balance transfer

Definition: A balance transfer is the process of moving credit card debt from one credit card to another. Balance transfers are subject to a balance transfer fee that's a percentage (usually 3% - 6%) of the amount you're transferring. Some credit cards have offer introductory rates on balance transfers. While these low initial interest rates are attractive, it's important to know when the introductory rate will expire and what the new balance transfer interest rate will be.