How To Use The Wells Fargo Active Cash For A Balance Transfer

by -91 Views

The Wells Fargo Active Cash® Card has a lot going on for it. It offers double cash rewards on purchases, charges no annual fee and comes with some solid intro offers. One of them is a balance transfer offer, which can be incredibly helpful if you’re working on paying off credit card debt.

CNBC Select explains how balance transfers work on the Wells Fargo Active Cash, what to keep in mind before you complete the transfer — and what to do after.

Guide to Wells Fargo Active Cash balance transfers

How balance transfers work on the Wells Fargo Active Cash

Wells Fargo Active Cash® Card

On Wells Fargo’s secure site

  • Rewards

    Unlimited 2% cash rewards on purchases

  • Welcome bonus

    Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months

  • Annual fee

  • Intro APR

    0% intro APR for 15 months from account opening on purchases and qualifying balance transfers; balance transfers made within 120 days qualify for the intro rate

  • Regular APR

    20.24%, 25.24%, or 29.99% Variable APR on purchases and balance transfers

  • Balance transfer fee

    3% intro for 120 days from account opening then BT fee of up to 5%, min: $5

  • Foreign transaction fee

  • Credit needed

Pros

  • Unlimited cash rewards
  • $200 cash rewards welcome bonus
  • No annual fee
  • Introductory APR period for first 15 months
  • Access to Visa Signature® Concierge
  • Get up to $600 cell phone protection (subject to a $25 deductible)

Cons

  • 3% fee charged on foreign transactions

The Wells Fargo Active Cash offers a 0% intro APR for 15 months from account opening on purchases and qualifying balance transfers. After that, you’ll pay a variable APR of 20.24%, 25.24% or 29.99%. You need to make the transfer within 120 days from account opening to qualify for the intro rate. During this period, you can also qualify for the intro balance transfer fee of either $5 or 3% of the transferred amount (whichever is greater). The regular balance transfer fee on the card is 5% (with a minimum of $5).

Note that your balance transfer won’t earn you rewards. The Wells Fargo Active Cash offers 2% cash rewards on purchases, but balance transfers are considered a different transaction category.

Still, this is a generous offer. For example, let’s say you want to transfer a $1,000 balance from a card with a 20% APR. If you pay $75 per month, you’ll pay it off in 15 months, losing $138 to interest. But if you transfer the balance to the Wells Fargo Active Cash, you’ll pay it off in under 14 months if you make the same monthly payment. Moreover, you’ll save $108 after subtracting the 3% balance transfer fee.

But if you have a higher credit card balance, 15 months might not be enough time to pay it all off. If that’s the case, consider applying for a different balance transfer card. For example, Wells Fargo also offers the Wells Fargo Reflect® Card that gives you 0% intro APR for 21 months from account opening on purchases and qualifying balance transfers (18.24%, 24.74% or 29.99% variable APR thereafter, see rates and fees). There’s an intro balance transfer fee of 5% for each balance transfer, with a minimum of $5 completed within 120 days from account opening qualify for the introductory rate.The card has a $0 annual fee.

Wells Fargo Active Cash® Card

On Wells Fargo’s secure site

  • Rewards

    Unlimited 2% cash rewards on purchases

  • Welcome bonus

    Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months

  • Annual fee

  • Intro APR

    0% intro APR for 15 months from account opening on purchases and qualifying balance transfers; balance transfers made within 120 days qualify for the intro rate

  • Regular APR

    20.24%, 25.24%, or 29.99% Variable APR on purchases and balance transfers

  • Balance transfer fee

    3% intro for 120 days from account opening then BT fee of up to 5%, min: $5

  • Foreign transaction fee

  • Credit needed

The Citi Simplicity® Card is another excellent option. Similarly, it provides 0% Intro APR for 21 months on balance transfers from the date of the first transfer. There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. After that, the issuer will charge a variable APR of 19.24% to 29.99%. This card also has a $0 annual fee.

Citi Simplicity® Card

  • Rewards

  • Welcome bonus

  • Annual fee

  • Intro APR

    0% Intro APR for 21 months on balance transfers from date of first transfer and 0% Intro APR for 12 months on purchases from date of account opening.

  • Regular APR

  • Balance transfer fee

    There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. After that, a balance transfer fee of 5% of each transfer ($5 minimum) applies.

  • Foreign transaction fee

  • Credit needed

How to transfer a balance to the Wells Fargo Active Cash

What to do after you transfer the balance

LendingClub High-Yield Savings

LendingClub Bank, N.A., Member FDIC

  • Annual Percentage Yield (APY)

  • Minimum balance

    No minimum balance requirement after $100.00 to open the account

  • Monthly fee

  • Maximum transactions

  • Excessive transactions fee

  • Overdraft fees

  • Offer checking account?

  • Offer ATM card?

Subscribe to the CNBC Select Newsletter!

Money matters — so make the most of it. Get expert tips, strategies, news and everything else you need to maximize your money, right to your inbox. Sign up here.

Bottom line

The Wells Fargo Active Cash can be an excellent choice for your balance transfer. Besides a generous intro offer, the card provides ongoing value through cash-back rewards. Still, make sure to do the math to see if the offer is a good match for you — and don’t forget to consider other cards too.

Why trust CNBC Select?

Editorial Note: Opinions, analyses, reviews or recommendations expressed in this article are those of the Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.



Sumber: www.cnbc.com

No More Posts Available.

No more pages to load.