Citi Simplicity is a no-frills credit card that comes with a lot of nice features. It is not a rewards card so there is no opportunity to earn cash back or points. It does, however, offer one of the best introductory APRs on the credit card market today making it a solid choice for anyone wanting to transfer an existing high-interest credit card balance or purchase a big-ticket item while avoiding expensive finance charges.
New cardholders can take advantage of the 0% introductory APR offer which is currently available on purchases and balance transfers for the first 21 months that your account is active. After this time, your APR will be between 12.99% and 22.99% depending on your creditworthiness at the time of approval. Annual percentage rates are variable and based on the Prime Rate. All balance transfers must be completed and post to your account within four months from the date your account is opened in order to qualify for this promotional offer. Additionally, each balance transfer is subject to a transfer fee of $5 or 3% of the total amount of the transfer (whichever is greater). This fee is not waived during the promotional period.
Other benefits of Citi Simplicity are:
- No late fees. Other cards typically charge $35+.
- No penalty rate. Most cards apply a penalty APR of at least 29% if you ever make a late payment, miss a payment altogether, or go over your credit limit.
- No annual fee. There is no cost to use this card.
- Free FICO score access. This feature is available via your online account and allows you to track your FICO score and keep a watchful eye on your finances.
Members also enjoy these additional benefits from Citi:
- Automatic Account Alerts – Once you set up alerts, Citi will remind you about your balance levels, payments due, or when you’ve exceeded your credit limit. Alerts are available via email or directly on your mobile phone.
- Citi Price Rewind – If the same item you purchased on your Citi Simplicity card is found at a lower price at any retailers’ sites within 60 days from the date of purchase, you can be refunded the difference in price up to $300 per item. Annual refund amount is capped at $1,200.
- 24/7 Customer Service – Customer service representatives are available 24 hours a day, 365 days a year to answer any questions you may have regarding your Citi account. This service also includes technical assistance.
- Travel and Emergency Assistance – Services are available 24/7 for emergency travel arrangements including medical and legal referrals and unexpected travel issues.
- EMV Chip Technology – Citi Simplicity comes with smart chip technology. Enjoy global acceptance and enhanced security when you use your card at merchants that have chip-enabled terminals.
Members are charged a foreign transaction fee of 3% on all purchases made on the card while traveling outside of the U.S.
Even though this card does not charge late fees or apply a penalty APR when a payment is missed, Citi Simplicity does charge cardholders a returned payment fee of up to $35 per item.
The Facts
Below we have broken down the facts of the Citi Simplicity card to help you determine if it’s the right card for you.
The Good:
0% Introductory APR:
Members can take advantage of one of the most generous introductory APR offers on the market today. Approved new cardholders enjoy a 0% APR on purchases and balance transfers for the first 21 months that your account is open. After this time, your specific APR will be a variable rate of 12.99% to 22.99% (based on the Prime Rate) depending on your creditworthiness. There is a balance transfer fee of $5 or 3% of the total amount of each transfer (whichever is greater) applied to any transfers (not waived). Important: Balance transfers must be completed and post to your account within four months from the date your account is opened to qualify for the promotional rate.
Since this introductory rate applies to both purchases and balance transfers, it provides a great opportunity to move an existing high-interest credit card balance or purchase a big-ticket item. In either case, you have almost two years to fully pay off your debt (balance transfer or purchase) without incurring a single cent of interest charges. This could mean big savings for you.
No late fees:
Members are not charged late fees with Citi Simplicity. Most other credit cards charge an average late payment fee of $35.
No penalty rate:
This is a rare benefit. Most cards apply a penalty APR rate of at least 29% when you make a late payment or go over your credit limit.
Additional Citi benefits:
Members also enjoy these additional benefits from Citi:
- Automatic Account Alerts
- Citi Price Rewind
- 24/7 Customer Service
- Travel and Emergency Assistance
- EMV Chip Technology
No annual fee:
There is no annual fee associated with this card.
The Bad:
Balance transfer fee not waived:
There is a balance transfer fee of $5 or 3% of the total amount of the transfer (whichever is greater) applied to all balance transfers. This fee is not waived during the introductory APR time period.
Wide range of APRs:
Once the introductory APR ends after 21 months, your specific APR will be a variable rate of 12.99% to 22.99% depending on your credit history and other factors. The high end of this range is fairly steep and could result in costly interest charges over time.
Foreign transaction fees:
Members are charged a 3% foreign transaction fee on all purchases made on the card while traveling internationally. This is really a nuisance fee since many cards have done away with them. If you frequently travel overseas, your costs could add up.
The Ugly:
No rewards:
This card has no rewards program so whatever purchases you make will not earn you cash back or points.
The most attractive feature of Citi Simplicity is the 0% introductory APR on purchases and balance transfers. At a generous 21 months, it is one of the best deals available for people who want to transfer existing credit card debt or make a big purchase without incurring any interest charges for nearly two years. There are also no late fees or penalty interest rates associated with this card which makes it a good choice for people who are looking to get out of debt sooner rather than later. It really is a straight-forward and uncomplicated credit card – hence the name Simplicity.