A credit-card balance transfer can temporarily lower or pause interest charges by moving an existing high-rate balance to a new card offering a promotional low or 0% APR for a set period. That reduction in interest is the primary advantage: more of your monthly payment reduces principal instead of servicing interest, which accelerates payoff. Savvy users can save substantial interest if they plan realistic payoff schedules that fit within the promotional window. To benefit, always compare the transfer fee (commonly 3–5% of the transferred amount) against expected interest savings and ensure the promotional period length matches your payoff plan.

There are important operational cautions. Missing payments or making late transfers can void the promotional APR and trigger penalty rates. Also, promotional APRs expire — if a balance remains when the term ends, the remaining balance will incur the card’s standard interest rate, which can be high. Avoid adding new purchases to the transferred balance unless the new card separates purchases from promotional balances and you can manage both. Finally, too much switching or frequent new applications can slightly depress credit scores due to hard inquiries and reduced average account age; plan balance transfers selectively and combine them with disciplined payoff action (monthly autopay at least covering what you need to eliminate the balance before the promo ends).