Updated April 2026 · Interactive Calculator

Balance Transfer vs. Minimum Payments Calculator: Is a 0% Transfer Worth It?

A 0% balance transfer card can eliminate interest charges for 12–21 months. But there’s a transfer fee of 3–5%. Enter your numbers to see whether the transfer makes financial sense for your specific balance.

Enter Your Details
Stay on Current Card
Months to pay off
2 yr 10 mo
Total interest
$1,750
Total paid
$6,750
0% Balance Transfer
Transfer fee
$150
Total interest cost
$288
Total paid
$5,288
Balance transfer saves you $1,462 in interest.
Why the break-even almost always favours the transfer:

3% transfer fee on $5,000 = $150. At 22% APR, you pay $91.67 in interest in the first month alone. The $150 transfer fee is paid back in under 2 months of avoided interest. For any balance where you’ll be paying for 3+ months, the transfer almost certainly wins.

When a Balance Transfer Doesn’t Make Sense

Your current APR is already very low (under 8–10%)
The interest savings may not exceed the transfer fee
You can pay off the balance within 1–2 months anyway
The transfer fee costs more than a month or two of interest
You can't qualify for a 0% card
Fair/damaged credit may limit access to the best intro offers
You'll spend on the new card too
Mixing new purchases with transferred balances complicates payoff tracking

Credit Score Impact of a Balance Transfer

Short-term (0–3 months)
  • Hard inquiry: −5 to −10 points
  • New account average age drops
Medium-term (6–12 months)
  • Higher total credit limit → lower utilisation
  • Balance falling → utilisation improves
  • Net effect: typically neutral to positive
Ready to See Today’s Best 0% Balance Transfer Cards?

Offers change frequently. The cards with the longest 0% periods and lowest transfer fees are on this dedicated comparison page.

Best Balance Transfer Cards →Cards for Fair Credit →

Frequently Asked Questions

Full Minimum Payment Calculator →5 Payoff Strategies →