Credit card balance transfers allow credit card account holders to move their unpaid balance from one card to another, potentially saving money on interest.
Many credit cards offer promotional interest rates on balance transfers, many as low as 0% APR (annual percentage rate). Transferring a balance to one of these cards can help you pay down your debt without accruing additional interest—but you likely may also pay a fee for making the initial transfer.
Get all the facts and do the math to find out whether a balance transfer is right for you. Once you understand the requirements and purpose of a balance transfer, find a Citi credit card with a balance transfer offer that meets your needs.
Each credit card with a balance transfer offer will have a balance transfer limit based on your credit line and other factors: this is the maximum amount you can move from another card to the new card.
You can transfer balances from multiple cards, provided they do not exceed the limit.
While you can transfer balances from different credit cards to one eligible card, typically there will be a fee assessed for each balance you transfer.
There are two main costs associated with balance transfers: interest on unpaid balances and new purchases and fees.
Typically, credit cards have different APRs for purchases and balance transfers.
If you complete a balance transfer without a 0% introductory offer on new purchases, you will not be able to avoid paying interest on those purchases unless you pay your entire balance in full by the due date. Before you begin putting new charges on a balance transfer credit card, be sure to read the terms and conditions to understand the consequences of making new purchases.
Once you have selected either an existing credit card or a new credit card to transfer your existing debt to, you will need to arrange the transfer with your balance transfer credit card issuer, who will need details about the account you are transferring funds from.
Some balance transfer credit cards will allow you to complete this transaction online.
By understanding your financial situation, shopping around for available cards, and sticking to a repayment plan, you can maximize the value of a balance transfer.
With this knowledge in hand, find credit cards with balance transfer offers with the most attractive terms and get ready to apply.
Check out Citi's balance transfer credit cards to see if any of Citi's balance transfer offers are right for your situation.
Disclosure: This article is for educational purposes. It is not intended to provide legal, investment, or financial advice and is not a substitute for professional advice. It does not indicate the availability of any Citi product or service. For advice about your specific circumstances, you should consult a qualified professional.
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