When moving debt to a new card can save money, what the transfer fee costs, and when the math does not work.
A balance transfer moves debt from one card to another, often to take advantage of a low promotional rate. The CFPB notes there is usually a fee, either a percentage of the amount or a fixed amount, whichever is more. So the savings depend on the fee, the promotional rate and how quickly you can pay.
APR is the yearly price of borrowing on a credit card. Learn the different types, how issuers turn APR into a daily charge, and how the grace period can spare you from paying it.
Read MoreCredit utilization is the share of your available revolving credit that you are using. Learn how to calculate it, what the 30% guideline really means, and how to lower it.
Read MoreUse the balance transfer calculator to compare the fee and promotional interest with what you would pay on your current card. Issuers set eligibility and transfer limits, so an offer is not guaranteed to cover your full balance. See also our balance transfer guides.
