Zero Interest Credit Cards: Do They Exist?

According to Google, lots of folks are searching the Internet for 0% interest credit cards, no-interest credit cards, and interest-free credit cards. Do such cards really exist, or are these potential card holders embarking on a wild goose chase?

You can find 0% interest credit cards. However, the length of the 0% interest period varies from card to card. If you have been hunting for a card that never charges interest, you are, sadly, out of luck. Credit card companies make money from the interest you pay them. But some credit cards do offer an interest-free first year, or even longer. This is great for card holders who anticipate carrying a balance, but who will be able to pay it off before the introductory period runs out.

At the time of this writing, several companies offer 0% interest cards. The Citi Platinum 12 month BT MasterCard, as its name suggests, offers 0% interest for 12 months at an average APR of 16.9%. The Discover Platinum also offers 0% interest for 12 months, with an average APR of 10.99%.

Other cards have lower rates and longer interest-free periods. These include the Advanta Platinum Rewards MasterCard, with 0% interest for 16 months and an average APR of 7.99%; and the American Express Blue Credit Card, with 0% interest for 15 months and an 11.74% APR.

These are just a few of the 0% interest cards out there. It definitely pays to shop around and find the one that best suits your needs. Look for balance-transfer cards that offer rewards, too, if the terms are agreeable.

If you are thinking of getting a 0% interest card in order to transfer other another card’s balance onto it, do your homework first. You could get hit with a balance transfer fee, typically 2% of the amount you wish to transfer. Also, these cards might carry interest charges for purchases made. Look for credit cards that offer 0% interest for the life of the transfer, but also beware of ‘minimum monthly spend’ requirements. If you fail to meet those requirements, the interest charges will start rolling in.

Yes, there are 0% interest credit cards out there – if, by zero interest, you mean a no-interest introductory period, or zero interest on the life of a balance transfer. Either type can be very valuable to card holders in the right situations. Just remember that the only truly interest-free credit card is the one you pay off each month. Don’t carry a balance, and you will enjoy the benefits of 0% interest all the time.