# Balance Transfer Question **URL:** \ **Category:** Factual Questions\ **Created:** [June 7, 2003, 5:49pm UTC](https://boards.straightdope.com/t/balance-transfer-question/180310 "2003-06-07T17:49:35Z")\ **Posts on this page:** 6\ **Page:** 1
**Author:** ![Quasimodem](https://avatars.discourse-cdn.com/v4/letter/q/e274bd/32.png) [@Quasimodem](https://boards.straightdope.com/u/Quasimodem)\ **Post date:** [June 7, 2003, 5:49pm UTC](https://boards.straightdope.com/t/balance-transfer-question/180310/1 "2003-06-07T17:49:35Z")
I owe **Fleet** just over 3K with an interest rate that is killing me (16.11%) and **Citibank** just offered me a balance transfer interest rate of 3.5% (for the life of the transfer) and I have about 1900 bucks that I can transfer.( **Citi** charges me 11.15%). This will of course max me out at 4K with **Citi** , but I have decided to put a screeching halt to all credit card purchases, so that I may pay them off before moving back to Germany at some point in the future. My question: is transferring this balance a wise course of action for me and what would you recommend if it isn’t? I have some money in savings (enough to pay off both cards), but that would deplete funds I will need to make a new start in Deutschland. I was going to post this question on **Motley Fool** , but guess what? They’re charging for membership on their discussion boards now and they want me to pay for it on my MC! 😃 (if I joing for only a month, that’s just five bucks, but WTH? I’m trying to get **outta** debt!) Thanks for your advice Q ---
**Author:** ![Moirai](https://avatars.discourse-cdn.com/v4/letter/m/96bed5/32.png) [@Moirai](https://boards.straightdope.com/u/Moirai)\ **Post date:** [June 7, 2003, 7:21pm UTC](https://boards.straightdope.com/t/balance-transfer-question/180310/2 "2003-06-07T19:21:24Z")
I have played the shell game with balances in the past, and i recommend it with some caveats. If you will be able to pay off the balance before the lower rate term expires, then do it. If it never expires, great, but you still have to pay off that balance because you are still paying interest, albeit at a lower rate. I have great credit, so I was sent a bunch of “0% for a year on transfers” cards and did it. It allowed me to get rid of the balance without extra interest payments. ---
**Author:** ![Otto](https://avatars.discourse-cdn.com/v4/letter/o/bbe5ce/32.png) [@Otto](https://boards.straightdope.com/u/Otto)\ **Post date:** [June 7, 2003, 8:27pm UTC](https://boards.straightdope.com/t/balance-transfer-question/180310/3 "2003-06-07T20:27:09Z")
Read the terms and make sure you understand where payments are applied first. generally they’re applied to the lower interest rate first which means you will be carrying anything on the Citi card at the higher rate for longer. Maybe you can pay off the Citi card completely out of savings, then transfer more balance to that card all at the lower rate? ---
**Author:** ![Quasimodem](https://avatars.discourse-cdn.com/v4/letter/q/e274bd/32.png) [@Quasimodem](https://boards.straightdope.com/u/Quasimodem)\ **Post date:** [June 7, 2003, 9:11pm UTC](https://boards.straightdope.com/t/balance-transfer-question/180310/4 "2003-06-07T21:11:21Z")
My credit’s great too. **EJsGirl** , but apparently not great enough to get the 0% for a year offer. On the face of it, (and I’m not a financial whiz, believe me) it looks like I won’t be doing myself that much of a favor. Maybe I’ll just keep chipping away by sending more than the minimum payment due, and when the balances are low enough, wipe them both out out of savings. I’ve already paid off some revolving cards, so I can concentrate more on the bank ones. Good advice on reading the terms, **Otto** I’m pretty sure from reading on **The Fool** that that is the way it’ll turn out. Thanks to both of y’all for answering. Q ---
**Author:** ![commasense](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/commasense/32/3017_2.png) [@commasense](https://boards.straightdope.com/u/commasense)\ **Post date:** [June 7, 2003, 9:37pm UTC](https://boards.straightdope.com/t/balance-transfer-question/180310/5 "2003-06-07T21:37:47Z")
Also, check the fine print of the offer for transfer fees that might offset the benefit of the lower rate of the other card. You might also search the Web for sites that compare credit cards and see if you can do even better. ---
**Author:** ![MaryEFoo](https://avatars.discourse-cdn.com/v4/letter/m/ba8739/32.png) [@MaryEFoo](https://boards.straightdope.com/u/MaryEFoo)\ **Post date:** [June 7, 2003, 9:46pm UTC](https://boards.straightdope.com/t/balance-transfer-question/180310/6 "2003-06-07T21:46:16Z")
Read the terms for all the little fees, they find ways to ding you that you never realized.