Key takeaways
- The Citi Simplicity® Card provides one of many longest introductory APR provides for stability transfers, with a 0 % intro APR for 21 months adopted by a 19.24 % to 29.99 % APR thereafter.
- This card doesn’t cost an annual charge or late cost charges, however it additionally does not provide a welcome bonus or ongoing rewards. It is primarily for folks trying to repay current debt or make a big buy and keep away from curiosity for a restricted time.
- When you’re in search of long-term worth, there could also be higher choices obtainable that supply each rewards and introductory APR provides.
Citi is an promoting associate.
A stability switch bank card could be a highly effective software that will help you pay down an current stability whereas avoiding curiosity for a restricted time. Whereas these intro provides sometimes vary from 12 to 18 months, you’ll discover that the Citi Simplicity® Card trumps that with one of many longest intro stability switch APR provides obtainable as we speak.
Beneath, we’ll take a better take a look at the Citi Simplicity Card’s perks and potential drawbacks.
When is the Citi Simplicity value it?
The Citi Simplicity Card is primarily a stability switch bank card. Whilst you gained’t get high-value, long-term rewards earnings, this card is a good software for constructing credit score and paying down debt. That’s why this card could possibly be value getting within the following situations:
In case your major purpose is paying off bank card debt
The Citi Simplicity is value it you probably have high-interest bank card debt that you simply need to repay. While you benefit from the 0 % intro APR provide on stability transfers, you’ll have 21 months to pay down debt interest-free (then a variable APR of 19.24 % to 29.99 % applies). Word, it’s essential to switch your stability throughout the first 4 months of holding the cardboard to qualify for the intro APR provide. A 3 % intro stability switch charge ($5 minimal) additionally applies.
Let’s say you open your account and switch $5,000 to the Citi Simplicity. You’ll pay a 3 % stability switch charge, which involves $150. So your complete stability to repay is $5,150. To fully repay your stability earlier than the introductory stability switch provide expires, you’ll have to pay $246 month-to-month for 21 months. After that, the 19.24 % to 29.99 % variable APR applies.
For comparability, let’s say you left your $5,000 stability on a card with a 20 % APR (that’s in regards to the common price proper now). Even in the event you pay $246 month-to-month towards the stability, it can take you 26 months to repay the debt and also you’ll rack up $1,155 in curiosity costs throughout that point, in accordance with Bankrate’s bank card debt payoff calculator.
If it’s worthwhile to repay a big, upcoming buy
The Citi Simplicity may be value it if you wish to finance a big-ticket merchandise and keep away from paying curiosity for a time frame. This card comes with a 0 % intro APR on purchases for 12 months from the date of account opening, after which a variable APR of 19.24 % to 29.99 % applies. So, let’s say you buy $3,000 value of kitchen home equipment utilizing your new Citi Simplicity Card. When you pay $250 a month for 12 months, you’ll pay it down in full with out paying a penny in curiosity.
Word, although, that if paying off a big buy is your major purpose (as an alternative of a stability switch), there are playing cards which have longer intro APR provides on new purchases. For instance, the Financial institution of America® Limitless Money Rewards bank card provides a 0 % intro APR for 15 billing cycles on purchases. After the intro APR provide ends, a 18.24 % to twenty-eight.24 % variable APR will apply.
The details about the Financial institution of America® Limitless Money Rewards bank card was final up to date on April 10, 2024.
When is the Citi Simplicity not value it?
For the reason that card’s major profit is its introductory APR provide for stability transfers and new purchases, this card isn’t for everybody. Listed below are some situations the place the Citi Simplicity may not be value getting:
If paying off debt isn’t in your radar
The Citi Simplicity Card isn’t value holding in the event you don’t want an extended intro APR provide since this card doesn’t boast too many different advantages. There’s no rewards program, so that you gained’t earn factors, money again or miles once you use it for purchases, and there’s additionally no welcome bonus. However you additionally gained’t tackle an annual charge or late cost charges, that are perks value mentioning.
When you’re in search of long-term worth
Though you’ll be hard-pressed to discover a longer intro APR provide for stability transfers, you could not discover as a lot worth with this card when you’ve paid off debt or a big buy. There are many different stability switch playing cards that function each intro APR provides and ongoing rewards in your spending, so it’s value looking at a few of the greatest stability switch bank cards in the marketplace to find out if the Citi Simplicity is actually your only option.
For instance, the Citi Double Money® Card provides 2 % money again on all purchases (an infinite 1 % as you make purchases and one other 1 % again once you repay purchases) and a 0 % intro APR on stability transfers for 18 months (19.24 % to 29.24 % variable APR after; transfers should be made throughout the first 4 months to qualify). When you can handle to repay your debt in 18 months relatively than 21 months, the Citi Double Money is a strong possibility to think about by way of ongoing worth.
Must you get the Citi Simplicity Card?
It is best to actually solely think about getting Citi Simplicity if you wish to benefit from the lengthy intro APR provide and do a stability switch with Citi.
Nonetheless, in the event you’re trying to earn rewards in your purchases, there are higher choices to think about. A wide range of bank cards include each ongoing rewards and intro APR provides, and there’s no sense sacrificing further card advantages in the event you can swing paying off debt in a barely shorter time frame.
The underside line
The Citi Simplicity will help you pay down an current debt stability or a big buy over time, however it doesn’t provide a lot long-term worth. Nonetheless, there are just a few further advantages to know, together with no annual charge and no late cost charges. Word, nonetheless, that you simply’ll want a superb to wonderful credit score rating (sometimes between 670 and 850) to qualify.
