The Best Low-Interest Credit Cards for Balance Transfers

If you’re struggling with high-interest credit card debt, you’re not alone. Many Americans face the burden of interest rates that can make paying off balances seem impossible. That’s where balance transfer credit cards come in. These cards offer a way to transfer your debt from a high-interest card to one with a low or 0% introductory APR, which can help you save money and pay off your debt faster.

Let’s dive into the best low-interest credit cards for balance transfers, exploring how they work, what to look for when choosing a card, and the top options available right now.

What is a Balance Transfer Credit Card?

A balance transfer credit card allows you to transfer debt from an existing credit card to a new card, usually offering a lower interest rate, sometimes even 0% for a limited time. This gives you an opportunity to pay off your debt without accruing high-interest charges.

These cards typically offer an introductory 0% APR for a period, such as 12, 18, or even 21 months. This means you can pay off your balance without worrying about interest building up during the introductory period. After that, the standard APR applies, so it’s crucial to pay off the balance before the intro period ends to avoid hefty interest charges.

Why Use a Balance Transfer Credit Card?

There are several reasons why someone might opt for a balance transfer:

  • Save on Interest: The main benefit of a balance transfer credit card is saving on interest payments. If you’re carrying a balance on a high-interest card, the fees can quickly snowball. By transferring your balance to a card with a 0% APR, you get breathing room to focus on reducing the principal.
  • Simplify Payments: Managing multiple credit card payments can be confusing and stressful. A balance transfer consolidates your debt into one payment, making it easier to stay on top of.
  • Pay Off Debt Faster: The lower interest rate means more of your payment goes toward the actual balance, allowing you to pay it off faster.

Factors to Consider When Choosing a Balance Transfer Card

When selecting the best balance transfer credit card, there are a few factors you need to keep in mind:

  • Introductory APR Period: Look for cards that offer the longest 0% APR period. Ideally, you want a card that gives you at least 12 to 18 months to pay off your debt before interest kicks in.
  • Balance Transfer Fee: Many cards charge a fee for balance transfers, typically around 3% to 5% of the transferred amount. This fee can add up, so make sure to factor it into your decision.
  • Standard APR After Introductory Period: After the introductory APR period ends, the standard interest rate will apply. Compare this rate across different cards to ensure you’re getting the best deal.
  • Credit Score Requirements: Some of the best balance transfer cards require a good to excellent credit score. If your credit score is lower, you may still qualify for a card, but you might not get the best rate.

Top Low-Interest Balance Transfer Credit Cards

Here’s a breakdown of some of the best balance transfer credit cards currently available, based on their low-interest rates, introductory offers, and fees.

1. Chase Slate Edge℠ Credit Card

  • Introductory APR: 0% for the first 18 months on balance transfers
  • Balance Transfer Fee: 5% (or $5, whichever is greater)
  • Standard APR: 19.24% – 27.99% (Variable)
  • Why It’s Great: Chase Slate Edge offers a long 0% APR period on balance transfers, making it ideal for those looking to pay off debt over time without interest accumulating. Additionally, there’s no annual fee, which is always a plus.

2. Citi® Diamond Preferred® Card

  • Introductory APR: 0% for the first 18 months on balance transfers
  • Balance Transfer Fee: 5% or $5 (whichever is greater)
  • Standard APR: 18.24% – 28.99% (Variable)
  • Why It’s Great: Citi® Diamond Preferred® is perfect for people who want a long 0% APR period on balance transfers. The card also comes with no annual fee and offers access to the Citi® Easy Deals program, providing discounts on dining, entertainment, and more.

3. Discover it® Balance Transfer

  • Introductory APR: 0% for the first 18 months on balance transfers
  • Balance Transfer Fee: 3%
  • Standard APR: 17.24% – 28.24% (Variable)
  • Why It’s Great: This card offers a lower balance transfer fee of just 3%, making it a great option if you’re transferring a larger balance. Plus, you can earn cashback rewards on purchases, which is a rare bonus for a balance transfer card.

4. Wells Fargo Reflect® Card

  • Introductory APR: 0% for the first 18 months on balance transfers
  • Balance Transfer Fee: 3% for 120 days from account opening, then 5%
  • Standard APR: 17.74% – 29.99% (Variable)
  • Why It’s Great: The Wells Fargo Reflect® Card offers a long 0% APR period, and it has one of the lowest balance transfer fees available in the first few months. Plus, it offers a generous 18-month 0% APR period on purchases, which is a bonus if you’re also planning on making new purchases.

5. U.S. Bank Visa® Platinum Card

  • Introductory APR: 0% for the first 20 billing cycles on balance transfers
  • Balance Transfer Fee: 3% for the first 60 days, then 5%
  • Standard APR: 17.24% – 26.24% (Variable)
  • Why It’s Great: If you want the longest 0% APR period, U.S. Bank Visa® Platinum Card offers a whopping 20-month introductory period. This makes it the perfect card for those with larger balances to transfer who need more time to pay off their debt.

6. BankAmericard® Credit Card

  • Introductory APR: 0% for the first 18 billing cycles on balance transfers
  • Balance Transfer Fee: 3% for the first 60 days, then 5%
  • Standard APR: 17.99% – 27.99% (Variable)
  • Why It’s Great: The BankAmericard® Credit Card provides an excellent introductory period with no annual fee, plus the added benefit of a reliable customer service team. It’s a solid choice for those wanting to save on interest for longer periods.

How to Maximize Your Savings with Balance Transfers

While a balance transfer credit card can save you a lot of money on interest, there are a few tips you should follow to maximize your savings:

  1. Pay Off Your Debt Before the Introductory Period Ends: The biggest mistake people make is not paying off their balance before the 0% APR period expires. If you still have a balance left after the intro period, the standard APR kicks in, and interest starts piling up again.
  2. Avoid New Purchases on the Balance Transfer Card: It might be tempting to use your balance transfer card for new purchases, but this can accumulate high interest that cancels out the benefits of the balance transfer. Stick to paying off your existing balance instead.
  3. Plan for the Transfer Fee: The balance transfer fee can add up, so be sure to factor it into your decision. While it may seem like a small percentage, it can make a difference, especially if you’re transferring a large balance.
  4. Make Larger Payments: If you can afford it, try to pay more than the minimum payment to get rid of your debt faster. The longer you take, the more interest you’ll end up paying once the intro period ends.

Conclusion

Choosing the best low-interest credit card for a balance transfer can be a game-changer in your journey to pay off debt. Cards like the Chase Slate Edge and the Discover it® Balance Transfer offer great introductory periods and reasonable fees. However, it’s crucial to carefully review the terms and conditions to ensure you’re making the right choice for your financial situation.

By taking advantage of the 0% APR period, paying down your debt aggressively, and avoiding new purchases, you can reduce your financial stress and set yourself on a path toward a debt-free future.