By : Mr Credit Card

Providian Visa Platinum Review

Summary - The Providian Visa® Platinum Card is a no -frills credit card with no annual fee. The APR ranges from prime rate plus 1.99% to 11.99%, which means you can get a low ap if you have very good credit. There is also an introductory 0% APR for the first 12 months from account opening on balance transfers. Find out more about this card....

Fees - The Providian Visa Platinum has no annual fee. The apr ranges from prime rate plus 1.99% to 11.99%. Hence, if you have excellent credit, you could get a very low apr. New cardholders get a 0% apr for balance transfers for 12 billing cycles. Cardholders also get a grace period of 25 days versus the usual 20 days for most cards. However, the 2-cycle average daily balance method (including new purchase) is used to calculate monthly balances.

Other Benefits - Providian Visa Platinum cardholder will be able to access their FICO scores online, get some "money saving discounts", and automatic credit line reviews.

Verdict - While the Providian Visa has a good 0% apr deal on balance transfers and a low apr for those who have good credit, the fact that it uses the 2-cycle average daily balance method to calculate monthly balance should make potential applicants think before they apply. If you intend to transfer a balance, take advantage of the 0% offer and then gradually pay off your credit card debt, the 2-cycle method will result in a slightly higher monthly balance compared to a card which uses the regular average daily balance method. Those who carry irregular balance will be better off with a card that uses the regular average daily balance method as well.

In light of this, those who are looking for a balance transfer credit card should consider a card like the Citi® Platinum Select® Card. It is a better alternative to the Providian Visa for the following reasons.

1. You get a 0% apr for both purchases and balance transfers for 12 months. That means you can still use the card during the introductory offer.
2. The balance transfer deal is flexible. You are allowed 12 months to make your first transfer and and 12 month 0% apr starts from the date of transfer and not account opening date.
3. Citi uses the average daily balance method and not the 2-cycle method.

Positives

• No annual fee
• Low apr if you have good credit
• 0% apr on balance transfers for 12 months


Negatives

• Uses the 2-cycle average daily balance method (including new purchases) for calculating monthly balances.
• Have to pay balance transfer fee even during the introductory period.