Balance Transfer Break-Even Calculator

This calculator works out whether a credit card balance transfer is worth doing in New Zealand by weighing the interest you save at the low promotional rate against the transfer fee you pay to move the balance. A balance transfer can be a smart way to dig out of credit card debt, because moving a balance from a card charging close to twenty percent to one offering a low or zero percent introductory rate stops the interest piling up while you pay it down. The catch is that most transfers come with a one-off fee, usually a small percentage of the balance, and the promotional rate only lasts for a set period before reverting to a high rate, so the move only pays off if the interest you save beats the fee and you clear the balance in time. You enter your balance, your current interest rate, the transfer fee percentage, the promotional rate and how many months it lasts, and the calculator shows your net saving over the promo period, the transfer fee, and the break-even point at which the saving covers the fee. Use it to decide whether to transfer and to remind yourself to stop spending on the card and clear the balance before the promo ends. Estimate only, not financial advice.

Assumes the balance stays put over the promo period; paying it down sooner saves a little less but clears the debt. Stop spending on the card. Estimate only.