1. What is the Balance Transfer Calculator?

The Balance Transfer Card Calculator estimates how long it will take to pay off a credit card balance transfer, accounting for both the 0% promotional period and the post-promotional interest rate period.

2. How Does the Calculator Work?

The calculator uses two formulas:

Where:

• \( P \) — Transferred balance including fee ($)
• \( D \) — Monthly payment ($)
• \( R \) — Monthly interest rate (annual rate / 12, as decimal)
• \( T \) — Time to pay off (months)

Explanation: The first formula calculates payoff during the 0% period. The logarithmic formula calculates payoff after the promotional period ends.

3. Importance of Balance Transfer Calculations

Details: Understanding payoff timelines helps consumers avoid unexpected interest charges and plan their debt repayment strategy effectively.

4. Using the Calculator

Tips: Enter the total transferred balance (including any transfer fees), your planned monthly payment, the post-promotional APR, and the length of the 0% promotional period.

5. Frequently Asked Questions (FAQ)

Q1: Should I include the balance transfer fee?
A: Yes, include both the transferred balance and any transfer fee (typically 3-5% of the balance) in your calculation.

Q2: What if I can pay off during the 0% period?
A: If your calculation shows full payoff during 0%, you'll pay no interest. The calculator shows this scenario.

Q3: How accurate is the post-promo calculation?
A: It assumes fixed payments and interest rate. Actual results may vary slightly due to rounding in minimum payments.

Q4: What's the best strategy for balance transfers?
A: Pay as much as possible during the 0% period. Calculate the minimum payment needed to clear the balance before the promo ends.

Q5: Does this account for new purchases?
A: No, this calculator assumes no additional purchases. New purchases may have different interest terms.