Should you move your outstanding debt to a balance transfer card? Here’s how to pay off credit card debt in 3 steps

We’re nine months into the year, and between paying off summer splurges and booking holiday travel, your finances might be in need of some TLC. 

In 2025, 45% of credit card owners reported carrying a balance at least once in the past year, according to a May 2026 report from the Federal Reserve. Credit cards have some of the highest APRs among debt products, averaging over 20%, meaning a small balance can quickly snowball.

Credit card debt can become even stickier after a fun-filled season like summer. From a March 2026 NerdWallet survey, over one-third (35%) of people who booked a vacation with a credit card in 2025 still haven’t paid off the full balance.

Going into credit card debt should always be avoided, but it doesn’t have to lead to financial ruin. CNBC Select explains how to pay down credit card debt in three steps and highlights three cards that offer a zero-interest period to do so.

There are a variety of 0% APR cards to choose from, but there are differences to consider, including what the 0% APR applies to and the length of the introductory period.

If you think there’s a chance you’ll use this card for future expenses, the Wells Fargo Reflect® Card’s 0% APR period covers both qualifying transferred balances and new purchases. The 0% APR period lasts for almost two years (21 months), and afterwards a 17.74%, 24.24%, or 28.49% variable APR will apply; balance transfers made within 120 days qualify for the intro rate. There’s a fee of 5% for each balance transfer with a $5 minimum.

If you love the idea of a $0 annual fee and don’t intend to buy more things with the card, the Citi® Diamond Preferred® Card could be a good option. You’ll get 21 months of a 0% APR on balance transfers, followed by a 16.49% to 27.24% variable APR.

Just make sure you apply within four months of account opening to qualify for the less-expensive introductory balance transfer fee: $5 or 3% of the transfer will apply, whichever is greater. After four months, the fee increases to $5 or 5%. The 2% difference could potentially be three figures in additional charges depending on your transferred amount.

If you have less debt or are looking for a shorter APR period, the Chase Freedom Unlimited® (see rates and fees) provides an introductory 15-month 0% APR, with a variable APR of 18.24% to 27.74% after. 

Unlike the other two options above, the Freedom Unlimited earns rewards: an unlimited 1.5% cash back, 3% back on dining and drugstores and 5% back on Chase Travel purchases. If you think this could tempt you into spending more, maybe reconsider.

To find your payoff date, first calculate the total amount of debt that qualifies to be moved to a balance transfer card. Exactly how much will be determined by the credit limit you’re approved for, which is the most impactful number for you.

Once you have that number, divide it by the length of your 0% APR period. It could be a good idea to round up or adjust your schedule to finish one month early. This way you have some wiggle room in case anything happens.

While balance transfers can still be greatly beneficial over time, know that there is almost always an upfront fee to shift your debt to a 0% APR card. A balance transfer fee is typically between 3% and 5% of the total balance. 

Say you move a $5,000 balance to a 0% APR card that charges a 5% balance transfer fee, bringing your total balance to $5,250. The card gives you 21 months to pay off the debt interest-free, but you aim to pay it off in 20 months to provide a buffer. Dividing $5,250 by 20 months leaves you with a $263 monthly payment and a built-in safeguard of extra time. And you’ll pay $0 in interest, so long as you pay it off in the introductory window. 

Without actively paying down your debt, that $5,000 in debt would accumulate $265 in interest in just three months (using the average APR of 20.94%), at which point a 0% APR card could have saved you money, even with the fee. 

One of the risks of a balance transfer card is that it could tempt you into overspending further. And if the 0% APR period only applies to balance transfers, and not new purchases, you’ll start accruing interest right away.

If you struggle keeping a budget in your daily life, consider using a separate tool to help you track your spending over time. There are a number of budgeting apps on the market, but with Quicken Simplifi, you won’t be locked into a single system. 

Once you enter your financial info, Quicken Simplifi can adjust to whatever budgeting system works best for you; from zero-based, the envelope method or the 50-30-20 budget, your personalized plan will adjust automatically.

If your goal is to simply pay off debt and avoid using your balance transfer card any further, make it as difficult as possible to use. Remove the card from any digital wallets or recurring subscriptions, and don’t carry it around in your wallet. Continue making your routine purchases on a separate card, but don’t feel the need to spend just because your credit limit got larger.

At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every credit card article is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of credit card products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics.

Catch up on CNBC Select’s in-depth coverage of credit cards, banking and money, and follow us on TikTok, Facebook, Instagram and X to stay up to date.