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NextAdvisor Credit Cards Discover Discover it Balance Transfer Card Review: Middling Introductory Period, but Solid Ongoing Rewards Advertiser Disclosure
Contributing Writer Holly Johnson is a credit card expert and writer who covers rewards and loyalty programs, budgeting, and… September 30, 2022 | 6 Min Read We want to help you make more informed decisions. Some links on this page — clearly marked — may take you to a partner website and may result in us earning a referral commission. For more information, see How We Make Money. This page includes information about Discover products that are not currently available on NextAdvisor and may be out of date. Discover it® Balance Transfer Discover it® Balance Transfer
Rewards rate: Earn 5% cash back on everyday purchases at different places each quarter like grocery stores, restaurants, gas stations, select rideshares and online shopping, up to the quarterly maximum when you activate. Earn 1% unlimited cash back on all other purchases – automatically. NextAdvisor’s TakePros
Cons
The Bottom Line The Discover it Balance Transfer Card is a good balance transfer card option with no annual fee. It doesn’t have the longest intro period, but this card stands out among 0% APR cards for its 5 percent cash back rewards in rotating categories and first-year Cashback Match offer. Additional Card Details
Discover it Balance Transfer Card Full ReviewCard TypeThe Discover it Balance Transfer Card is both a cash back credit card and a balance transfer credit card. It offers 0% APR for a limited time, and you’ll also earn cash rewards for each dollar you spend. Annual FeeThis card doesn’t charge an annual fee. Welcome OfferThe Discover it Balance Transfer Card does not offer a standard cash welcome bonus. Instead, Discover will double all the rewards you have earned at the end of your first year through its Cashback Match program. Introductory OfferNew cardholders can qualify for 0% APR on purchases for six months and balance transfers for 18 months, after which a variable APR of 14.99% to 25.24% applies. This 0% intro APR offer on both new purchases and balance transfers makes this card a good option for debt consolidation or for paying down large purchases. RewardsWith Discover it Balance Transfer, you’ll earn 5% back on up to $1,500 spent in quarterly rotating bonus categories upon activation (then 1% back) and 1% back on all other purchases. The Discover cash back calendar changes each year, but bonus categories usually include everyday spending options like groceries, gas stations, restaurants, wholesale clubs, and more. In 2022, Discover bonus categories include:
FeesDiscover cards are known for being light on fees, and the Discover it Balance Transfer Card is no exception. To start, there’s no annual fee and no foreign transaction fees. If you transfer a balance to this card to pay down debt at 0% APR, you’ll pay a 3% balance transfer fee through May 10, 2022. After that, the balance transfer fee goes up to 5%. A 5% (minimum $10) cash advance fee can also apply. There’s no fee for your first late payment, but subsequent late payments and returned payments can result in a fee up to $41 each time. Other BenefitsThe Discover it Balance Transfer Card doesn’t have a ton of perks beyond its rewards and intro period, but that’s relatively common among 0% APR cards. You can get free Social Security number alerts, access to a free credit monitoring service, your free FICO credit score, and the ability to freeze and unfreeze your card through Discover’s mobile app. Benefits of Discover it Balance Transfer CardIf you want to earn rewards on new purchases over time, and you have a large upcoming purchase or debt to consolidate, the Discover it Balance Transfer Card should be on your radar. There’s also no annual fee, and the initial 3% balance transfer fee is on par with fees charged by other balance transfer cards. Not many 0% APR cards also offer ongoing rewards, so if Discover’s rotating bonus categories fall within your regular spending, this card could make a great option for short-term interest savings and long-term value. Drawbacks of Discover it Balance Transfer CardThe Discover it Balance Transfer Card has a few downsides that could lessen its value, both as a 0% APR card and a cash back card. If you want to consolidate and pay down debt with no annual fee, other balance transfer credit cards let you skip interest for up to 21 months from account opening (for example, the Wells Fargo Reflect® Card). This card has a 0% intro APR for 18 months from account opening on purchases and qualifying balance transfers, with an APR extension for 3 months with on-time minimum payments during the intro period, then 15.99% to 27.99% variable APR. You will likely give up rewards in order to get a 0% intro APR for much longer than 15 months, but this can be a smart move anyway if debt payoff is your primary goal. And while 5% cash back is a great perk, the spending caps can limit your value. You’ll only be able to earn a maximum of $75 in bonus rewards each quarter before that 5% reverts to 1% back on every purchase. It’s