The basic steps for transferring a balance

To transfer a balance, you open a new card (usually one with a 0% introductory rate), contact that card's issuer, and provide the account number and balance amount of the card you want to pay off. The new card's issuer then sends a check or electronic transfer directly to your old card's bank, paying down that balance. You stop using the old card, and the new card's issuer reports the paid-off balance to the credit bureaus.

The entire process typically takes 5 to 14 business days from the time you request the transfer until the funds arrive at your old card's bank. During that window, interest continues to accrue on your old card, so the final payoff amount may be slightly higher than what you requested. Most issuers charge a balance transfer fee — usually 3% to 5% of the amount transferred — which is added to your new card's balance.

You do not need to close the old card after the balance is paid off, though many people do. Keeping it open (unused) can help your credit score because it preserves your available credit and your account history.

Key Takeaways

  • The new card's issuer handles the transfer directly to your old card's bank, so you do not need to make a payment yourself.
  • Balance transfer fees range from 3% to 5% of the transferred amount and are added to your new card's balance on day one.
  • The transfer takes 5 to 14 business days, during which interest still accrues on your old card, so request the transfer as soon as you open the new card.
  • The 0% introductory period on the new card typically lasts 6 to 21 months depending on the card and issuer, so calculate whether you can pay off the balance before interest kicks in.

When to request the transfer after opening your new card

Request the transfer as soon as your new card arrives and you have activated it. The sooner you transfer, the sooner interest stops accruing on your old card. If you wait even a few days, you will owe more in interest charges on the old card.

Some issuers let you request a balance transfer before your physical card arrives — you can do this through their website or mobile app using your new account number. Check your welcome materials or log into your account to see if this option is available. Starting the transfer early can save you a week of interest.

What information you need to provide

You will need the account number of the card you are paying off, the current balance (or the amount you want to transfer if it is less than the full balance), and the name and address associated with that old account. Have your old card or a recent statement in front of you when you call or go online.

Some issuers also ask for the phone number of your old card's bank so they can verify the account. If you are transferring a balance from a card issued by the same bank (for example, transferring from one Chase card to another Chase card), the process is usually faster because the issuer already has your information on file.

How the 0% introductory period works

The 0% rate applies only to the balance you transfer, not to new purchases you make on the card. If you make a purchase after the transfer, that purchase typically carries the card's regular interest rate (usually 15% to 25%), and you will be charged interest on it immediately — there is no grace period for new purchases.

The 0% period lasts for a set number of months (commonly 6, 12, 18, or 21 months depending on the card). After that period ends, any remaining balance on the transferred amount is charged the card's regular interest rate. If you have not paid off the full transferred balance by the end of the 0% period, you will owe interest on whatever remains.

Calculate your monthly payment before you transfer. If you transferred $5,000 and have 12 months at 0%, you need to pay at least $417 per month to clear the balance before interest begins. Many people underestimate how much they need to pay each month and end up carrying a balance into the interest-bearing period.

Balance transfer fees and how they affect your payoff plan

The balance transfer fee is charged immediately and added to your new card's balance. If you transfer $5,000 with a 4% fee, you will owe $5,200 on the new card from day one. This means your actual payoff amount is higher than the balance you transferred.

Factor the fee into your payoff calculation. Using the $5,000 example with a 4% fee and a 12-month 0% period: you owe $5,200 total, so you need to pay $433 per month to avoid interest charges. If you can only afford $400 per month, you will carry a balance into the interest-bearing period and owe interest on the remainder.

Some cards offer 0% balance transfer fees for a limited time (usually the first 60 days after opening the account). If you are considering a transfer, check whether the card you are interested in has this promotion — it can save you hundreds of dollars on a large balance.

What happens to your old card after the transfer

Once the transfer is complete and your old card's balance is paid off, that card shows a $0 balance. You can leave the account open or close it. Closing it will lower your total available credit, which can hurt your credit score slightly. Leaving it open costs nothing and preserves your credit history, so most financial advisors recommend keeping it open even if you never use it again.

If you do close the old card, do so after the new card's 0% period ends and you have confirmed the balance transfer was successful. Closing a card immediately after a balance transfer can sometimes trigger fraud alerts or cause the issuer to review your account.

How a balance transfer affects your credit score

A balance transfer will temporarily lower your credit score by a few points because the new card application triggers a hard inquiry and adds a new account to your credit report. However, as you pay down the transferred balance, your credit utilization ratio (the percentage of your available credit that you are using) will improve, which will raise your score over time.

If you close your old card after the transfer, your score may dip again because you are reducing your total available credit. This is another reason to keep the old card open — it maintains your available credit and helps your utilization ratio stay low.

Frequently Asked Questions

Can I transfer a balance to a card from the same bank?

Yes, but some banks do not allow you to transfer a balance between their own cards. Check with your bank before opening a new card. If they do allow it, the transfer usually processes faster because the bank already has your information.

What if I cannot pay off the balance before the 0% period ends?

Any remaining balance will be charged the card's regular interest rate after the 0% period expires. You can then transfer that remaining balance to another 0% card if you want to avoid interest, though you will pay another balance transfer fee. This strategy works only if you can find cards with 0% offers repeatedly, which becomes harder over time.

Do I need to close my old card before requesting the transfer?

No. You can request a balance transfer while the old card is still active and open. The issuer will transfer the funds directly to that card's bank and pay down the balance. You can close the old card later if you choose.

Can I transfer a balance from a store credit card?

Yes, most balance transfer cards accept transfers from store cards, but the process is the same — you provide the store card's account number and the issuer handles the transfer. Store card balances often carry higher interest rates, so transferring them to a 0% card can save significant money.

What if the balance transfer is denied?

The issuer may deny a transfer if the amount exceeds your credit limit, if the old card is in default, or if there are fraud concerns. Contact the issuer to ask why the transfer was denied. If it is a credit limit issue, you can request a credit limit increase or transfer a smaller amount.