Is There a Limit on Balance Transfers?

How Do Balance Transfers Work?

A balance transfer allows you to move existing debt to a credit card that has a lower interest rate. It's most beneficial when the credit card offers an introductory 0% annual percentage rate (APR) on transferred balances.

When a request to transfer a balance from one credit card to another is approved, your new card issuer will send a payment for the amount to be transferred to the original credit card issuer. You may also be able to use a balance transfer check or transfer a balance to your checking account to pay down cards or other types of debt, like loans. The balance will now appear on your new credit card, plus a balance transfer fee of 3% to 5% of the amount you transferred to the card. The balance will accrue interest based on your balance transfer APR.

It's common to receive a balance transfer offer with a 0% intro APR when you open a new balance transfer credit card. One of your existing card issuers may also periodically grant you a balance transfer offer, though it may not be at that low rate. It's typically not possible to transfer a balance between cards from the same issuer.

Save with an intro 0% APR balance transfer

1Sign up for free

See the best credit card offers you’re more likely to qualify for.

2Choose your balance transfer card

Pick from top balance transfer cards with lengthy intro 0% APR periods on balance transfers.

3Apply with confidence

Apply and pay off high-interest credit card debt at a lower interest rate.

See your offers

What's the Maximum Balance Transfer You Can Do?

The amount of money you can transfer will depend on the credit card issuer's policies and the specific card's terms and conditions.

A major contributor to your maximum balance transfer will be the card's credit limit, which the issuer determines based on your credit history, credit score, income, outstanding debt and other factors. The maximum amount you can transfer may be equal to the card's credit limit, minus any existing balance already on the card and any balance transfer fees.

Alternatively, card issuers may give you a lower balance transfer limit, which could be based on your creditworthiness or the card's policies. Some card issuers also have a general balance transfer limit, such as $15,000 in a 30-day period or 75% of your credit limit on the card.

How Many Balance Transfers Can I Do on One Card?

Generally, there's no limit to the number of balance transfers you can do. But you'll be limited by the maximum amount you can transfer to a single card or within a certain time frame.

For example, while you can transfer several balances to a new balance transfer credit card, you can't transfer more than either the credit limit or the lower balance transfer limit. It's also important to remember that you'll pay a balance transfer fee for each balance you move to the card. Transferring multiple balances will mean paying multiple fees, which will also reduce the amount you can transfer to the card.

What to Do if Your Credit Limit Is Too Low

If you receive a credit limit or balance transfer limit that is too low to allow for the transfer you've planned, consider these options:

• Request a credit limit increase. Start by asking the issuer for a larger credit limit. If any of your circumstances have changed since you first applied for the card—perhaps you've added an income source or paid down debt—let them know. You may also have more success requesting a credit limit increase if your credit score improves.
• Apply for another card. You can also apply for another balance transfer card to make it possible to transfer more debt. Remember that you won't be able to transfer debt from one card to another provided by the same issuer, and credit card applications can lead to a temporary dip in your credit score.
• Transfer only some of your debt. Paying off some debt at a 0% intro APR is better than none. Consider moving just your highest-rate debt to the balance transfer card and choosing a different payoff plan for the rest.
• Look for a card with lower fees. A balance transfer card that charges a 5% balance transfer fee will give you less room for transferred debt than one that charges 3%. If you're right on the edge of maxing out your balance transfer limit, go for the card with the lowest fees possible.

What Credit Score Do You Need for a Balance Transfer?

If you're applying for a new balance transfer card, you typically need a credit score of 670 or higher to get approved for a card with a 0% intro APR offer.

Your credit score can also impact your card's credit limit and balance transfer limit. So, even if you're approved, you might not be able to transfer a large balance if you have bad credit. While you could transfer a debt, pay it down and then transfer another, you may only get the promotional APR for transfers that you complete within a specific period after opening the new card.

Should I Do a Balance Transfer?

A balance transfer could be a good option if you're working to pay down high-interest debt and can qualify for a card with a low APR offer and a high balance transfer limit.

If you have a promotional 0% APR balance transfer offer and can pay off the balance before the promotional period ends, you won't pay any interest on your transferred balances. That could mean a substantial amount of interest savings.

But if you're not able to pay off the transferred amount by the end of the promotional period, the remaining balance will accrue interest based on your standard balance transfer APR, which is often the same as your purchase APR. Consider how realistic it is for you to pay off the transferred balance by the end of the promotional period before moving forward.

Learn more: Pros and Cons of Balance Transfer Cards

Alternatives to a Balance Transfer

There are many effective strategies for paying off debt. If a balance transfer doesn't make sense for you, try these alternatives:

• Debt consolidation: Use a debt consolidation loan, a type of personal loan, to pay off and consolidate debts. While you won't receive a 0% intro APR offer, you might be able to get a lower interest rate, fixed monthly payment and a specific payoff date to look forward to.
• Debt snowball or avalanche method: Rather than taking out new loans or moving your debt around, you could strategically pay off your current accounts. The debt snowball method involves paying off the debt with the lowest balance first, which can be motivating. The debt avalanche strategy is when you pay off the balance with the highest interest rate first, which can save you the most money overall.
• Debt management plan: If you're struggling to budget and afford your monthly bills, consider meeting with a certified nonprofit credit counselor to discuss your options. The counselor may offer to enroll you in a debt management plan (DMP), which can lower your credit cards' interest rates or payments and help you pay off the balances within three to five years. But there are some big drawbacks to a DMP, including the fact that you'll likely have to close the cards you're paying off during this time.

The Bottom Line

A balance transfer can be a savvy way to save on interest while paying off debt. If you're considering a balance transfer card, check your credit scores first to see if you'll qualify, and whether you may encounter challenges getting a high enough credit limit.

You can get free credit score monitoring when you sign up for an Experian account. Experian's card comparison tool can also help you compare balance transfer offers so you can get the best deal.