Is The Citi Simplicity Worth It?

Citi is an promoting associate.

A stability switch bank card is usually a highly effective instrument that will help you pay down an current stability 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 stability switch APR presents accessible in the present day.

Under, we’ll take a more in-depth take a look at the Citi Simplicity Card’s perks and potential drawbacks.

When is the Citi Simplicity price it?

The Citi Simplicity Card is primarily a stability switch bank card. When you gained’t get high-value, long-term rewards earnings, this card is a good instrument for constructing credit score and paying down debt. That’s why this card might be price getting within the following situations:

In case your foremost objective is paying off bank card debt

The Citi Simplicity is price it when you’ve got high-interest bank card debt that you just need to repay. If you benefit from the 0 % intro APR provide on stability transfers, you’ll have 21 months to pay down debt interest-free (then a variable APR of 19.24 % to 29.99 % applies). Notice, you will need to switch your stability inside the first 4 months of holding the cardboard to qualify for the intro APR provide. A 3 % intro stability 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 % stability switch charge, which involves $150. So your whole stability to repay is $5,150. To utterly repay your stability earlier than the introductory stability switch provide expires, you’ll have to 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 stability on a card with a 20 % APR (that’s concerning the common charge proper now). Even should you pay $246 month-to-month towards the stability, it is going to take you 26 months to repay the debt and also you’ll rack up $1,155 in curiosity fees throughout that point, in accordance with Bankrate’s bank card debt payoff calculator.

If you could repay a big, upcoming buy

The Citi Simplicity might also be price 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 price of kitchen home equipment utilizing your new Citi Simplicity Card. When you pay $250 a month for 12 months, you’ll pay it down in full with out paying a penny in curiosity.

Notice, although, that if paying off a big buy is your foremost objective (as a substitute of a stability 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 provide 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 price it?

For the reason that card’s main profit is its introductory APR provide for stability transfers and new purchases, this card isn’t for everybody. Listed here are some situations the place the Citi Simplicity won’t be price getting:

If paying off debt isn’t in your radar

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

When you’re searching for long-term worth

Though you’ll be hard-pressed to discover a longer intro APR provide for stability 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 stability switch playing cards that characteristic each intro APR presents and ongoing rewards in your spending, so it’s price having a look at a number of the greatest stability switch bank cards in the marketplace to find out if the Citi Simplicity is really the best choice.

For instance, the Citi Double Money® Card presents 2 % money again on all purchases (a limiteless 1 % as you make purchases and one other 1 % again if you repay purchases) and a 0 % intro APR on stability transfers for 18 months (19.24 % to 29.24 % variable APR after; transfers should be made inside the first 4 months to qualify). When you can handle to repay your debt in 18 months fairly than 21 months, the Citi Double Money is a stable possibility to contemplate by way of ongoing worth.

Must you get the Citi Simplicity Card?

You need to actually solely think about getting Citi Simplicity if you wish to benefit from the lengthy intro APR provide and do a stability switch with Citi.

Nevertheless, should you’re trying 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 extra card advantages should you can swing paying off debt in a barely shorter time frame.

The underside line

The Citi Simplicity might help you pay down an current debt stability or a big buy over time, however it doesn’t provide a lot long-term worth. Nonetheless, there are a number of extra advantages to know, together with no annual charge and no late fee charges. Notice, nevertheless, that you just’ll want an excellent to glorious credit score rating (sometimes between 670 and 850) to qualify.