Balance Transfer Break-Even Calculator
Work out the break-even point on a balance transfer credit card. Provide your balance, transfer fee, current APR, promotional APR, and promo length to see how many months it takes for interest savings to offset the upfront cost.
Estimates savings versus current APR; actual results depend on payment behavior.
Examples
- $5,000 balance, 3% fee, 21% APR to 0%, 18-month promo ⇒ 2.57 months
- $8,500 balance, 4% fee, 26% APR to 3.99%, 15-month promo ⇒ 5.19 months
FAQ
What if the promotional APR is higher than my current APR?
In that case, interest savings are negative and the calculator will not produce a break-even month—stick with your existing card.
Does this include additional purchases?
No. Only the transferred balance is evaluated. Purchases made after the transfer could accrue interest immediately.
How should I interpret a break-even longer than the promo period?
It means the offer will cost more than it saves unless you accelerate repayments. Look for lower fees or longer 0% periods.
Additional Information
- Break-even compares the one-time fee with the monthly interest savings achieved during the promotional window.
- If the required months exceed the promotional period, you may not fully recover the fee before standard interest returns.
- Paying down the balance faster shortens the window needed to recoup the transfer fee.