The Discover it® Balance Transfer is a top choice for anyone who wants to earn terrific rewards while paying off credit card debt. But it's the card’s welcome offer and affordability that push it to the front of the line.
Rewards: Unique long-term value for a balance transfer card
The Discover it® Balance Transfer shares the same rotating category structure as the Discover it® Cash Back. You’ll earn 5 percent cash back on your first $1,500 in spending each quarter in the card’s rotating bonus categories (activation required) and 1 percent back after that. All other purchases earn 1 percent cash back.
It’s hard to find another balance transfer card that offers such a generous rewards program. Though you’ll only earn a top rewards rate on your first $1,500 in purchases each quarter and must activate categories — which can limit your earning potential — being able to earn rewards while paying down debt is a rare perk.
Welcome offer: Terrific potential for big spenders
It's also hard to find a balance transfer card with a first-year welcome bonus. Discover will match all cash back you earn at the end of your first year, which means you can essentially double all your first-year rewards.
Depending on how much you spend, this could end up being more valuable than the welcome offers available on other no-annual-fee cards, which typically offer sign-up bonuses of around $200.
Affordability: Light on fees
If you’re eager to keep card costs low or sometimes have trouble staying on top of your payments, having some extra wiggle room with fees will be helpful. WIth the Discover it® Balance Transfer, you won’t pay an annual fee, penalty APR or a late fee on your first late payment (up to $41 after that). However, keep in mind that missing a payment at any time will still have a negative impact on your credit.
The card is also an excellent choice if you travel abroad since it charges no foreign transaction fees.