Balance Transfer Calculator
Balance transfer fee vs kept interest with break even months.
What it does
Balance transfers trade interest for a fee. A few percent upfront can beat months of high APR, but only when the debt clears inside the window.
The tool above prices both paths. Five thousand dollars at a 3 % fee costs $150.00 to move against $1,249.50 of kept interest over a year, breaking even in 1.4 months.
Fees set the hurdle. Three percent is common, five percent needs longer payoffs, and zero fee promos win almost always.
Break even guides the call. Debts clearing well past 1.4 months favor the transfer, while debts paid next month barely cover the fee.
Promos punish slips. Late payments can void zero rates, and new purchases on transfer cards accrue at full APR.
How to use
- Enter balance.
- Enter transfer fee percent.
- Enter current APR.
- Enter months to compare.
- Read transfer cost first.
- Read keep cost and break even.
Formula
- balance
- Card balance to move.
- fee
- Upfront transfer fee, in percent.
- APR
- Current card APR, in percent.
- months
- Months to compare.
Keep cost assumes flat balance for comparison. Real minimums amortize slower with more interest.
Worked example
Example: $5,000 at 3 % fee
Defaults: $5,000 balance, 3 % fee, 24.99 % APR, 12 months. These are also the default values, so the page opens on this answer.
- Balance: $5,000.
- Fee: 3 %, so 5000 x 0.03 = $150.00.
- Keep: 5000 x 0.2499 x 12/12 = $1,249.50 at 24.99 % APR.
- Break even: 3 x 12 / 24.99 = 1.4 months.
- Tool shows $150.00 transfer cost, $1,249.50 interest if kept, 1.4 months to break even.
Reference table
| Fee | APR | Break even |
|---|---|---|
| 3 % | 24.99 % | 1.4 months |
| 5 % | 20 % | 3 months |
| 5 % | 29.99 % | 2 months |
| 0 % | 18 % | 0 months |
Limits
- Comparison math only, not financial advice.
- Flat balance assumed for keep cost.
- Promo terms vary by card.
- Fees and penalties excluded past inputs.
Common mistakes
- Transferring with no payoff plan.
- New purchases on the transfer card.
- Missing promo end dates.
- Late payments voiding rates.
- Ignoring the fee entirely.
Try it yourself
Quick checks. Answers sit tucked under each question.
$3,000, 5 % fee, 20 % APR, 12 months?
Transfer is 3000 x 0.05 = $150.00. Keep is 3000 x 0.20 x 1 = $600.00. Break even is 5 x 12 / 20 = 3 months.
$10,000, 0 % fee, 18 % APR, 18 months?
Transfer is 10000 x 0 = $0.00. Keep is 10000 x 0.18 x 1.5 = $2,700.00 over 18 months. Break even is 0 months.
Questions
Transfer cost?
Multiply balance by fee share. Here 5000 x 0.03 = $150.00.
Cost of keeping?
Multiply balance by APR by years. Here 5000 x 0.2499 x 1 = $1,249.50.
Break even?
Divide fee months by APR. Here 3 x 12 / 24.99 = 1.4 months.
Best transfer card?
Zero fee cards with long windows win when the debt clears inside the promo.
Promo risks?
Yes. Late payments can void promo rates and add fees.
Minimums covered?
No. Minimums still bite monthly cash flow.