Credit Cards Balance Transfer Credit Cards

What Is a Balance Transfer Fee? Are They Worth It?

Balance transfer fees are charged up front when you move your credit card balance to a new card. With a little math, you can figure out if they're worth paying.

By Christy Rakoczy

Edited by Steve Miller

Updated Jan. 13, 2026

Years ago, I opened a balance transfer credit card because I wanted to simplify repayment on a few cards that I owed money on.

When I looked into how to do a balance transfer, I was shocked to see a 3% credit card balance transfer fee. I was trying to save money by transferring my balance. Paying a 3% fee seemed like a step in the wrong direction.

Once I got past the surprise, though, I did the math, and it turned out that the balance transfer was still a good deal. That may be the case for others as well.

The key is to understand what a credit card balance transfer fee is, how to decide if it is worth paying, and how to find a card that keeps fees to a minimum. This guide will explain these details.

How credit card balance transfer fees work

Credit card balance transfers allow you to transfer the balance on one or more of your current credit cards to a new balance transfer card. The balance transfer card usually offers a special promotional rate for a limited duration, such as 0% APR for 12 months on transferred balances.

Most card issuers that run these offers charge balance transfer fees. Credit card balance transfer fees vary but usually equal the higher of a flat fee or a percentage of the transferred balance, such as 3% of the transferred amount or $5.00, whichever is greater.

Balance transfer fees are paid up front when you borrow, and the fee is added directly to the card balance. This means if you transfer a $3,000 balance and the card has a 3% balance transfer fee, your fee would be $90 and your total balance that you'd have to repay on your new card would be $3,090.

Intro offer balance transfer fees

Many credit card companies offer intro APR rates on transferred balances, but some even offer introductory balance transfer fees within a set span of time from account opening.

Some cards offering affordable balance transfer fees and solid intro APR offers include:

Wells Fargo Active Cash^® Card

The Wells Fargo Active Cash card charges no annual fee and offers a 0% intro APR on balance transfers for 12 months from account opening on qualifying balance transfers (then 18.49%, 24.49%, or 28.49% Variable).

The card's balance transfer fee is a 3% intro for 120 days from account opening, then up to 5%, min: $5.

Beyond the balance transfer offer, this card also offers 2% cash rewards on purchases as well as $600 of cell phone protection (subject to a $25 deductible), 24/7 roadside assistance, and an emergency cash advance disbursement within one to three business days after being approved for the card.

Learn more in our Wells Fargo Active Cash review.

Citi Simplicity^® Card

The Citi Simplicity^® Card offers 0% intro APR on balance transfers for 21 months from date of account opening (then 17.49% - 28.24% (Variable)).

The card's balance transfer fee is 3% of each balance transfer ($5 minimum) within 4 months of account opening; then 5% of each transfer ($5 minimum) after the 4 month intro period ends.

For those who want to use the card for purchases, there's also a 0% intro APR on purchases for 12 months from date of account opening (then 17.49% - 28.24% (Variable)), and while the card doesn't offer any rewards, it has no annual fee and charges no late fees.

Read our Citi Simplicity review to learn more.

U.S. Bank Shield™ Visa^® Card

This card offers a 0% intro APR on balance transfers for 18 billing cycles (then 16.99% - 27.99% Variable).

There's no annual fee, and your balance transfer costs are 3% of the amount of each transfer or $5 minimum, whichever is greater, for balances within 60 days of account opening (after that, either 5% of the amount of each transfer or $5 minimum, whichever is greater.).

If you also wish to make purchases with your card, you can earn rewards, including 4% cash back on prepaid air, hotel and car reservations booked directly in the Travel Center.

Read our U.S. Bank Shield Card review to learn more.

How to know if a balance transfer fee is worth it

Balance transfer fees are often well worth paying. To decide if you should pay a fee for a particular card:

Compare the fee to your current interest rate. If you can pay a 3% fee to move your balance from a card charging 27% interest per year, you will likely be better off paying the fee. If 0% intro APR lasts for 12 months, then paying a one-time 3% upfront fee effectively makes your APR 3% for the year. That's much lower than the 27% you'd pay if you hadn't transferred your balance.
Compare the fees across different balance transfer cards. If one card has a 5% fee with a 0% APR for 24 months, that's often a better deal than a card with a 3% fee with a 0% APR for 12 months. Unless you are confident that you can repay the balance within 12 months, the extra interest saved during the longer 0% APR period will generally more than make up for the higher up-front fee.

For example, say you have a $5,000 balance on a card with a 27% interest rate and you are currently paying $150 per month toward the card. You transfer the card to a balance with a 0% APR for 12 months that charges a 3% balance transfer fee and that has a standard APR of 27%, the same as your current card.

Your new balance would be $5,150. If you kept paying the same $150 per month, your total cost for interest and fees on the new card would be $1,506.96 while you'd have paid $4,345.90 in interest and fees with your current card.

Now let's look at comparing two balance transfer offers — one of which charges a 5% fee and gives you 21 months at 0% interest and the other of which charges a 3% fee and gives you 12 months at 0% interest. Both have a 27% standard APR.

