Balance Transfer Cards: How to Use 0% APR to Pay Off Debt

With the average credit card APR at about 19.67% in mid-October 2026, according to Bankrate, carrying a balance is expensive. A balance transfer card can pause that interest while you pay down the principal.

How it works

1. You apply for a new card that offers a 0% introductory APR on balance transfers.
2. If approved, you move your existing balances to the new card.
3. You pay a one-time transfer fee, usually 3% to 5% of the amount transferred.
4. During the intro period, every payment goes toward principal.
5. When the intro period ends, any remaining balance starts accruing interest at the card’s regular rate.

Does the math work?

Example: You owe $6,000 at 22% APR. Moving it to a card with a 3% fee and 18 months at 0% costs $180 upfront. Paying about $343 a month clears it in 18 months. Paying the same $343 a month on the original card at 22% would take about 22 months and cost roughly $1,300 in interest.

Try your own numbers in our debt payoff calculator.

Who qualifies

Balance transfer cards with long 0% periods usually require good to excellent credit, often a FICO score of 670 or higher. Your new credit limit may not be large enough to move your entire balance.

Rules to follow

• Don’t use the new card for purchases unless purchases also get 0%; otherwise payments may go to the 0% balance first while new purchases accrue interest.
• Never miss a payment. A late payment can end your intro rate early.
• Set a payoff target: balance divided by intro months.
• You usually can’t transfer between cards from the same bank.
• Don’t close the old card right away if it has no annual fee; it helps your utilization and credit history.

When to skip it

If you’re likely to run the old card back up, or can’t realistically pay off most of the balance during the intro period, a fixed-rate consolidation loan or a nonprofit debt management plan might be a better fit.