Balance Transfer Calculator
Calculate how much you'll save by transferring your credit card balance to a 0% APR card.
Current Card
Balance Transfer Card
Total Savings with Balance Transfer
$3,233
Pay off 11 months sooner
Keep Current Card
Balance Transfer
Warning: $2,840 remaining when promo ends
You won't pay off the full balance during the 18-month promo period. The remaining balance will accrue interest at 22.99% APR.
Balance Over Time
| Month | Current Card Balance | Transfer Card Balance |
|---|---|---|
| 3 | $7,591 | $7,340 |
| 6 | $7,157 | $6,440 |
| 9 | $6,694 | $5,540 |
| 12 | $6,203 | $4,640 |
| 15 | $5,679 | $3,740 |
| 18 (promo ends) | $5,123 | $2,840 |
| 21 | $4,531 | $2,089 |
| 24 | $3,901 | $1,294 |
| 27 | $3,231 | $453 |
Strategy Tips
- To pay off during the promo period, you'd need to pay $458/month.
This calculator provides estimates for comparison. Actual costs depend on card terms, payment timing, and whether you make additional charges.
How Balance Transfers Work
A balance transfer moves existing credit card debt from a high-interest card to a new card with a 0% introductory APR — typically lasting 12-21 months. During the promo period, every dollar you pay goes toward principal instead of interest. The catch: most cards charge a 3-5% transfer fee upfront. The math only works if the interest savings exceed the fee, which they usually do for balances you can pay off within the promo period.
Balance Transfer Savings by Debt Amount
Assuming 24.99% current APR, 0% for 18 months, 3% transfer fee:
| Balance | Transfer Fee | Interest Saved | Net Savings | Monthly Payment to Pay Off |
|---|---|---|---|---|
| $3,000 | $90 | $590 | $500 | $172/mo |
| $5,000 | $150 | $1,030 | $880 | $286/mo |
| $8,000 | $240 | $1,720 | $1,480 | $458/mo |
| $12,000 | $360 | $2,680 | $2,320 | $687/mo |
| $15,000 | $450 | $3,440 | $2,990 | $858/mo |
Balance Transfer vs Other Debt Strategies
| Strategy | Best For | Typical Rate | Drawback |
|---|---|---|---|
| Balance transfer (0% APR) | Good credit, payable in 12-21 months | 0% for 12-21 months | 3-5% fee, high rate after promo |
| Personal loan | Large debt, need fixed payments | 8-15% fixed | Higher rate than 0%, origination fee |
| Debt consolidation | Multiple debts, simplify payments | 7-20% | May extend payoff timeline |
| Debt avalanche (current cards) | No fee, disciplined approach | Your current rates | Slower, more interest paid |
| Home equity loan | Homeowners with equity | 6-9% fixed | Your home is collateral |
Common Balance Transfer Mistakes
The biggest mistake: transferring a balance and then not paying it off during the promo period. The post-promo APR (often 22-29%) kicks in on the remaining balance, sometimes retroactively. Second mistake: using the old card for new purchases, adding more debt while trying to pay off the transfer. Third mistake: not accounting for the transfer fee — on a small balance, the 3% fee may eat most of your savings.
Frequently Asked Questions
Does a balance transfer hurt your credit score?
Short-term, applying for a new card creates a hard inquiry (5-10 point dip). But opening a new card increases your total credit limit, which lowers your utilization ratio — the most impactful credit score factor. Most people see their score recover or improve within 2-3 months. Don't close the old card after transferring; the available credit helps your utilization ratio.
Can I transfer a balance to an existing card?
Some card issuers offer balance transfer promotions on existing cards, but 0% intro rates are almost exclusively for new card applications. Check your card issuer's offers — they sometimes send promotional rate offers to existing cardholders, though the terms are usually less favorable than new-card offers.
What credit score do I need for a balance transfer card?
Most 0% APR balance transfer cards require good to excellent credit (670+). The best offers — 0% for 18-21 months with low fees — typically require 720+ scores. If your score is below 670, a personal loan at 10-15% may be a better option than continuing to pay 25%+ on credit cards.
See also: Credit Card Payoff Calculator and Debt Payoff Planner.