If you transfer a $5,000 balance and make a $150 monthly payment, as mentioned above, the card with the 3% fee would come with interest costs of $1,506.96. But the card that charges the 5% fee and gives you 21 months to pay off your balance would have total interest costs of $700.52 over the time it takes to pay down the balance. As you can see, the extra time to repay your balance makes the higher up front fee worth paying.

There are many calculators online that help you run these numbers to compare different balance transfer costs based on your payment timeline and balance due.

Foreign transaction fees and other charges

Balance transfer fees may not be the only ones to watch out for when considering a balance transfer card. Other fees to look for include:

Cash advance fees. Balance transfers are different from cash advances. Balance transfers allow you to transfer the balance of other cards, while cash advances allow you to access cash from your current card. Cash advance fees are typically around 3% to 5% like balance transfer fees, but the cash advance APR may be much higher.
Foreign transaction fees. If you are using your card for purchases outside of the United States, your card may charge a foreign transaction fee. This is usually around 1% to 3%, although it could be higher with some cards.
Late fees: Many cards charge a fee when you pay your bill late. This includes situations where your only balance is a transferred balance. While the Consumer Financial Protection Bureau aimed to limit these fees to $8, that effort was unsuccessful and the average late fee is around $30.50. If you are late making a payment, this could also void your promotional rate.

Balance transfer credit cards to consider

If you are looking for a balance transfer card, you've got plenty of options. Some other cards to look into include:

Citi^® Diamond Preferred^® Card: The Diamond Preferred card offers a 0% intro APR on balance transfers for 21 months from date of account opening (then 16.49% - 27.24% (Variable)). The balance transfer fee is 5% of each balance transfer ($5 minimum).
Discover it^® Chrome: This card provides a 0% intro APR on balance transfers for 18 months (then 17.49% - 26.49% Variable). Its balance transfer fee is a 3% intro balance transfer fee, up to 5% fee on future balance transfers (see terms)*.
Wells Fargo Reflect^® Card: You'll benefit from 0% intro APR on balance transfers for 21 months from account opening on qualifying balance transfers (then 17.49%, 23.99%, or 28.24% Variable) with the Wells Fargo Reflect. The balance transfer fee is 5%, min: $5.

The Citi Diamond Preferred and the Wells Fargo Reflect even made our list of the best balance transfer cards for good credit.

No balance transfer fees credit cards

There are very few cards that offer balance transfers without any balance transfer fees.

Generally, these types of deals are more likely to be found from credit unions, so you'll want to shop around carefully and include credit unions in your search when looking for a balance transfer card that charges no fee at all.

Here are a few options to consider:

Navy Federal Credit Union Platinum Card: This card is a good choice for those with fair credit. It offers a 0.99% intro APR on balance transfers for 12 months (then 10.74% to 18.00% (variable)). The balance transfer must be made within the first 60 days, and there is a $0 balance transfer fee. Read our Navy Federal review to learn more about this credit union.
BECU Low Rate Credit Card: The BECU Low Rate credit card provides a 0% intro APR on balance transfers for 12 months (then 12.74% to 23.74% (variable)) with no up front balance transfer fees. The balance transfer must be completed within 90 days of opening the account.

This guide to the best balance transfer credit cards with no fees can help you explore other options.

FAQs

Is there a fee to transfer a credit card balance?

The majority of credit card issuers charge between a 3% and 5% fee to transfer a balance. There is usually a $5 minimum fee. The fee is charged up front and added to your card balance.

Is a 3% balance transfer fee worth it?

A balance transfer fee is usually worth paying. While you pay a 3% to 5% fee up front with most balance transfer cards, you then have a year or longer of 0% APR on your transferred balance, depending on the card. Paying 3% up front is much cheaper than paying a year of interest at the standard credit card APR.

How do I avoid balance transfer fees on my credit card?

You can avoid paying balance transfer fees on your credit card by either finding a card that allows you to transfer a balance without paying a fee or by not transferring your balance at all. Most card issuers do charge a fee for balance transfers, but a limited number of card issuers don't. You are more likely to find a no-fee balance transfer offer from a credit union.

Bottom line

If you are considering a balance transfer, do the math to find the right card for you. Don't just assume that a fee isn't worth paying. The only way to understand how much each card offer will save you is to run the numbers.

Check out our list of the best balance transfer cards to explore your options.

Benefits

Card Details

0% intro APR for 21 months from account opening on qualifying balance transfers, then 17.49%, 23.99%, or 28.24% Variable APR
Up to $600 Cell phone protection when you pay for the cell phone with your card (subject to a $25 deductible)
$0 annual fee
Apply Now

Apply Now to take advantage of this offer and learn more about product features, terms and conditions.
0% intro APR for 21 months from account opening on purchases and qualifying balance transfers. 17.49%, 23.99%, or 28.24% variable APR thereafter; balance transfers made within 120 days qualify for the intro rate, BT fee of 5%, min: $5.
$0 annual fee.
Up to $600 of cell phone protection against damage or theft. Subject to a $25 deductible.
Through My Wells Fargo Deals, you can get access to personalized deals from a variety of merchants. It's an easy way to earn cash back as an account credit when you shop, dine, or enjoy an experience simply by using an eligible Wells Fargo credit card.