What is a balance transfer?

Balance transfers are a type of transaction that allows a person to transfer an existing balance from one credit card to another credit card. This can save a person money by taking advantage of introductory rates, or lower interest rates, on a new card. It can offer a way to pay down debt faster or save money on interest. In Arizona, the law regulates balance transfers. For instance, if a balance is transferred from one credit card to another, the transfer must be completed within 14 days. In addition, the amount of the transfer cannot be greater than the credit limit on the new card. Furthermore, the law requires the transfer fee to be clearly stated. This is a fee applied to the balance transfer and charged to the customer by the card issuer. The fee must be disclosed on the customer’s statement. Finally, the law states that a person cannot use a balance transfer to pay off delinquent payments or fees. This means that a balance transfer cannot be used to bring an account up to date with its minimum payment or to cover late fees. These laws are in place to protect consumers in Arizona and ensure that balance transfers are fair and transparent. Knowing the law can help you make an informed decision when transferring a balance from one card to another.

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What is a balance transfer?

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