Credit Card Balance Transfer Calculator
Questions about credit card balance transfers?
Many credit card companies offer zero percent or low-interest balance transfers to combine your debt from multiple cards onto one card. This can help you keep track of different payment dates and terms by moving all credit card debt into one place.
To complete the balance transfer, a credit card company will usually offer balance-transfer checks that you use to pay your higher-interest card, which transfers the balance from one card to the other. Some companies may also offer balance transfers online or by phone.
Regardless of the transfer method, you may have to pay a balance transfer fee, which could be a percentage of the amount you are transferring. Whatever promotional rate your credit card company offers you to transfer the balance could be for a limited time. And if you are more than 60 days late on a payment, your interest rates may go up on all of your balances.
Credit card balance transfer is a good option for someone who has a small amount of credit card debt that they know they can tackle in a short amount of time. Card issuers determine who is eligible for a balance transfer, based on things like income and credit scores, before sending you the offer. Generally, the higher your credit score, the more likely it is you’ll be approved. While it's possible to get approved for a balance transfer offer with bad credit, you might pay a much higher APR.
If a credit card balance transfer doesn’t make sense for your situation, there are other options for debt consolidation, such as home equity or personal loans.
Paying off credit card balances can boost your credit scores and allow you to increase your monthly savings or expand your monthly budget for expenses. But if you're unable to pay off your balances all at once, a balance transfer could help you to save money on interest charges. It’s important to try to pay the entire balance transfer off before the promotional interest rate expires to help save money over time.
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