Is The Citi Simplicity Worth It?

Citi is an promoting companion.

A steadiness switch bank card could be a highly effective device that can assist you pay down an present steadiness whereas avoiding curiosity for a restricted time. Whereas these intro presents sometimes vary from 12 to 18 months, you’ll discover that the Citi Simplicity® Card trumps that with one of many longest intro steadiness switch APR presents out there right this moment.

Under, we’ll take a better have 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 steadiness switch bank card. Whilst you received’t get high-value, long-term rewards earnings, this card is a good device for constructing credit score and paying down debt. That’s why this card may very well be value getting within the following eventualities:

In case your principal purpose is paying off bank card debt

The Citi Simplicity is value it in case you have high-interest bank card debt that you simply need to repay. Once you make the most of the 0 % intro APR supply on steadiness transfers, you’ll have 21 months to pay down debt interest-free (then a variable APR of 19.24 % to 29.99 % applies). Be aware, you should switch your steadiness throughout the first 4 months of holding the cardboard to qualify for the intro APR supply. A 3 % intro steadiness 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 % steadiness switch charge, which involves $150. So your whole steadiness to repay is $5,150. To utterly repay your steadiness earlier than the introductory steadiness switch supply expires, you’ll must 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 steadiness on a card with a 20 % APR (that’s in regards to the common price proper now). Even for those who pay $246 month-to-month towards the steadiness, it is going to take you 26 months to repay the debt and also you’ll rack up $1,155 in curiosity expenses throughout that point, in line 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. Should you pay $250 a month for 12 months, you’ll pay it down in full with out paying a penny in curiosity.

Be aware, although, that if paying off a big buy is your principal purpose (as a substitute of a steadiness switch), there are playing cards which have longer intro APR presents on new purchases. For instance, the Financial institution of America® Limitless Money Rewards bank card presents a 0 % intro APR for 15 billing cycles on purchases. After the intro APR supply 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 supply for steadiness transfers and new purchases, this card isn’t for everybody. Listed here are some eventualities the place the Citi Simplicity won’t be value getting:

If paying off debt isn’t in your radar

The Citi Simplicity Card isn’t value holding for those who don’t want a protracted intro APR supply since this card doesn’t boast too many different advantages. There’s no rewards program, so that you received’t earn factors, money again or miles once you use it for purchases, and there’s additionally no welcome bonus. However you additionally received’t tackle an annual charge or late cost charges, that are perks value mentioning.

Should you’re on the lookout for long-term worth

Though you’ll be hard-pressed to discover a longer intro APR supply for steadiness transfers, chances are you’ll not discover as a lot worth with this card when you’ve paid off debt or a big buy. There are many different steadiness switch playing cards that function each intro APR presents and ongoing rewards in your spending, so it’s value looking at a number of the greatest steadiness switch bank cards available on the market to find out if the Citi Simplicity is actually your only option.

For instance, the Citi Double Money® Card presents 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 steadiness transfers for 18 months (19.24 % to 29.24 % variable APR after; transfers should be made throughout the first 4 months to qualify). Should you can handle to repay your debt in 18 months fairly than 21 months, the Citi Double Money is a strong choice to contemplate 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 make the most of the lengthy intro APR supply and do a steadiness switch with Citi.

Nonetheless, for those who’re seeking to earn rewards in your purchases, there are higher choices to contemplate. A wide range of bank cards include each ongoing rewards and intro APR presents, and there’s no sense sacrificing further card advantages for those who can swing paying off debt in a barely shorter time frame.

The underside line

The Citi Simplicity will help you pay down an present debt steadiness or a big buy over time, nevertheless it doesn’t supply 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. Be aware, nevertheless, that you simply’ll want a superb to glorious credit score rating (sometimes between 670 and 850) to qualify.