Low Interest Rate Credit Cards Comparison: Chase Bank vs Bank of America. Which is Suitable For You?

We all want low-interest rates charged in our credit cards for paying less from our earnings. Nowadays, competition in getting more borrowers becomes fierce among financial institutions. Today we will compare credit cards of two prominent banks: Chase Bank and Bank of America. They are always on the top 10 lists of the largest banks in the U.S. Both have plenty of credit cards offered on their official sites. We chose their low-interest rate credit cards since most consumers always wish they would pay the lowest interests.

Chase Freedom Unlimited vs BankAmericard – Which is Better?

APR for Purchases

0% intro APR is in both credit cards which have 15 billing months. Annual Percentage Rates (APR) of Chase Freedom Unlimited start from 16.99% then reach up to 25.74% depending on creditworthiness. But BankAmericard’s APR start from 14.99% and reach a maximum of 24.99%. Here, Bank of America’s credit card has 2% lower APR obviously.

APR for Balance Transfers

Both have the same 0% intro APR that have 15 billing cycles right after the account is open. Then APR become the same as in APR for purchases.

APR for Cash Advances

Maximum of 26.99% is in both cards which have APR that vary based on the Prime Rate (5.25% as of 8/6/2019).

How to Avoid Paying Interest on Purchases

Chase Freedom Unlimited has at least 21 days after the close of each billing cycle. Chase Bank does not charge any interest if the borrower pays the full balance by the due date. The start charging interest on balance transfers and cash advances on the transaction date.

On the contrary, BankAmericard’s due date is a minimum of 25 days after the close of each billing cycle.

Minimum Interest Charge

Bank of America charges no less than $1.5 but Chase Bank does not.

Annual Membership Fee

You don’t need to worry about annual fees if you have either Chase Freedom Unlimited or BankAmericard.

Balance Transfer Fee

Chase Bank charges intro fee of either $5 or 3% of the amount of each transfer, whichever is greater, on transfers made within 60 days of account opening but Bank of America charges no entry fee. After 60 days, Chase Bank charges either $5 or 5% of the amount of each transfer, whichever is greater. In contrast, Bank of America charges either $10 or 5% of the amount of each transaction, whichever is greater.

Cash Advance Fee

Bank of America charges either $10 or 3% of the amount of each transaction, whichever is greater. On the other hand, Chase Bank’s cash advance fees are either $10 or 5% of the amount of each transaction, whichever is greater.

Foreign Transactions

For each foreign transaction, borrowers pay 3% of the amount in U.S dollars in both credit cards.

Penalty Fees

For late payments, customers of both cards pay up to $39. However, in return payment fee in Chase Freedom Unlimited is maximum $39 and BankAmericard’s is up to $28.

Wrapping Up

BankAmericard is better in the due date, balance transfer fees, cash advance fees, and charges a minimum interest rate. It is up to you which credit card you pick. Sometimes low-interest rate credit cards have bad customer service.

Please note that information is provided from sources as of 9/21/2019. Interest rates and fees may change at any time.

Sources: Bank of America & Chase Bank

Asan Abdiev

CEO and Editor in Chief. Living in the era of dynamic tech change Asan decided to stay tuned in changes that make any person find comfort and adapt to new devices. Furthermore, gaming became his passion for spending leisure time with his close ones. Although, he has a degree in Business Administration writing for technology has been one of the precious aspects of his life

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