Many people find that a balance transfer credit card allows them to improve their financial situation in a number of ways.

With this, you can transfer high interest credit card debt to a card with a zero percent introductory rate (such as for 12 or 18 months). This provides an opportunity to pay down the debt without having to contend with interest.

While there is no denying the many benefits of a balance transfer credit card, here are some mistakes you need to avoid at all costs:

  • Going with the first offer you come across. Even if you are in a hurry to transfer your balance, you don’t want to make a quick decision that could work against you over the long run. There are hundreds of balance transfer credit card offers, so take your time as you compare the pros and cons of each one.
  • Ignoring the fee. Transferring a balance is never free. Instead, you will pay a percentage of the balance, typically in the one to three percent range. Are you comfortable with this? Does it still make sense to move forward?
  • Not realizing that the introductory rate expires. It would be ideal if the zero percent rate stayed in place until your balance was paid off. Unfortunately, this isn’t the way a balance transfer credit card works. Once the introductory period comes to an end, your balance is then subject to a higher rate.

There is no denying the fact that you could get caught up in one or more of these balance transfer mistakes. However, now that you are aware of these, you should be able to adjust your approach as to make informed decisions.

Have you made these balance transfer mistakes in the past? What steps did you personally take to prevent these errors from standing in your way? Share your thoughts in the comment section below.


Having trouble finding a balance transfer card? We would love to show you more balance transfers, however banks control which cards are allowed on certain pages. We recommend that you view balance transfer credit cards at CreditWeb for more options.

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