Balance transfer

Moving debt from one credit card to another, usually to get a low or 0% introductory rate.

A balance transfer moves what you owe on one card to a different card, often one offering 0% APR for an introductory period such as 12 to 21 months.

It usually costs a transfer fee, often 3% to 5% of the amount moved. It saves money if you pay the balance off, or most of it, before the intro rate ends. After that, the regular APR applies to whatever is left.

It works best with a plan: divide the balance by the number of intro months to see what you need to pay each month, and avoid adding new purchases to the card.