Once the 0% balance transfer ends, the regular balance transfer interest rate will go into effect on the unpaid portion of the balance transfer. You'll continue to be charged interest each month until the balance is paid off.
A balance transfer can hurt your credit score by increasing your single-card utilization, lowering your length of credit history and adding a hard inquiry to your credit report. But it can also boost your score by increasing your overall card utilization, and it can help you pay off debt faster.
Sure, you can transfer the debt again -- assuming you're able to qualify for another balance transfer card -- but you aren't doing much to become debt-free. Continuing to move debt from one balance transfer card to another could become costly if you pay balance transfer fees each time.
Balance transfers won't hurt your credit score directly, but applying for a new card could affect your credit in both good and bad ways.
No, a balance transfer does not cancel a credit card. You are not required to close the account once a balance transfer is complete, either. It may actually be a good idea to keep your old credit card account open, even if you don't plan on using it.
You can potentially extend a 0% APR on a credit card by calling the credit card company and asking them if they can extend the promotion.
You can generally transfer balances from as many cards as you like, as long as you stay within the new card's credit limit. This sounds like a no-brainer, but keep in mind that most balance transfer offers involve a fee for moving the balance from your old card.
But in general, a balance transfer is the most valuable choice if you need months to pay off high-interest debt and have good enough credit to qualify for a card with a 0% introductory APR on balance transfers. Such a card could save you plenty on interest, giving you an edge when paying off your balances.
Here's when to do a balance transfer: Your credit is good or excellent: A credit score of 700+ is typically required to get a balance transfer credit card with a 0% APR.
In theory, there's no limit to the number of separate credit and store cards you can transfer over. But in practice, you're limited by the credit limit on the card. There will usually be a time limit for transferring balances though.
If you overpay your credit card balance, the payment will result in a negative account balance, which means the credit card company will owe you money. The next time you make a purchase with the credit card, the amount you overpaid will count toward it.
If you currently have several different credit cards, all with an outstanding balance on them, then it is possible, and indeed quite common, to apply for a balance transfer credit card and make multiple balance transfers on to this new credit card. The process for making multiple balance transfers is quite simple.
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