Does Upgrade Credit Card have a 0% APR intro period for new purchases?

You should get a 0% APR credit card if you have good credit or better, are planning to make a big purchase or balance transfer soon, and have a plan for paying off the balance before the intro APR period is over. If you fit these criteria, you’ll be able to make the most out of a 0% APR credit card.... read full answer

Making a plan to pay off a large balance can be an organizational hurdle for some – and if you never get around to planning the payoff, you’re more likely to end up paying some interest at the end of the 0% APR period. Using a credit card payoff calculator can be a big help.

You should get a 0% APR credit card if:

You have good credit or better

Most credit cards with a 0% interest period require at least good credit, so checking your credit score is a good first step.

You’re planning a big purchase or balance transfer

These are two of the best ways to use a 0% APR period because it’s a chance to pay off debt without interest charges. But be aware that not all credit cards offer 0% on both purchases and balance transfers - many only offer the deal on one or the other.

You have a plan for paying off the balance before the intro period is over

This is especially important because no-interest credit card offers usually lead to high regular APRs, and any balance left after the intro period will be subject to that rate. This works in the card issuer’s favor, not yours. The best way to plan paying off a balance is to use a credit card payoff calculator.

The credit card is not a store credit card

Store credit cards often advertise 0% interest periods, but most of the time, these are deferred interest deals. If you have any balance left at the end of a promo period on these cards, interest will retroactively apply - not just to the remaining balance, but to the entire purchase price. If you have good credit, you should qualify for a 0% APR period on a non-store credit card.

When shopping around for a 0% APR credit card, it’s also important to consider that a certain credit limit is never guaranteed. If you have a high limit in mind for a big purchase, for example, the best thing to do is to make your overall financial situation as low-risk as possible to a card issuer. That means having a clean credit report – including a history of on-time payments and low credit utilization – and enough annual income to afford your monthly payments.

The longest 0% APR credit card is the Wells Fargo Reflect® Card. This card offers an introductory purchase APR of 0% for up to 21 months from account opening and 0% for up to 21 months from account opening on qualifying balance transfers - subject to a fee of 3% intro for 120 days, then up to 5% (min $5). The card’s regular APR is 17.74% - 29.74% Variable.

Given its $0 annual fee, the Wells Fargo Reflect card makes for a great option both for financing larger purchases and transferring pre-existing debt. There are several other options with long 0% intro APRs that are worth taking into consideration.... read full answer

Here are the longest 0% APR credit cards:

These cards benefit from $0 annual fees and require good credit or better (a credit score of 700+) for good odds of approval. Most of them don’t offer any kind of rewards, but they’re meant for financing rather than regular spending.

You can also adopt the island approach. That way, you can use a different rewards card for purchases, which you’ll pay in full each month.

What you should know about 0% APR store cards:

It’s important to note that some store cards may offer 0% interest for longer than 21 months, but they use deferred interest. This means there’s no interest if you pay off the item in full by the end of the promotion period. So, you should only get such a card if you’re planning on paying down your balance in full before the interest-free period ends. But if you miss only one payment due date, then interest will be applied to your entire original purchase amount, as if it had been there from the start.

The JCPenney Credit Card is one example, offering 18 months of deferred interest. But those cards are best avoided, due to the potentially high interest rate.

When a 0% APR period ends, the credit card’s regular APR will kick in. That rate will apply to any unpaid balance remaining on the credit card as well as any new purchases made from that point on. The regular APR that applies when a 0% APR period expires tends to be very high, so it’s best not to leave much of a balance for it to affect.... read full answer

The only exception to this rule is a 0% interest period with a feature called deferred interest. General-purpose 0% credit cards don’t have it, but some store credit cards do. This isn’t a true 0% APR deal because the interest is still accruing while it’s “deferred,” and it will apply if you don’t pay your balance on schedule. So when the 0% APR ends on a deferred interest financing offer, you’ll be charged interest on the original purchase amount, as accrued from the purchase date, if you have even $1 of your original balance left to pay. Your deferred interest could also return prematurely if you make a late payment, and it’ll likely be a lot more expensive than a late fee. That’s why it’s very important to make on-time payments on deferred interest credit cards, and to pay off the balance before a deferred interest period is over.

Even though a credit card with a true 0% APR period won’t retroactively charge interest on purchases, be smart with these cards. Interest will apply to any balance remaining when the 0% period ends, so plan out your payments to ensure there’s little left at that point. Using a credit card payoff calculator can be a big help.