Balance Transfer

A balance transfer moves debt from one credit card to another offering a low or 0% promotional rate, typically for 12–21 months, for a fee of 3–5% of the amount. Done properly it's one of the cheapest ways to clear card debt, because every payment attacks principal. Done carelessly it's a trap: the promotional rate ends, any remaining balance reverts to the standard rate, and new purchases on the card may not share the promotion at all.