You cannot pay a credit card balance with another credit card directly, but you have real options

Your credit card issuer will not let you make a payment using another credit card's number. The payment systems are built to reject it. But if you are carrying a balance on one card and want to use credit from another card to pay it down, there are three actual routes: a balance transfer, a cash advance, or paying with a debit card funded by a cash advance from the second card.

Each route has different costs, different timelines, and different reasons to choose it. The best choice depends on what interest rate you are paying now, what rate the new card offers, and how quickly you can pay the money back.

Key Takeaways

  • A balance transfer moves your debt from one card to another and usually charges a one-time fee (often 3 to 5 percent) but offers a lower interest rate for a set period, typically 6 to 21 months.
  • A cash advance lets you borrow cash against your credit limit on a second card, but charges a higher interest rate when ready and a cash advance fee, making it the most expensive option for most people.
  • Balance transfers work best if you can pay off the transferred balance before the promotional rate ends, because the regular rate kicks in after.
  • You will need a credit score in the good to excellent range to get approved for a balance transfer card with a low promotional rate.
  • Paying off one card with a debit card funded by a cash advance from another card combines the worst features of both and should be your last resort.

Balance transfers: moving debt to a lower rate

A balance transfer moves your existing balance from one card to another, usually one with a promotional interest rate. You contact the new card's issuer and tell them the account number and balance you want to transfer. They send the money directly to your old card's issuer to pay it down. You then owe that balance to the new card instead.

The new card charges a balance transfer fee, usually 3 to 5 percent of the amount transferred, added to your balance right away. So if you transfer $5,000, you might pay $150 to $250 in fees. After that, the promotional rate applies — often 0 percent for 6 to 21 months, depending on the card and the offer at the time you explore. When the promotional period ends, the regular purchase APR takes over.

Balance transfers make sense if you are paying 15 to 25 percent interest on your current card and can move that balance to 0 percent for a year or more. The fee is painful upfront, but the interest you save over those months usually outweighs it. The math breaks down if you cannot pay the balance before the promotional rate ends — then you are paying both the transfer fee and a high interest rate on what remains.

Cash advances: borrowing against your credit limit

A cash advance lets you borrow cash directly against your credit limit on a second card. You go to an ATM, call the card issuer, or visit a bank branch and request the cash. The money hits your account within one to three business days. You then use that cash to pay your other card's balance.

Cash advances are expensive. The issuer charges a cash advance fee (usually 3 to 5 percent, sometimes higher) and a much higher interest rate than your regular purchase APR — often 25 to 30 percent or more. Unlike a balance transfer, that interest starts accruing when ready. There is no promotional period. You are paying interest from day one.

A cash advance makes sense only in narrow situations: you need to move money fast and you have a plan to pay it back within weeks, not months. If you are carrying the cash advance balance for more than a month or two, the interest will quickly exceed what you would pay by keeping the original balance on your first card.

Why paying with a debit card funded by cash advance is not a solution

Some people think they can take a cash advance on a second card, deposit it into a checking account, and then pay their first card with a debit card. This works mechanically, but it combines the worst costs of both options. You pay the cash advance fee, you pay the high cash advance interest rate, and you have not reduced your total debt — you have just moved it and made it more expensive.

The only reason to do this is if your first card's issuer will not accept a balance transfer from your second card for some reason, and you need the payment to post today. Even then, you should plan to pay back the cash advance as fast as possible to minimize the interest damage.

What credit score you need for a balance transfer

Balance transfer cards with 0 percent promotional rates are usually reserved for people with good to excellent credit — typically a score of 670 or higher, though many issuers prefer 700 or above. If your score is lower, you may still be approved for a balance transfer card, but the promotional rate will be shorter or the regular APR will be higher.

Cash advances do not have the same credit score barrier. Any cardholder can request a cash advance up to their available credit limit. But the interest rate and fees are so high that a lower credit score does not matter much — you are paying a steep price either way.

The math: when a balance transfer saves you money

A balance transfer makes financial sense only if the interest you save exceeds the transfer fee. Here is how to think about it:

If you owe $5,000 at 20 percent APR and you transfer it to a card offering 0 percent for 12 months, you pay a $250 transfer fee (5 percent). In those 12 months, you would have paid roughly $1,000 in interest on the original card. By transferring, you save $750 after the fee. But that math only works if you pay off the $5,250 (balance plus fee) before month 13. If you still owe $2,000 when the promotional rate ends, you are now paying 18 or 20 percent interest on that $2,000 — and you have already paid the transfer fee.

Before you explore for a balance transfer card, calculate how much you can pay each month and whether you can clear the balance before the promotional rate expires. If you cannot, a balance transfer may not help you.

Steps to complete a balance transfer

First, explore for a balance transfer card and wait for approval. This usually takes three to seven business days. Once approved, log into your new card's online account or call the issuer's customer service line.

Look for a "Balance Transfer" or "Transfers" section in your account. You will enter the account number of the card you want to pay off, the amount you want to transfer, and the routing information if needed. Some issuers let you initiate the transfer online; others require a phone call.

The issuer will send the payment directly to your old card's issuer. This usually takes 5 to 14 business days. During that time, keep making minimum payments on your original card to avoid late fees. Once the transfer posts, your old card's balance will drop and your new card's balance will increase by the transfer amount plus the fee.

Set up a payment plan when ready. Divide the new balance by the number of months in your promotional period and pay at least that amount each month. If you can pay more, do it — every dollar above the minimum goes toward principal instead of interest after the promotional rate ends.

Frequently Asked Questions

Will a balance transfer hurt my credit score?

A balance transfer will cause a small, temporary dip in your score when you explore for the new card (a hard inquiry) and when the new account opens. Your score may also dip if the transfer increases your overall credit utilization. But if you pay down the transferred balance before the promotional rate ends, your score will recover and likely improve because you will have lower balances and a longer credit history.

Can I transfer a balance to a card from the same issuer?

Most issuers do not allow you to transfer a balance between their own cards. You will need to explore for a card from a different issuer. Check the card's terms before you explore to confirm balance transfers from other issuers are allowed.

What happens if I miss a payment on a balance transfer?

Missing a payment usually ends the promotional rate when ready, and the regular APR kicks in right away. You will also pay a late fee and your credit score will drop. If you are struggling to make payments, contact the issuer and ask about hardship options before you miss a due date.

Can I do multiple balance transfers to different cards?

Yes, you can transfer balances to multiple cards if you are approved for more than one. But each transfer charges a fee and opens a new account, which affects your credit score. Only do this if you have a clear plan to pay off each balance before its promotional rate ends.

Is a balance transfer better than a personal loan?

A personal loan is often cheaper than a balance transfer if you have fair credit or if you need longer than 21 months to pay back the debt. Personal loans have fixed interest rates and fixed payment schedules, so you know exactly when the debt will be gone. A balance transfer is better if you have good credit and can pay the balance within the promotional period.