Card issuers use 0% introductory APRs to attract customers. These offers can eliminate interest on purchases or balance transfers for a fixed period, but they are temporary and often include fees (balance-transfer, late fees, annual fees) and rules that can void the promotion. Read the terms, calculate payments to clear the balance before the promo ends, and compare total costs across offers.
Why issuers offer 0% APR promotions
Card issuers use 0% introductory APRs to attract customers. Those offers typically apply to purchases, balance transfers, or both, and run for a fixed promotional period. Issuers pair these promotions with rewards, sign-up bonuses, and other perks to win business in a competitive market.
The upside: cheaper short-term financing
A 0% APR promotion can let you move an existing balance or make a planned purchase without paying interest during the promo period. That can be a useful financial tool when used deliberately: you avoid interest, preserve cash flow, and may earn rewards at the same time.
The risks: fees and the cliff when the promo ends
Promotional APRs are temporary. When the period ends, the account reverts to the card's standard APR for new purchases and any remaining balance. If you still carry a balance, interest can start accruing and compound quickly.
Common fees and triggers to watch for:
- Late payment fees and penalty APRs (a missed payment can cancel the intro APR)
- Cash-advance fees and high cash-advance APRs
- Returned-payment or processing fees
- Foreign-transaction fees on some cards
- Annual fees on premium cards
How to use a 0% APR offer safely
- Read the fine print. Know exactly which transactions the 0% APR covers, how long it lasts, and what actions can void it.
- Plan to pay off the balance before the promo ends, or calculate the monthly payment that will fully amortize the balance in that period.
- Factor in balance-transfer fees and annual fees when deciding if the offer saves money 1.
- Avoid new purchases on the card if your issuer applies payments to lower-interest balances first, leaving higher-interest balances to accrue interest after the promo ends.
- Keep payments on time to avoid penalty APRs or loss of the promo rate.
Compare offers and use tools
Shop around. Comparison sites, issuer disclosures, and resources from the Consumer Financial Protection Bureau can help you evaluate offers. Consider total cost (fees + interest after promo), not just the advertised 0% APR.
Bottom line
0% APR credit card offers can be a practical short-term financing tool when you read the terms, plan repayment, and factor in fees. Used without a plan, they can leave you with higher costs once the introductory period ends.
- Confirm typical range for balance-transfer fees (percentage) among major issuers as of 2025.
- Confirm typical promotional APR period ranges currently offered (minimum and maximum months) as of 2025.
- Verify whether over-limit fees remain common or are largely phased out and the current regulatory status.
FAQs about 0 Percent Credit Card
What does 0% APR really cover?
Can the introductory 0% rate disappear?
Are balance transfers free with 0% offers?
How do I avoid getting hit when the promo ends?
Where can I compare 0% offers and find trustworthy info?
News about 0 Percent Credit Card
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Best 0% balance transfer credit cards 2025 - which.co.uk [Visit Site | Read More]