Yes, many credit card services offer balance transfer options that allow cardholders to transfer existing balances from one credit card to another. These balance transfers are often accompanied by promotional low-interest rates or even 0% introductory APR offers for a specified period. Here’s how balance transfers typically work:
Balance Transfer Offer: Credit card companies periodically promote balance transfer offers to attract new cardholders or encourage existing ones to move their balances. These offers may include a low or 0% introductory APR for a specific timeframe, such as 12 months.
Eligible Balances: Cardholders can typically transfer balances from other credit cards, store cards, or even loans to the new credit card offering the balance transfer promotion. There may be a maximum limit for the amount that can be transferred, which is usually a percentage of the credit limit on the new card.