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If you’re looking to pay off one credit balance using another card, this generally isn’t possible. Banks don’t allow you to pay your credit card balance using another credit card. Typically payments via check, electronic bank transfer or money order are the only acceptable methods of payment. There is one loophole: A balance transfer credit card. Read on to learn more about this exception to the you-can’t-use-a-card-to-pay-off-a-card rule. Why You Should Not Pay a Credit Card With a Credit CardAs previously stated, other than a balance transfer, banks simply won’t allow you to pay your credit card bill by charging it to another card. But even if they did, it would be a dangerous move to try and erase debt in one place by creating it in another. This could cause your debt load to become unmanageable and affect your credit and overall financial standing. What Is a Balance Transfer?The only scenario where it makes good financial sense to pay off a credit card bill this way is if you’re shifting a credit card balance to one with a lower interest rate, especially to a card that has an introductory 0% APR offer. This is a balance transfer, and it’s the only time you can use one credit card to pay off another. When you transfer a balance from a card that’s being charged interest to one that has no interest for a promotional period of time, you can save money. Here’s why. Say you have a $10,000 balance on a card that carries an 18% APR. If you wanted to pay that balance off in a year, you’d have to pay about $916.80 per month, and the total interest charged would be approximately $1,001.60. If you transfer that balance to a card with an introductory 12-month 0% APR offer instead, you won’t be charged any interest for that year. But there are some nuances to the process. Featured Partner OffersWells Fargo Reflect® Card 17.24% - 29.24% variable APR Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed. Bank of America® Customized Cash Rewards credit card On Bank of America's Website Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed. $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening What Are the Pros and Cons of Balance Transfers?Although it can be used as a way to help pay down debt, a balance transfer may not be the right move for everyone. Let’s take a look at some of the pros and cons of balance transfers. Pros:
Cons:
How To Do a Balance TransferThere are a few steps involved in making a balance transfer. First, review your existing debt and determine how much interest you’re paying on any balances. Next, identify your goals. When you’re seeking to shift your existing debt to a card with a lower rate, you’ll have to decide if you want a card with a limited-time promotional 0% APR offer, or if it makes sense to choose a card with a low ongoing interest rate. Make sure any card you’re considering offers enough time for you to make a serious dent in your debt, if not wipe it out completely. When comparing different offers, pay attention to the terms surrounding a transfer. Be sure to calculate the cost of any balance transfer fees when deciding which balance transfer card is right for you. Once you’ve picked a card, you can often request the balance transfer during the online application process. You’ll need to have the account number available of where you want to transfer debt from. Otherwise, the application process is the same as applying for any other new card. What To Consider Before Paying Off a Card With a Balance TransferA balance transfer offer is not a one-size-fits-all solution to paying off a credit card. There are considerations to keep in mind. Balance Transfer FeeBalance transfer fees typically range from 3% to 5% of the amount being transferred. If you transfer $10,000 to a card with a 0% APR offer but has a 3% balance transfer fee, you’ll add another $300 onto your debt. It may make sense to choose a card with the lowest balance transfer fees possible. That said, even if you must pay a balance transfer fee, it could still help you save money overall depending on how much debt you have, what your card’s interest rate is and how long you need to pay off your debt. It always makes sense to do the math for your personal situation before making a decision. For example, continuing the example from earlier, paying a $300 balance transfer fee rather than over $1,000 in interest charges could save you more than $700. Just make sure you stick to a disciplined repayment plan so you zero out your balance before the intro period ends, otherwise you’ll be charged interest on any remaining balance at the regular APR. You Can’t Pay Off One Card Using Another Card From the Same BankBanks make money when you pay interest and other fees and generally won’t allow you to pay off one card using another card from the same bank. If you’re interested in a balance transfer offer, your best bet is to shift the balance from one bank-issued card to one with a 0% APR offer from a different issuing bank. You can get around this restriction by using the balance transfer offer as a deposit to your checking account, then using that money to pay your credit card bill. Your Credit Score MattersAlthough a balance transfer offer can give you a leg up on paying down your existing debt, the best balance transfer offers are typically reserved for those with the best credit scores. If you’re new to credit or have a less-than-stellar credit history you might not qualify for a balance transfer card. Even those with excellent credit should be aware that every time you apply for a new line of credit, it can ding your credit score. The 0% