Will a Balance Transfer Hurt My Credit Score? - NerdWallet

Applying for a new credit card to transfer your balance will result in a hard inquiry on your credit report. A hard inquiry will shave a few points off your score initially, and it will stay on your credit report for up to two years. Opening a new card also affects the length of credit history. A new card can reduce the average age of … See more

CouponFollow Extension

$5000
OFF

How Does A Balance Transfer Affect Your Credit Score?

1 week from now

Apr 15, 2024 · If you get a balance transfer card with a $5,000 credit limit and move those two …

experian.com

0%
OFF

NerdWallet's Credit Card Balance Transfer Mistakes To Avoid

1 week from now

Nov 1, 2024 · The ideal balance transfer credit card should have no annual be a 0% …

tucson.com

3%
OFF

Balance Transfers: Benefits, Drawbacks And Alternatives

1 week from now

Nov 2, 2023 · Balance transfer fee. With most cards, a fee of 3% to 5% of the amount …

nerdwallet.com

$5
OFF

How To Choose A Balance Transfer Credit Card - Bankrate

1 week from now

Jun 20, 2024 · A 5-percent balance transfer fee (minimum $5) applies. The Citi Double Cash® …

bankrate.com

3%
OFF

Credit Card Balance Transfer Calculator - NerdWallet

1 week from now

Sep 25, 2024 · Balance transfer fee. This fee will typically be 3% to 5% of the amount …

nerdwallet.com

FAQs about Will a Balance Transfer Hurt My Credit Score? - NerdWallet Coupon?

Can a balance transfer credit card hurt your credit score?

With many balance transfer credit cards, you can tackle your principal balance without paying interest for a year or longer. Not only can a balance transfer save you money, it can also make it possible to pay off your debt more quickly. But getting a balance transfer card and moving your debt can hurt your credit score, even if only temporarily. ...

What happens if you move a balance transfer card?

If you get a balance transfer card with a $5,000 credit limit and move those two card balances to it, your total credit limit rises to $9,000 and your total utilization drops to 28%. That's under the 30% maximum credit utilization rate that experts recommend—and significantly lower than the 63% you had previously, which could help your scores. ...

Do Balance transfer blunders hurt your credit?

But beyond some of the unavoidable drops related to applying for and then using a balance transfer card, you can hurt your credit further when you don’t use the card responsibly or fail to stick to a payoff plan. Avoid these balance transfer blunders to keep it from hurting your credit score more: ...

Do Balance transfers work if you have bad credit?

Balance transfers may work well for people who have good credit, typically meaning a FICO score of 670 or higher, who are likely to qualify for a 0% APR promotional credit card offer. If you have bad credit, you almost certainly won’t get approved for a balance transfer card, and will instead need to examine ways to rebuild your credit. ...

Can a balance transfer card improve your credit score?

However, getting approved for a new balance transfer card can lower your overall credit utilization ratio, which can help improve your score over time. In the long term, using a balance transfer card responsibly, coupled with carrying out a debt repayment plan, can help improve your score further. ...

Is a balance transfer credit card worth it?

"With a balance transfer, you have to do the math to make sure that balance transfer fee is worth it. If it saves you money compared with the interest you’d to pay with your current credit card over time, it can be a useful tool for paying down debt aggressively. Have a strategy in place when using a balance transfer credit card. ...