Question 1

Who can qualify for a balance transfer card?

Accepted Answer

Each credit card issuer has its own requirements for balance transfer credit card offers. As with other credit cards, you're more likely to qualify for the most competitive options if you have a good credit score. However, you don't necessarily need excellent credit to qualify for a credit card balance transfer.

Question 2

Does a balance transfer mean you're closing your old account?

Accepted Answer

Balance transfers don't automatically close an account. If you want to close a credit card account after a balance transfer, contact the credit issuer on the original account. However, you may want to keep the card open, as closing cards may increase your credit utilization ratio, which may impact your credit score.

Question 3

Do balance transfers hurt your credit?

Accepted Answer

Balance transfers can positively or negatively impact your credit score depending on your unique circumstances. Credit card issuers typically have to perform a hard credit inquiry to see if you're approved for a balance transfer credit card offer, which could hurt your credit in the short term. However, with responsible use, a credit card balance transfer could improve your credit utilization ratio and help you make monthly payments on time, which are both important factors to positively impact your credit score.

Question 4

Is there a limit to balance transfers?

Accepted Answer

The amount you can transfer depends on the new card's credit limit and the issuer's policy. There may be debts from specific account types that you can't transfer to your new card, and the issuer may limit how much you can transfer based on the credit limit you're approved for.

What is a Balance Transfer Credit Card?

Key Takeaways

See if you’re pre-approved

Did you know?

What Is a Balance Transfer and How Long Does It Take?

Explore the balance transfer credit card offers page

Do Balance Transfers Hurt Your Credit or Affect Your Credit Score?

What Is a 0% Interest Balance Transfer Credit Card?

What is a Balance Transfer Credit Card?

Key Takeaways

See if you’re pre-approved

Did you know?

Curb spending

Maximize the introductory period

Keep old cards

Avoid using old cards

Pay on time