 TITLE: What Is Balance Transfer APR? CONTENT: How Can a 0% Intro APR Save You Money?\n--------------------------------------\nA 0% intro APR won't do you much good long-term unless you pay off or pay down your debt before it ends. You'll need to strategize a little to get the most out of your transfer, which may include tucking away your credit cards (both your old one and the new balance transfer card) and shifting your budget toward paying down your debt.\nBefore applying for a transfer-friendly card, sit down and map out exactly how you'll zero out your debt by the end of the promotional period, and stick to that budget. First, gather all the info about your current debts and the APR on each. Then divide your total transfer balance (including transfer fees and any annual fees) by the number of months in each offer to determine the amount you would need to pay each billing cycle to clear the balance in time.\nIn general, the best offers have 0% APR for the most prolonged promotional period possible, ideally with a minimal transfer fee. If you transfer a $5,000 balance to an account with 0% intro APR for 12 months and a 3% balance transfer fee (about $150), you'll pay just under $430 a month for a year to pay off the balance by the end of the promo period. The same terms over 18 months put your monthly payments at about $286, which could be more manageable for your budget.\nNow imagine making a $286 monthly payment on that $5,000 balance with a 20% APR: This would take you almost two full years to pay off and cost you nearly $1,000 in additional interest.\nBalance transfers often work best with an avalanche payment strategy, meaning you pay off debts with the highest interest rates first to save the most money. So, if you don't intend to transfer all your outstanding balances to your new account—or your credit limit is set too low to do so—consider moving higher-APR card balances before lower ones.\nThere are other ways to manage your debt when a balance transfer isn't right for your current financial situation. Look into different strategies, such as a debt management plan or debt consolidation loan, or contact your current card issuers about securing lower interest rates. END