For balance transfers, the Citi Simplicity card has an excellent introductory APR deal. If you have high-interest debt from another card, you can benefit from 0% APR for 21 months on transferred amounts. This arrangement will help you save a lot of money. It doesn’t charge a yearly fee, late fees, or penalty rates, but it does charge $5 or 5% of each transfer’s value, whichever is higher.
The Citi Simplicity card is a straightforward, annual-fee-free card that works best for balance transfers while the promotional 0% APR rate is in effect. Customers searching for a rewards program should go elsewhere because the card does not have one.
This card’s $5 balance transfer fee or 5% of each transfer’s value, whichever is higher, is a drawback. It could be preferable to use different balance transfer cards.
The comparatively long introductory 0% APR period for the Citi Simplicity Card is an appealing factor for consideration for customers searching for a straightforward debt management card. A card like Citi Simplicity could help reduce the burden of debt buildup rather than becoming caught in an endless loop of minimum payments and interest fees.
Pros:
- Outstanding 0% APR offer on balance transfers
- 0% introductory APR offer on new purchases
- No penalty rates or annual fees
- An outstanding characteristic for a balance transfer card is the absence of an annual fee on the card.
- offers a 21-month low-interest period on balance transfers, one of the longest available.
- If you make a late payment, you won’t have to pay any late fees or a penalty APR.
- Its reasonable balance transfer charge reduces the cost of transferring debt to a new card.
Cons:
- 3% foreign transaction fee
- No rewards program
- No one-time offer
- An outstanding characteristic for a balance transfer card is the absence of an annual fee on the card.
- offers a 21-month low-interest period on balance transfers, one of the longest available.
- If you make a late payment, you won’t have to pay any late fees or a penalty APR.
- Its reasonable balance transfer charge reduces the cost of transferring debt to a new card.
Benefits
Introductory rates of 0%.
The Citi Simplicity® Card* offers a 0% intro APR for 12 months on purchases and a 0% intro APR for 21 months on balance transfers starting from the date of the first transfer. After that, depending on your creditworthiness, the variable APR will range from 18.74% to 29.49%.
For transfers made within four months of account opening, there is an initial balance transfer fee of $5 or 3% of the transfer amount, whichever is greater. After that, a balance transfer fee of $5 or 5% of each transfer’s value, whichever is higher, is charged. Because the usual APR is so high, it is preferable for cardholders to use the introductory APR to pay off all debt within the introductory period.
On new purchases, there is a 0% introductory APR for 12 months.
This card is also a good option if you want to put off paying interest on large expenditures you intend to make shortly, like replacing your home appliances or upgrading your computer setup.
After creating an account, you can receive 0% APR on purchases for a full year, giving you more than enough time to finance your purchase without being concerned about interest payments. Of course, it’s better to settle the majority or all of that debt before the interest-free period expires. The usual APR will take effect when the introductory offer expires, which could significantly increase the balance you still owe.
For 21 months, there is a 0% introductory APR on balance transfers.
Experian estimates that the typical credit card amount in 2020 will be $5,313. A balance transfer, or moving your debt to a card with a low introductory APR, is one strategy to deal with credit card debt if you’re having trouble paying the normal 20% or so in annual interest on that balance. One of the best offers available is the 0% APR on balance transfers for 21 months starting from the date of your first transfer on the Citi Simplicity card.
(The transfer cost, however, is $5 or 5%, whichever is greater.) There is no time limit on repaying the principal, but all transactions must be finished within the first four months of creating an account. However, following the introductory APR period, the APR ranges from 18.74% to 29.74%, which is a fairly standard range, depending on your creditworthiness.
Security Options
You may set up automatic account alerts if you have a Citi card. Once set up, the alerts assist you in keeping track of your account. Citi will notify you if you go over your credit limit, remind you of balance totals and payment due dates, and track your spending.
You have access to Citi Identity Theft Solutions as a Citi cardholder for all of your cards and accounts. You can get specialized support and assistance through the program if your personal information is compromised, even if it was obtained through fraud using a card issued by a different business.
A Citi specialist will help you report the theft to the credit bureaus, provide guidance on how to fill out any required police reports or government documents, and help you find any additional accounts that might have been affected.
There are no annual fees, late fees, or penalty rates.
The lack of an annual charge is a bonus for a card with such substantial promotional APR offers. No matter when you make a payment, there are no late fees, however after the initial 0% APR term, you will still be charged interest on the outstanding balance.
Additionally, unlike some cards, the APR stays the same even after you’ve missed payments for 60 days or more and are subject to a penalty rate, which is often the highest interest rate assessed on the card.
Do You Need a Citi Simplicity Card?
For those who want to pay off bills over a long period of time, the Citi Simplicity credit card may be helpful. The balance transfer cost on the card is high compared to some competing cards, but it isn’t excessive when compared to many other balance transfer cards.
For individuals seeking rewards programs and balance transfer options on the same card, there are better options available, but for short-term debt management, it is a logical choice.
Conclusion
The Citi Simplicity card is a great choice if you have credit card debt and need some time, interest-free, to pay it off. On qualified balance transfers, you’ll receive 21 months at 0% APR, providing you nearly two years to pay down or pay off your debt without having to pay exorbitant interest charges. You could be able to save hundreds or even thousands of dollars on interest thanks to the deal.
Once your debt is paid off, though, the Citi Simplicity card doesn’t offer much of a benefit. Consider getting a rewards credit card after that, like the Chase Freedom Unlimited card, to earn points and other benefits. The Chase Freedom Unlimited card has no annual charge, just like the Citi Simplicity card. However, you can always receive 1.5% cash back on all of your purchases.