The Benefit of a 0% Balance Transfer

Hit a Snag and Restarted the Process

In my last post I was approved for the Citi Double Cash credit card with an introductory balance transfer offer for 18 months with 0% interest. A small snag followed as a fraud alert, so the balance transfer request never went through. I was wondering why it was taking so long, but after talking to customer service I initiated the transfer request over the phone. So as of 12/30/24 the Citi Double Cash card will be utilized to take advantage of 0% interest.

How Much Will It Save?

On the last statement of the credit card the balance transfer is coming from, a gut wrenching $123 in purchase charge interest (at 27.65% mind you) for just 1 month will now be $0 on the Citi Double Cash card for 18 months. Using rough math $123 interest x 18 months equals $2,214 saved! This will significantly accelerate paying down the principal balance of the transfer compared to trying to pay it down on the original credit card with the high interest rate. The timer starts now to pay down that debt in a timely fashion. I’m waiting to see the first statement and payment amount of the Citi Double Cash card.

Next Steps

Hammering down the Citi Double Cash card will require discipline, and if it can be paid off earlier than 18 months even better. The other side is to ensure the original card the balance was from remains at zero balance each month. It sounds easier said than done, but avoiding $123 in interest each month is still a great benefit! That savings can be used for a utility bill. See how that’s already a small win? It doesn’t mean I’m going to blast my thermostat to 80 degrees this winter, but small steps help.

What are some other balance transfers with great benefits? What’s your experience? What were your successes and lessons learned?

-Reauxmn