What is a balance transfer fee?

A balance transfer fee is a fee that is sometimes charged when you transfer a balance from one credit card to another, or when you transfer a balance from one type of loan to another type of loan. This fee can range from three to five percent of the amount you are transferring, depending on the financial institution. The balance transfer fee is an important factor to consider when looking to switch credit cards or move debt from one loan to another. In Oregon, state law requires credit card and loan issuers to clearly disclose the balance transfer fee before you make any balance transfers. This includes providing information on the amount of the fee, as well as any restrictions and limitations that may apply. Balance transfer fees are also subject to state interest rate caps, which limit the maximum interest rate that lenders may charge for balance transfers. It is important to note that balance transfer fees are in addition to the interest you will pay on your balance. Therefore, it is important to research balance transfer fees carefully to make sure you are getting the best deal possible. Doing this can help you save money on interest in the long run.

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What is a balance transfer fee?

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