Can A Credit Card Actually Help You Save?

Please Note: Information about the Discover it® Balance Transfer have been collected independently by TheSimpleDollar.com and may be out of date. The issuer did not provide the details, nor is it responsible for their accuracy. The offers are not currently available on our site. This page includes information about the Discover it Balance Transfer product, which is no longer offered by Discover.

Most people don’t know there’s a really simple way to free up more money for savings — and it doesn’t require making huge lifestyle sacrifices. The trick is to stop throwing money away on interest payments.

Credit card companies are offering really favorable terms on balance transfers right now.

In this article

    If you have decent credit, now’s the best time to put it to work for savings. Bring your credit card interest costs down to zero when you transfer a balance to a new 0% intro APR offer. From there, each payment you make goes directly toward paying down your debt, and not monthly interest. To pay off a $10,000 balance, that would mean savings of $1,000+ in interest in just a year and a half. That’s a nice chunk of cash you can put toward savings instead.

    The secret to saving more money is mostly just being smarter about how you spend your money. Cutting out interest payments is one of the easiest (and most painless!) ways to do this. To get you started saving, here’s a simple head-to-head comparison of two of the best balance transfer cards available today.

    Discover it® Balance Transfer

    The Discover it® Balance Transfer has the longest intro APR of our top-ranked balance transfer cards. Earn 5% cash back at different places each quarter like grocery stores, restaurants, gas stations, select rideshares and online shopping, up to the quarterly maximum when you activate. Plus, 1% unlimited cash back automatically on all other purchases.

    But that’s not all. Discover also matches the cash back you earn during your first year as a cardholder. That means if you earn $150 in cashback, you’ll get another $150 on top of that — that’s $300 total cash back in one year. The more cash back you earn in your first year, the bigger your year-end cash back bonus.

    Pros: You get an extra-long intro APR for balance transfers.

    Chase Slate®

    Want to avoid the fees associated with a balance transfer? Go with the Chase Slate®. With this card, you can cut out interest payments and transfer your balance for FREE (as long as you do it within the first 60 days of opening the card). The Chase Slate® also has an extended 0% intro APR of 15 months.

    Pros: Pay no balance transfer fee (if made within 60 days of account opening), plus get 0% Intro APR for 15 months.

    Con: You can’t transfer a balance from another Chase card. Additionally, this card doesn’t include access to a rewards program. If you already have a rewards credit card, we recommend making new purchases on that card — and using the Chase Slate® solely as a debt-elimination tool!

    One thing to keep in mind is that most card issuers won’t allow you to transfer a balance from one of their cards to another. That’s why it pays to know what the best offers are. You’ll maximize your balance transfer savings this way and figure out which card will actually work best for your personal situation.

    The Discover it® Balance Transfer has the best deal with its extra-long intro APR period on balance transfers, and the Chase Slate® lets you transfer your balances for free during the first 60 days–a huge benefit for savings. You can also check out our full list of the Best Balance Transfer Credit Cards for 2019 to compare other great offers — and find the one that fits your needs best.

    Please note: The Chase Slate® offer is currently unavailable through this site.

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