NerdMetrics.ca
Debt · 2026 rules

Balance transfer

A 0% promotion is not free — the transfer fee is charged upfront and the go-to rate is usually higher than the card you left. Whether it wins depends entirely on how much you clear before the promotion ends.

  • Transfer fee break-even
  • Post-promo rate shock
  • Payoff comparison
Your numberslive
Where you are
$
%
$
The offer
%
12 months
6 months10 months12 months18 months24 months
%
%

Nothing you type leaves this page. The whole model runs in your browser.

Interest saved by transferring
$1,833
$2,884 if you stay, $1,051 if you move
The $285 transfer fee is included in the figure you move.
Clear by the promo end
$4,985 left
Paying $400 a month for 12 months
Payoff if you transfer
2 yr 3 mo
At this payment
Payoff if you stay
2 yr 7 mo
At 20.99%

Three approaches to the same balance

Total interest paid until the balance reaches zero
Minimum payments only$62,993
2% of the balance — 100 yr 0 mo to clear
Stay and pay $400$2,884
2 yr 7 mo at 20.99%
Transfer and pay the samebetter$1,051
Including the $285 fee

Balance over three years

Outstanding balance, staying put against transferring
$0$2,544$5,088$7,632$10,17604812162024283236Months from nowStayTransfer
  • Stay
  • Transfer

The arithmetic of the offer

Balance transferred$9,500
Transfer fee at 3%Charged immediately and added to the balance$285
Starting balance on the new card$9,785
Interest during the 12-month promotion$0
Balance when the promotion endsThen charged 22.99%$4,985
Two conditions that void the benefitNew purchases on the promotional card usually accrue interest at the full rate immediately, and payments are applied to the lowest-rate balance first. And a single late payment can end the promotion outright — check the terms before you rely on it.
The minimum payment is the real trapAt 20.99% on $9,500, minimum payments of 2% take 100 yr 0 mo and cost $62,993 in interest. Any fixed payment beats it; $400 clears it in 2 yr 7 mo.
How this is calculated

Interest is compounded monthly on the declining balance. The transfer scenario adds the fee to the amount moved, applies the promotional rate for the promotional period, then the go-to rate on whatever remains.

The minimum-payment scenario uses 2% of the outstanding balance with a $10 floor, which is typical of Canadian card agreements.

Cash advances, over-limit fees and interest on new purchases are not modelled. All three make the real outcome worse than the projection, never better.

These results are illustrative estimates based on published 2026 rates and typical lender rules. They are not financial, tax, or legal advice, and they are not a mortgage or credit approval. See the methodology and disclaimer.

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