The days of 0% APR no fee balance transfers are over-for now.  This week, Citi stopped offering no fee balance transfers with its Citi Professional Cash card.  This was the last no fee balance transfer offer from a major bank.  While Bank of America currently offers a 1.9% APR on no fee balance transfers with its Make a Wish card, this APR is only for 6 months.  Paying a balance transfer fee and getting a 0% APR for 1 year provides much more savings. Now that the market currently lacks a no fee balance transfer credit card, consumers should focus on credit cards that charge low balance transfer fees. 

What is a low fee balance transfer?  In a nutshell, a low fee balance transfer is one with a limit on maximum fees.  Currently, all major credit cards are charging a 3% balance transfer fee per transaction.  However, some credit cards have no limit on balance transfer fees, while others cap fees at $75.

Finding a low fee balance transfer credit card can provide a great deal of savings.  For example, if you transfer a $5000 balance to a credit card that has no limit on balance transfer fees, you would spend $150 in fees.  The same balance transfer, if done with a low fee balance transfer card, would only cost $75.

We have compiled a complete list of balance transfer credit cards here for easy comparison.

Even though balance transfer fees are now unavoidable, the amount of money you can save with a 0% APR balance transfer is still significant.  For example, if you have a $5000 balance on a credit card with a 12% interest rate, you can save over $620 this year on interest.  If you factor in the balance transfer fee, you still save over $550 on interest.

To find out how much you can save with a 0% APR balance transfer, check out our balance transfer calculator before applying for a new credit card online.

1. Jeff Says:
   May 21st, 2008 at 2:40 pm

   I am still within the 12 months of no fee balance transfer at 0% with Citi Prof card. Can I still make a no fee balance transfer at 0% now?

2. admin Says:
   May 21st, 2008 at 2:45 pm

   The fine print states that you are eligible for the balance transfer offer for three months from the time your application was accepted. However, I recommend calling first to make sure you are getting a 0% APR and not being charged balance transfer fees.

3. Jeff Says:
   May 21st, 2008 at 2:47 pm

   The terms were that from the 1st bal transfer made, i would have 12 months to take advantage of future no fee bal transfers at 0%. I am in the 6th month. I still have avail credit to take advantage of this. Just don’t want to alert the Citi People and have them shut me down.

4. admin Says:
   May 21st, 2008 at 2:50 pm

   If you are in the sixth month, I wouldn’t do the transfer without calling first, just to be safe. Also, you may want to consider a card that offers a 0% for a full year for the balance or another no fee card, though the only offers last for 6 months.

   You can review options at the main section of Smart Balance Transfers.

5. Jeff Says:
   May 21st, 2008 at 2:56 pm

   thanks.

   Best and most accurate site on this topic!!!
   I have looked at the other sites and they always have misinformation.

6. admin Says:
   May 21st, 2008 at 2:58 pm

   thanks for the positive feedback. Its much appreciated as we strive to provide the best information on balance transfers available on the web.

7. Jeff Says:
   May 30th, 2008 at 12:49 pm

   update- I made a bal transfer on 5/22/08 and citi honored the no fee 0% balance transfer agreement.