The basic steps for transferring a balance
A balance transfer moves debt from one credit card to another, usually to a card with a lower interest rate. You do not pay off the old card yourself — the new card's issuer pays it for you, and you owe them instead.
The process has four main steps: choose a new card with a balance transfer offer, open the account, tell the new issuer which card to pay off and how much, and wait for the transfer to complete. The whole thing usually takes 5 to 14 days, though the new card's introductory rate (often 0% APR) typically starts on the day you open the account, not when the money arrives.
You will need your old card number, the balance you want to transfer, and the old card's issuer name. Have those ready before you call or apply online.
Key Takeaways
- The new card's issuer pays off your old card directly, so you do not make a payment yourself — you just authorize the transfer amount.
- Balance transfer fees usually run 3% to 5% of the amount transferred and are added to your new balance, so a $5,000 transfer might cost $150 to $250.
- The introductory 0% APR period starts when you open the account, not when the money arrives, so you have a grace window even if the transfer takes two weeks.
- You must pay down the transferred balance during the promotional period, because the regular APR (often 18% to 25%) kicks in when the offer ends.
- Closing the old card after transfer can hurt your credit score, so leaving it open and unused is usually better.
How to request the transfer from the new card issuer
Once your new card account is open, contact the issuer to request the balance transfer. Most large issuers let you do this online through your account dashboard, by phone, or through their mobile app. The online method is usually fastest — you enter the old card number, the amount to transfer, and confirm.
If you call, have your old card and the new card in front of you. The issuer will ask for the old card number, the balance you want to move, and may ask why you are transferring (though this is optional information). They will give you a confirmation number and tell you when to expect the money to reach your old card's issuer.
Some issuers allow you to request the transfer during the application process itself, before your new card arrives. This can speed things up by a few days.
Understanding balance transfer fees and how they work
Nearly all balance transfer offers come with a fee, charged as a percentage of the amount transferred. This fee typically ranges from 3% to 5%, though some cards offer 0% for a limited time (usually the first 60 days after opening the account). A $5,000 transfer at 4% costs $200, which is added to your new balance.
The fee appears on your first statement and is subject to the same interest rate as the transferred balance. If you are moving $5,000 at a 4% fee during a 0% APR period, you owe $5,200 with no interest charges — but only if you pay it off before the promotional rate ends.
Compare the fee against the interest you would pay on the old card. If your old card charges 22% APR and you plan to pay off the balance in six months, the interest alone would be roughly $550 on a $5,000 balance. A 4% transfer fee ($200) saves you money even after accounting for the fee.
What happens to your old card after the transfer
Your old card account stays open unless you close it. The issuer will show a zero balance once the transfer completes, but the account itself remains active. You can still use the card if you want, though most people leave it unused.
Closing the old card can lower your credit score because it reduces your total available credit and shortens your average account age. Keeping it open costs nothing and helps your credit profile, so unless the card has an annual fee you want to avoid, leaving it open is the better choice.
If the old card does have an annual fee, you can call the issuer and ask them to waive it or downgrade you to a no-fee version of the same card. Many issuers will do this to keep the account open.
Timeline: when the transfer completes and when interest starts
The introductory APR period begins the day you open your new account, not the day the transfer arrives at your old card's issuer. This matters because it means you are already in the interest-free window even while the transfer is processing.
The actual transfer of funds typically takes 5 to 14 business days. During this time, your old card issuer receives a payment from the new card issuer, and your old balance drops to zero. Your new card issuer adds that amount to your account as a transferred balance.
If your introductory period is 12 months and the transfer takes 10 days to complete, you still have roughly 12 months from the account opening date to pay down the balance before the regular APR kicks in. Plan your payoff timeline from the account opening date, not from when you see the balance appear on your new card.
Deciding how much to transfer and whether to transfer everything
You do not have to transfer your entire balance. You can move part of it to the new card and leave the rest on the old card. This is useful if you have multiple balances at different rates or if the new card's credit limit is lower than your total debt.
However, transferring only part of your balance means you are still paying interest on the amount left behind. If your old card charges 20% APR and you leave $2,000 there while transferring $3,000, you are still accruing interest on that $2,000. In most cases, transferring as much as you can afford to pay off during the promotional period makes sense.
Check the new card's credit limit before you apply. Some issuers will not approve you for a limit high enough to cover your entire balance, especially if you are new to credit or have a lower income. If that happens, transfer what you can and plan to pay down the old card separately or apply for a second balance transfer card later.
What to avoid when doing a balance transfer
Do not make new purchases on the new card during the promotional period if you can avoid it. Most balance transfer offers only cover the transferred balance — new purchases are charged the regular APR immediately, even if the transferred balance is at 0%. Mixing the two makes it harder to track what you owe and when interest kicks in.
Do not miss a payment on the new card. Missing even one payment can end the promotional rate early and trigger a penalty APR, sometimes as high as 29%. Set up automatic payments for at least the minimum, or better yet, set a calendar reminder to pay down the balance on a fixed schedule.
Do not assume the transfer is complete just because you opened the account. Check your new card's statement or online account after 14 days to confirm the balance appears. If it does not, contact the issuer — delays happen, and you want to know before the promotional period is halfway through.
Frequently Asked Questions
Can I transfer a balance from one card to the same bank's other card?
Most banks do not allow you to transfer a balance between their own cards. However, some issuers make exceptions if the cards are different products (for example, a rewards card to a cash-back card). Call the issuer before applying to ask whether they allow internal transfers.
What if my balance transfer is denied or only partially approved?
If the issuer approves you for a lower credit limit than your requested transfer amount, you can transfer only what fits within that limit. You can then pay down that balance and apply for a second balance transfer card to move more debt, or continue paying the old card at its regular rate.
Does a balance transfer hurt my credit score?
A balance transfer causes a small, temporary dip because it triggers a hard inquiry and opens a new account. However, it can improve your score over time by lowering your credit utilization ratio (the amount of available credit you are using). The net effect is usually positive within a few months.
Can I transfer a balance if I am behind on payments?
Most issuers will not approve a balance transfer if your account is currently delinquent. You would need to bring the old card current first, then apply for the new card and request the transfer.
What happens if I do not pay off the balance before the promotional period ends?
Any remaining balance will be charged the regular APR, which is typically 18% to 25%. Interest accrues daily on the unpaid amount. If you cannot pay it off in time, you can apply for another balance transfer card and move the remaining balance again, though this only works if you have good credit and can may have access to.