The Discover it® Balance Transfer card is a great pick if you're tackling debt or want rewards. It works if you need a lengthy 0% introductory APR period to reduce or eliminate your existing balance from a non-Discover card. It’s an excellent choice if your financial situation allows you to take advantage of its cash back rewards offer while paying down your transferred balance.
Discover it® Balance Transfer Review: Solid Transfer Period, Unique Cash Back Program
Updated: November 30, 2024
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NOTE
This card is no longer available. If you're looking for a balance transfer card, check our list of the Best Balance Transfer Credit Cards. The top options include Wells Fargo Reflect® and Citi Simplicity .
MoneyGeek’s Take
Discover it® Balance Transfer Card
On Issuer's Site
Balance Transfer Offer
0% intro APR for 15 months from date of account op...Balance Transfer Fee
3% for each balance transfer, minimum $5Annual Fee
$0Recommended Credit
670-850 (Good to Excellent)Moneygeek.com credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.
Discover it® Balance Transfer Overview
The Discover it® Balance Transfer card shines with its generous 18-month 0% APR introductory offer for balance transfers, appealing to those looking to manage existing debt. Coupled with no annual fee, this card is a cost-effective choice.
In the first year, you can enjoy a unique perk: double cash back, which can be particularly lucrative. The card's rotating 5% cash back categories offer the chance to earn significant rewards in various spending areas. Note that these spending areas need to be activated every quarter.
On the other hand, the six-month introductory APR on purchases may be less attractive for those planning new expenditures. This card is a strong contender for balance transfers, but other cards might be more suitable for those who also want to make new purchases interest-free.
MORE>> MoneyGeek’s Best Balance Transfer Cards
Discover it® Balance Transfer Card Details
To help you determine if the Discover it® Balance Transfer card is right for you, review its details below.
Details | Description |
|---|---|
Card Type | Balance Transfer |
Annual Fee | $0 |
Introductory Offer | Cashback Match™: Discover will match all the cash back you earn at the end of your first year |
Introductory APR | 0% rate for 18 months on balance transfers can help you save on interest; 0% rate for six months on purchases allows for interest-free new purchases in the short term |
Rewards | 5% cash back on rotating categories each quarter upon activation, up to the quarterly maximum; unlimited 1% cash back on all other purchases |
Regular APR | From18.74% to 28.74% (Variable) |
Penalty APR | None |
Balance Transfer Fees | 3% intro fee on transfers by February 10, 2025, then 5% thereafter |
Late Fees | No fee the first time; up to $41 subsequently |
Foreign Transaction Fee | None |
Other Perks | Privacy protection, flexible cash back bonus redemption and non-expiring rewards |
Why You Might Want This Card
The Discover it® Balance Transfer card offers a generous introductory APR period and valuable cash back rewards, all without an annual fee. Here's why it might be the right choice for you:
Introductory APR Period
The 18-month 0% APR on balance transfers gives you ample time to pay down debt without accruing interest.
No Annual Fee
Keep your costs down with no annual fee, ensuring that every payment goes towards reducing your balance.
Introductory Offer: Cashback Match™
At the end of your first year, Discover will double the cash back you've earned. This introductory offer can provide a significant return on your purchases if managed wisely.
Why You Might Want a Different Card
The Discover it® Balance Transfer card has its perks, but here are a few considerations.
Shorter Purchase APR Term
The six-month 0% introductory APR on purchases is half a year shorter than the average intro period for comparable cards, potentially rushing your repayment strategy. Among the other balance transfer cards we've reviewed, Wells Fargo Reflect® is an alternative card that offers a longer purchase and balance transfer 0% APR period.
Harder to Maximize Rewards
To earn 5% cash back in rotating categories, you must remember to activate them every three months. A comparable balance transfer card with simpler cash rewards is the Citi Double Cash® card.
Higher Post-Intro Balance Transfer Fee
After the introductory period, the balance transfer fee increases to 5%. If you miss the initial window, transferring a balance later could cost you more.
How to Get the Most From Your Discover it® Balance Transfer Card
Here are reminders to get the most from your Discover it® Balance Transfer card:
Capitalize on the intro APR
The 0% APR on balance transfers for 18 months is an excellent window to reduce debt. Strategize to clear your balance before the standard APR kicks in.
Set reminders to activate your rewards
Don't miss out on 5% cash back by setting reminders to activate your rewards categories. You can preview the categories for each quarter the month before the quarter starts.
Cash back is a bonus to your debt reduction plan
Don’t let the rotating categories or the promise of cash back take you off track. The $20 you might spend on a new purchase may earn you up to $1.00 in rewards (5%). But, if you use it to pay down your transferred balance, you’ll get between $3.44 and $5.65 in avoided interest payments (depending on the APR you get).
By focusing on these strategies, you'll be on the road to your financial happy place.
How Discover it® Balance Transfer Compares
The Discover it® Balance Transfer card is a competitive and attractive choice because of its introductory balance transfer offer and no annual fees. However, we also compare it to two other balance transfer cards to help you determine if it matches your financial goals and needs.
Discover it® Balance Transfer vs. Wells Fargo Reflect®
Both the Discover it® Balance Transfer and Wells Fargo Reflect® cards offer a $0 annual fee and 0% APR. Discover gives up to 5% cash back, ideal for reward-seekers. However, Wells Fargo provides a longer, 21-month 0% APR for purchases and balance transfers, making it better for large purchases or balance transfers.
Discover it® Balance Transfer vs. Citi Double Cash®
The Discover it® Balance Transfer and Citi Double Cash® cards offer 18-month 0% APR on balance transfers. Discover provides 5% cash back on rotating categories and a first-year cash back match. Citi offers 2% on all purchases and 5% on some travel expenses, along with a $200 bonus. Choose Discover for rotating rewards and Citi for consistent cash back.
All Discover it Balance Transfer Card Comparisons
How We Evaluated the Discover it® Balance Transfer Card
Our assessment of the Discover it® Balance Transfer card involved a thorough comparison with 23 other cards in its category. We focused on key features such as the length of the APR introductory periods, ongoing interest rates, reward structures and associated fees.
About Doug Milnes, CFA
Doug Milnes is a CFA charter holder with over 10 years of experience in corporate finance and the Head of Credit Cards at MoneyGeek. Formerly, he performed valuations for Duff and Phelps and financial planning and analysis for various companies. His analysis has been cited by U.S. News and World Report, The Hill, the Los Angeles Times, The New York Times and many other outlets.
Milnes holds a master’s degree in data science from Northwestern University. He geeks out on helping people feel on top of their credit card use, from managing debt to optimizing rewards.
sources
- Discover Bank. "Discover® 5% Cash Back Calendar." Accessed September 19, 2024.
*Rates, fees or bonuses may vary or include specific stipulations. The content on this page is accurate as of the posting/last updated date; however, some of the offers mentioned may have expired. We recommend visiting the card issuer’s website for the most up-to-date information available.
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Editorial Disclosure: Opinions, reviews, analyses and recommendations are the author’s alone and have not been reviewed, endorsed or approved by any bank, credit card issuer, hotel, airline, or other entity. Learn more about our editorial policies and expert editorial team.
Advertiser Disclosure: MoneyGeek has partnered with CardRatings.com and CreditCards.com for our coverage of credit card products. MoneyGeek, CardRatings and CreditCards.com may receive a commission from card issuers. To ensure thorough comparisons and reviews, MoneyGeek features products from both paid partners and unaffiliated card issuers that are not paid partners.