 0% APR Credit Card

  • Look for the longest 0% APR offer available. More importantly, make sure that the offer you’re considering is long enough so you can pay off all or most of your debt without any interest.
  • Check for fees. If you believe you could pay off all your debt in a fairly short amount of time, it’s worth it to consider 0% APR credit cards that don’t charge a balance transfer fee.
  • Consider which perks you want. Ask yourself if you’re interested in any other credit card perks you can qualify for, such as a free FICO score on your statement each month.
  • Consider your spending style. If your goal is earning rewards on your purchases while avoiding interest, it can help to think about the type of purchases you planned to make. Some cards offer more rewards in specific bonus categories, so you should choose a card that will give you the most bang for your buck.
  • Look at the ongoing variable APR. While balance transfer credit cards can help you save on interest, remember that your card’s APR will eventually reset to the regular ongoing APR.

To view rates and fees of the American Express Cash Magnet® Card, please visit this page.


Frequently Asked Questions

What does purchase APR mean?

Purchase APR (Annual Percentage Rate) refers to the amount of interest you’ll pay on something you bought with your credit card if you carry a balance from month to month. Your card’s APR should be clearly spelled out when you’re approved for your card and also can be found on your monthly statement in the section showing how your interest for that billing cycle was calculated.

 

Most credit cards calculate interest using the average daily balance method, which means your interest is compounded and accumulates every day, based on your daily rate of interest. In other words, every day your finance charges are based on the balance from the day before. The daily rate of interest on your purchase is determined by dividing your card’s APR by 365 to find the daily rate of interest and then multiplying that number by your balance.

What does 0 APR mean?

A 0% APR offer is an introductory period without finance charges on either purchases, balance transfers or both. Getting a break from finance charges can be a welcome change from the double-digit interest typically charged on credit cards or other loans. The less you’re paying in interest, the more you can put towards paying off your debt.

What is the best credit card with no interest?

There’s no one best credit card with no interest, only what’s best for your particular circumstances. When choosing a credit card for its interest-free offer, if you’re seeking the best no interest offer on purchases, consider the length of time of the offer. 

 

If you’re seeking the best no interest offer on a balance transfer card, consider both the length of time and the amount it will cost if there’s a balance transfer fee. You should also look beyond the interest-free period and see if there’s value to you in the card when the promotional offer expires.

What is an intro APR?

An introductory APR is a promotional offer made by credit card companies to entice potential customers to sign up for a new card. An intro APR is typically either a 0% or ultra-low APR offer that applies for a limited period of time. When the intro offer expires the card will revert to its standard APR, which is within a range specified in the cardholder agreement.

What is a purchase interest charge?

A purchase interest charge is the amount you’ll pay in interest for anything you buy on your credit card. For example, if your credit card has an APR of 20% and you buy a new couch for $1,000, over the course of a year if you didn’t make a single payment towards your card, you’d tack on an additional $200 in interest charges. 

 

In practice, you typically accrue interest on a daily accumulated rate, which means every day your finance charges are based on the balance from the day before. The daily rate of interest on your purchase is determined by dividing your card’s APR—in this example 20%— by 365 to find the daily rate of interest and then multiplying that number by your balance.  

 

Since this method is compounding your interest charges, you’ll end up paying more than $200 in additional interest over the course of a year if you made zero payments towards that principal amount of your purchase.

Forbes adheres to strict editorial integrity standards. To the best of our knowledge, all content is accurate as of the date posted, though offers contained herein may no longer be available. The opinions expressed are the author’s alone and have not been provided, approved, or otherwise endorsed by our partners.
Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed.
Earn 20,000 bonus miles once you spend $1,000 on purchases within the first 3 months from account opening
Discover will match all the cash back you've earned at the end of your first year, automatically. There's no signing up. And no limit to how much is matched.
None
Earn a $150 statement credit after you spend $1,000 or more in purchases with your new Card within the first 3 months of Card Membership
Earn a $200 bonus after you spend $500 on purchases in the first 3 months from account opening. And earn 5% cash back on grocery store purchases (not including Target® or Walmart® purchases) on up to $12,000 spent in the first year
One-time $150 cash bonus after you spend $500 on purchases within 3 months from account opening
None
None
Earn 10,000 Membership Rewards® Points after you spend $1,000 in qualifying purchases on the Card within your first 3 months of Card Membership
20,000 bonus points when you spend $1,000 in purchases in the first 3 months – a $200 cash redemption value
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