This is the first time we’ve seen the well known Slate Credit Card from Chase Bank waives it’s balance transfer fee – and depending on your own credit card debt, the savings from this promotion can be immense.
The balance transfer fee is the number one way card issuers make up front revenue when new applicants apply for and receive these products. Typically balance transfer fee’s range between 3 and 5 percent of the amount being transferred, so depending on the transferred sum, the lack of this fee has the potential to save consumers quite a bit of money.
These cards almost always come as promotional offers that stay available for a limited time only (usually during a short period following the holiday shopping season). This offer by Chase is no different. For a limited time Slate from Chase Bank is offering new customers the following:
1) 0% introductory rate for 15 months on both balance transfers and new purchases.
2) No Balance Transfer Fee (Limited Time Only)
3) No Annual Fee
We always like to reiterate the fact that even those these promotional offers tend to apply a 0% intro rate for both balance transfers AND new purchases, we heavily recommend refraining from wracking up additional balances from new purchases. The fundamental benefit of these particular credit card promotions is the combination of the lack of upfront fee as well as the 0% intro APR window – and you must take advantage of both to fully utilize the card.
For maximizing the benefit of one of these cards, you must come up with a strict plan to pay as much of the transferred balance down as you can before the 15 month zero percent APR window is up. If you fail to do so an APR of between 11.99% to 21.99% will await you (depending on your individual credit standing).
Example of Savings from No Balance Transfer Fee Credit Cards:
(See user comments in our original review of the Slate card.)
Let’s say you have wracked up $5,000 in credit card debt and are receiving an unfavorable APR on this sum. Once you’ve applied for this offer, you can transfer the $5,000 sum and then have 15 months to pay it off without any adding any additional interest, plus you’ll save between $150 and $250 in up front payments (assuming an industry standard balance transfer fee of between 3% and 5%).
If you’ve gone even further with your credit card debt and have wracked up a tab of $15,000, these up front savings really come in to play. In this hypothetical situation a total of between $450 and $750 will have been saved on balance transfer fee’s.
Compare this offer with the only other no balance transfer fee credit card currently on the market from Discover Bank or apply for the offer from Chase using the link at the top of this article.