The Citi Diamond Preferred is best if you carry a balance and want a long 0% intro period, but it has no rewards and costs nothing only if you pay off the card each month
The Citi Diamond Preferred Card is a no-annual-fee card designed around one feature: a 0% introductory APR on balance transfers and purchases for the first 21 months (as of the most recent terms). After that period ends, a standard variable APR applies. It has no cash back, no points, and no travel perks. The card makes sense if you are moving debt from another card and need time to pay it down without interest charges. It makes less sense if you pay your full balance monthly or if you want rewards.
The real question is not whether the card is "good" in general, but whether it solves your specific problem. If that problem is a high-interest balance you need breathing room to pay off, this card can save you hundreds in interest. If your problem is earning rewards on everyday spending, this card does nothing for you.
Key Takeaways
- The 21-month 0% intro period on balance transfers and purchases is the card's only major feature; after that, you pay standard APR like any other card.
- There is no annual fee, but you only benefit from that if you actually use the card and pay no interest — otherwise the fee is irrelevant.
- The card offers no cash back, points, or travel benefits, so it is not a card to use for everyday spending once the intro period ends.
- Balance transfer fees typically run 3% to 5% of the amount transferred, which you should calculate into your payoff plan.
- This card works best as a temporary tool for debt consolidation, not as a long-term everyday card.
How the 0% intro period actually works
The 0% APR applies to both balance transfers (moving debt from another card) and new purchases made during the first 21 months. This means if you transfer a $5,000 balance from a card charging 18% APR, you pay no interest on that $5,000 for 21 months — as long as you do not miss a payment. A single late payment can end the promotional rate and jump you to the standard APR when ready.
The catch is the balance transfer fee. Citi charges 3% of the amount transferred, with a minimum fee of $5. On a $5,000 transfer, that is $150 added to your balance before you even start paying it down. You need to factor this into whether the card actually saves you money. If you are moving debt from a 20% APR card and can pay off the balance in 12 months, the 3% fee plus zero interest is still cheaper than paying 20% interest for a year.
After the 21 months end, any remaining balance moves to the standard variable APR, which varies by creditworthiness but typically ranges from 15% to 25%. This is why the card is a tool for a specific goal — paying down debt in a set timeframe — not a permanent card to keep balances on.
When this card makes financial sense
The Citi Diamond Preferred works if you have a concrete payoff plan. Say you owe $8,000 on a card at 19% APR. Over 21 months, you would pay roughly $2,600 in interest if you made equal monthly payments. With the Citi card, you pay $240 in transfer fees (3% of $8,000) and zero interest if you pay the balance off within 21 months. You save over $2,300.
The card also makes sense if you are consolidating multiple high-interest balances into one place. Instead of juggling three cards at different rates, you move everything to the Citi card, get one monthly payment, and focus on paying down the principal. The psychological benefit of a single bill can be as valuable as the interest savings.
The card does not make sense if you cannot commit to a payoff timeline. If you transfer $5,000 and then spend another $3,000 on the card during the intro period, you now have $8,000 to pay off in 21 months — roughly $380 per month. If you cannot hit that number, you will owe interest on the remaining balance at a high rate. The card assumes discipline; it does not create it.
What you give up by choosing this card
Unlike most modern credit cards, the Citi Diamond Preferred offers no rewards. No cash back on groceries, no points on travel, no bonus categories. If you use this card for everyday spending after you pay off the balance transfer, you earn nothing. A card like the Chase Freedom Unlimited or Citi Double Cash would earn 1.5% to 2% cash back on the same purchases.
The card also has no travel benefits — no travel insurance, no airport lounge access, no rental car protection. If travel rewards or protections matter to you, this is not the card to keep long-term.
For most people, the Citi Diamond Preferred is a temporary card. You use it to move a balance, pay it down aggressively for 21 months, and then either close it or stop using it. You would not build your credit card strategy around it.
How your credit score is affected
Opening a new card will temporarily lower your credit score by a few points because of the hard inquiry and the new account. However, the Citi Diamond Preferred can actually help your score over time if you use it correctly. When you transfer a balance, your utilization on the old card drops (you owe less on it), which improves your score. Your utilization on the new Citi card starts at whatever you transferred, but as you pay it down, that utilization drops too.
The key is not to close the card when ready after paying off the balance. Closing it removes available credit from your profile and can hurt your score. Instead, keep it open with a zero balance. This maintains your available credit and shows lenders you can manage multiple accounts responsibly.
Comparing this card to other balance transfer options
Other cards offer similar or longer 0% periods. The Citi Simplicity Card offers 21 months 0% on balance transfers with a 3% fee, identical to the Diamond Preferred. The Chase Slate Edge offers 21 months 0% on balance transfers with no transfer fee — a significant advantage if you are moving a large balance. The American Express EveryDay offers 15 months 0% on balance transfers with a 3% fee.
The choice between these cards often comes down to which issuer you already bank with and whether you want to keep the card after the intro period. If you think you might use the card for everyday spending later, a card with even modest rewards (1% cash back) is better than the Diamond Preferred's zero rewards. If you are certain you will close it or never use it again, the Diamond Preferred is fine — the rewards do not matter.
The real cost of missing the important date
If you do not pay off the balance before the 21 months end, the remaining balance moves to the standard variable APR. On a $3,000 remaining balance at 20% APR, you would pay $600 per year in interest alone. This is why the card requires a payoff plan before you explore. If you are not confident you can pay off the balance in 21 months, this card is not the right tool.
Some people set a phone reminder for month 19 to check their balance and make sure they are on track. Others set up automatic payments to hit a specific payoff date. The card does not do this for you — you have to manage the timeline yourself.
Frequently Asked Questions
Can I use the 0% period on new purchases, or just balance transfers?
Both. New purchases made during the first 21 months also get 0% APR. However, most people use this card specifically for balance transfers, not everyday spending. If you are using it for new purchases, you should have a plan to pay those off within 21 months as well, or you will owe interest.
What happens if I miss a payment?
A single late payment can end the 0% promotional rate and move your balance to the standard APR when ready. This is why setting up automatic payments is critical. Even a payment that is a few days late can trigger this penalty.
Should I close the card after I pay off the balance?
No. Closing it removes available credit from your credit profile and can lower your score. Keep it open with a zero balance. You do not have to use it, but keeping it open helps your credit utilization ratio and shows responsible account management.
Is the 3% balance transfer fee worth it compared to other cards?
It depends on the APR you are moving away from. If you are moving a balance from a 20% APR card and can pay it off in 12 months, the 3% fee saves you money compared to paying interest. If you are moving a balance from a 10% APR card, the fee might not be worth it. Calculate the interest you would pay on your current card versus the 3% fee on the Citi card to decide.
Can I transfer balances from multiple cards to this one?
Yes. You can transfer balances from multiple cards to the Citi Diamond Preferred, and all of them get the same 21-month 0% period. Each transfer incurs the 3% fee, so a $5,000 transfer from one card and a $3,000 transfer from another costs you $240 total in fees.