The content is accurate at the time of publication and is subject to change.

News: Multiple Balance Transfers: Should You Make Them? - Credit-Land.com

Many use credit card balance transfers to reduce or eliminate their debt at low to no interest. When used wisely, balance transfer credit cards can be effective tools, even if you make multiple transfers.

Since promotional 0% interest rates don't last forever, you may want to make several transfers to pay off your debt. Multiple transfers might be possible from several cards to one card, or from several cards to several cards. Or you can transfer a balance multiple times util it's fully paid off.

When you transfer debt from several cards to one credit card with 0% promotional rate on balance transfers, you are basically restricted by the amount of credit available on that balance transfer credit card. Plus, don't forget to include balance transfer fees that can be somewhere between 3% to 5% of the transferred amount.

If you apply for several new balance transfer credit cards at the same time, your borrowing power is limited by your creditworthiness and credit score. Plus, you may not get approved for all cards you applied for, or starting credit limits on your new credit cards may be lower than you expected.

It is also possible to repeatedly transfer balances. That is when the promotional period on your existing card ends, you can transfer the remaining balance to another 0% intro APR card. While this move is feasible, it's rather risky. You'll need to maintain a good credit score to qualify for a series of introductory APR cards, which are usually offered to consumers with good to excellent credit. Furthermore, you should be disciplined in making all minimum payments on time on all your credit accounts.

While transferring a credit card balance multiple times is risky, it can help reduce the costs of paying off debt. Just make sure you are careful and do not tun it into a financial disaster. If you are not confident in your ability to manage your finances, you may be better off considering other options to consolidate your debt. For example, personal loans may offer good terms that will help you streamline your monthly payments and pay off your debt at a comfortable pace.

tags : Balance Transfers Credit Cards Debt Consolidation

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.