DEBT MANAGEMENT CHANNEL
Balance Transfer Calculator
Calculate the total savings from moving credit card balances onto a 0% APR card.
Calculator Variables
Calculation Overview
Calculate the total interest savings from consolidating credit card debt using a 0% APR balance transfer deal.
Mathematical Model & Formula
Net Savings = Original Estimated Interest - Upfront Fee
Deducts the mandatory card balance transfer fee from calculated original compounding interest to output net savings.
Variables Defined:
Worked Example Scenario
Scenario: Consolidating $10k at 22% with 3% fee card.
- Fee = $300
- Original interest = $1,400.
Result: Net savings of $1,100.
Frequently Asked Questions
What happens when the 0% promo expires?
All remaining balances are subjected to standard high card APRs, often exceeding 20%.