Credit Card Balance Transfer Do’s and Don’ts
Advertising Disclosure is an independent, advertising-supported web site. receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.
Credit Card Applications » Research » Guides » Balance Transfer Cards » Credit Card Balance Transfer Do’s and Don’ts

Credit Card Balance Transfer Do’s and Don’ts

Add to Favorites:
If you are carrying an abundant balance on your credit card that’s racking up the interest charges, chances are that transferring that balance to a different card with no or lower interest it will save you money in the long run. Here are some suggestions about how to best go about finding the best balance transfer card to suit your particular needs. Do Some Reading Pay particular attention to the fine print. Yes, it’s boring, but the most important thing about transferring balances from card to card is to know exactly what you are getting yourself into. Many credit card issuers are rewriting their disclosure agreements to make them less convoluted and easier to understand, so doing your homework will be easier now than ever. If the card you are considering offers a teaser intro APR of no or low interest for a specific period of time, establish a repayment plan to eliminate the debt within the allotted timeframe. Learn what the APR will jump to once the teaser rate period expires, and whether or not there is an annual fee or any additional fees associated with that account. Don’t Be Lazy Be proactive when it comes to choosing a balance transfer card. Don’t just lie back and let the offers come to you – look around online to compare what’s out there. Figure out the features you want – 0% interest, no annual fee, airline miles, cash back rewards – and then look for the card that has the most appealing combination of your desired perks. Do Be Discerning While you may be bombarded with dozens of tempting credit card offers coming at you from all angles – in the mail, on TV, via the internet – don’t go crazy and start applying for cards willy-nilly. Too many credit inquiries will eventually put an impact on your credit score and will most likely drag your score down to the point where you may not qualify at all. Don’t Ditch Your Old Accounts After you shift a balance from one card onto another, you may have the urge to terminate the old account to tidy things up. You should, however, leave it open, even if it has a high APR – just set it aside and don’t use it. Closing accounts does not make them vanish from your credit report, and it is actually better for your credit score the higher the ratio you have of available credit to outstanding balances. It’s especially important to leave that line of credit open if you have had that particular card for a long time. Credit scoring companies look at people with established credit patterns and paying accounts in a timely manner.

Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

How to Get Free Wi-Fi in the Air

By Herbert Moore, Posted: September 28, 2016

Sometimes in-flight Wi-Fi is the bare necessity when you travel abroad or within the country. However not all airlines offer free in-flight Wi-Fi. There is only a couple of airlines that will allow you to use Wi-Fi ... Continue reading

Amazon Credit Cards Review

By Allison Martin, Posted: May 30, 2016

When was launched 20 years ago, few could have envisioned how far the company would come. What was once an online specialty bookstore is now an Internet juggernaut that sells nearly anything and has made major inroads into ... Continue reading

How Much Do Shell Cards Really Save on Gas?

By Allison Martin, Posted: April 20, 2016

There is an endless amount of gas cards on the market, and practically every major gas station, including Shell, has options to choose from. In fact, Shell offers two options for gas cards for consumers. Continue reading