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Balance Transfer - Move Expensive Card Balances for FREE

There’s a reason you’ve never heard the expression, “the best things in life are 16.99% APR.” 

If you’re looking to transfer a high-rate credit card balance, it’s probably better to choose a free option, right? Well, we agree! So we did exactly that with our UMe Visa® Platinum Credit Card.

You read right. We said FREE. When you transfer any balance over to our UMe Visa, you’ll pay zero fees. Plus, we offer FIXED rates as low as 9.90% APR*, which means you won’t get any rate hike surprises from us!

And if you’re into saving money (like we are for U, obviously) you’ll love some of the other perks of our Visa Platinum Card:

  • Low FIXED rate. One and done. No unwanted surprises.
  • Zero balance transfer fees. Move expensive balances from high, variable rate cards and save.
  • Zero cash advance fees. Our cash advance rates are the same as our purchase rates. Period.
  • No annual fee and no application fee. More fabulous free stuff.
  • Low foreign-transaction fees. We only pass through Visa’s low conversion charges.
  • Instant card issue. Stop by our branch, and get that sweet piece of plastic on the very same day.
  • Enhanced security. Manage your cards: Use our free mobile app to enable and disable your care, in real time. Anytime, from anywhere.
  • Rewards on every purchase. Like cash back! Plus earn 10,000 Bonus Points when you spend 1,000 in the first 90 days. (Bonus Points offer good for new cards only, one per account.)

Ready. Set. Go. 

Once you’re ready to move your expensive card balances for free, it’s time to choose the best candidate. Starting with high-interest rate debts or credit cards with a high balance to credit limit ratio are usually the best options. 

Next, you’re going to request the transfer of funds. You can do this online or over the phone. 

Yes, It’s as simple as that. 

Once we get your request, we will put the wheels in motion to help you get your balance transferred. 

The perks of transferring your balance

Transferring your balance can provide you with benefits you’ll find hard to beat. Here are 3 major perks of completing a balance transfer. 

  1. Lower interest rates: Why pay more in interest than you need to? (Hint: Don’t!) The lower your interest rate on your debts, the better. Reducing your interest rate lets you pay off your balance sooner since more of your monthly payments goes to your principal balance instead of those pesky interest charges.
  2. Better terms: You want a credit card that treats you right. Transferring your balance will let you secure better terms. If it’s a rewards card you might start earning points or cash back. Cha-ching!  Maybe you’ll pay lower fees overall.  That’s more money in your pocket and less in ours. 
  3. Debt consolidation: Do you want to check one thing off your to do list? If your balance transfer lets you get rid of your balances, you’ll be making fewer payments each month. Doing so makes it easier to pay your bills and reduces the chance that you’ll miss a payment and get stuck with a late fee. 

When to use a balance transfer

You should use a balance transfer credit card when you’ll save significantly in interest or greatly decrease your utilization rate. Here are examples of each situation. 

Reduce your interest rate

If you have a credit card with a 17.99% interest rate and balance of $4,500, here are your payoff stats:

Current card: 

If you pay $150/mo, it will take you 41 months to pay off, and 25% will go to interest. That’s a total of $1,521 in interest payments! 

Balance transfer card:

If you transfer that balance during a balance transfer with an interest rate of 9.90%, paying the same $150 per month, you’ll pay off your balance in just 35 months. Only 13% will go to interest. Now you’re only paying $691 in interest payments.

By transferring your balance, you’ll save almost $1,000 in interest payments and pay off your credit card debt 6 months sooner. Talk about a smart move. 

Decrease your utilization rate

If you have a credit card with a high utilization rate, it will lower your credit score. Your utilization rate is the percentage of your credit card limit in use vs. the limit. 

For example, if your credit card has a $10,000 limit and you’ve used $5,000, you have a 50% utilization rate. The recommended rate is 30% or less to reduce the impact on your credit score. 

For a 30% utilization rate, your balance would need to be no more than $3,000. To make this happen, you could transfer $2,000 to a balance transfer card.  In doing so, your utilization rate decreases, and your credit score increases. It’s a win-win.

Is a balance transfer right for you?

Completing a balance transfer is a smart way to manage and repay your debt. You’ll know it’s right for you when you look at the numbers to see how you’ll benefit 

Whether you want to 

  • Reduce your interest payments
  • Get away from a card you don’t like
  • Lower your utilization rate
  • Consolidate your debt

You should review the details of the transfer along with the pros and cons to determine whether you should move forward. Hint: If you have expensive card balances and can move your debt for free, it’s usually the right choice. 

Balance transfer frequently asked questions

While we don’t claim to know everything, we do know a lot about balance transfers. Here are some common questions we get about the process.  

Is it a good idea to do a balance transfer?

Doing a balance transfer is most helpful when you need more time to pay off debt, and you want to avoid paying high interest rates. Doing so can save you on interest while allowing you to pay off your debts quicker. 

Do balance transfers affect your credit score?

If you reduce the high utilization rate on your card by transferring all or part of the balance, your credit score will increase. Congratulations! Though, keep in mind that a hard inquiry will lead to a slight decrease in your credit score initially, but it should bounce back in no time. 

How does a balance transfer work?

When you complete a balance transfer, you repay your existing debt with a new credit card, which transfers your balance to the new credit card. The purpose is usually to reduce the interest you’re paying so you can save on interest and pay off your debt sooner. 

Is there a downside to balance transfers?

If you use a balance transfer card that raises your rate after the promotional period and you don’t pay off your balance during the promo period, you could wind up paying the regular interest rate on your card. That’s no good! Thankfully, at UMe, our balance transfer cards come with a fixed rate, so you don’t have to worry about a rate hike in the future. 

Are there any credit cards with no balance transfer fee?

They’re hard to find, but we’ve got one! We believe in helping you save without making you pay, that’s why our UMe Visa Platinum Credit Card has a $0 balance transfer fee. You’re welcome!

How long does a balance transfer take?

Your balance transfer can take a couple of weeks to process depending on how you complete your request. 

What type of balances can I transfer?

You can use your balance transfer card to transfer balances from your credit cards, personal loans, student loans, and auto loans. 


So what’s next? Just transfer your existing high-rate balance to your UMe Visa (did we mention it’s free?). 


Credit Card Overview


*APR = Annual Percentage Rate. Rates are based upon individual credit. For additional details regarding rates and fees please visit umecreditunion.com/getacard.
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