also important to make sure your spending aligns with bonus categories — if you don’t typically spend money in upcoming rotating quarterly categories, you won’t get much value from your rewards. How to Use Discover it Balance Transfer CardYou can make best use of the Discover it Balance Transfer Card if you have a plan for how you’ll use it before you apply. If your goal is paying down debt or paying off a large upcoming purchase over the 0% APR introductory period, have a budget in place that ensures you’ll pay your balances in full within 18 months of account opening. Otherwise, you’ll wind up paying off debt at the regular variable rate of 14.99% to 25.99%. Pro TipIf you plan to use the Discover it Balance Transfer Card for debt consolidation, make sure to transfer balances by May 10, 2022 to secure the 3% balance transfer fee. The fee goes up to 5% for transfers after this date. One other thing to keep in mind is how taking advantage of the balance transfer offer may limit your Cashback Match bonus. If you have debt to pay down, it’s best practice to avoid charging more to your card while you pay off debt. However, because the match applies only to rewards you earn in your first year, you may forgo some rewards value in favor of debt consolidation. In the long run, your balance transfer savings will likely outweigh the lost value in rewards — and you shouldn’t prolong debt payoff to earn a welcome bonus — but this is still a detail to consider. To maximize your rewards long-term, remember to track your bonus categories each quarter and “activate” your 5% categories. You can do this by logging into your online account management page, but you must do it manually each time. And after you activate, remember to use your card each time you shop at an eligible 5% back category — at least until you hit the $1,500 bonus category spending limit that applies every three months. Discover it Balance Transfer Card Compared to Other CardsDiscover it® Balance Transfer
Is the Discover it Balance Transfer Card Right for You?The Discover it Balance Transfer Card doesn’t have the longest introductory 0% APR offer on the market, so if a long intro period is your main goal, other cards we consider among the best for balance transfers or 0% APR on new purchases may be better for you. However, unlike many other 0% APR options, this card does offer cash back for your spending in addition to the intro offer, which can add long-term rewards value. Before you apply, consider whether you can realistically pay off your balance within the 15-month intro period. If that’s not a problem, the Discover it Balance Transfer may be the best of both worlds when it comes to debt payoff and ongoing rewards value. Otherwise, there are other cards with longer intro periods that can help you reach your short-term goals more easily. All information about the Discover it Balance Transfer has been collected independently by NextAdvisor and has not been reviewed by the issuer. Frequently Asked Questions (FAQ)Does the Discover it Balance Transfer Card charge foreign transaction fees?The Discover it Balance Transfer Card does not charge foreign transaction fees. How much is the balance transfer fee on the Discover it Balance Transfer Card?The Discover it Balance Transfer Card charges a balance transfer fee of 3% for balances transferred through May 10, 2022. After that, the fee goes up to 5%. What credit score do you need for the Discover it Balance Transfer Card?The Discover it Balance Transfer Card requires good or excellent credit for appoval. How can you redeem rewards from the Discover it Balance Transfer Card?Redeem the rewards you earn with the Discover it Balance Transfer Card for cash back, statement credits, gift cards or purchases made through Amazon.com or PayPal. How hard to get a Discover it balance transfer?You need a credit score of at least 700 to qualify for the Discover it Balance Transfer credit card. That's good credit, but they'll also look at other details from your credit report that may influence your approval odds, such as debt-to-income ratio and recent hard inquiries.
Can I get a Discover card with a 600 credit score?None of the cards have a minimum credit score required for approval. Discover also offers a pre-approval form, so people can see whether they would be approved for a credit card and what APR they would receive before they apply.
Can I get a Discover card with a 550 credit score?WalletHub, Financial Company
A 700+ credit score is needed to get most Discover credit cards, but there's no minimum credit score needed for a few Discover cards. You can get the Discover it® Secured Credit Card with a bad credit score (below 640).
What FICO score do you need to qualify for a Discover it card?Once you know your credit score, you'll know whether or not it's worth applying for the Discover it Cash Back credit card. Remember, Discover is looking for people who have established good credit, so you're going to need a FICO credit score of 670 or higher.
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Credit score needed for discover it balance transfer card
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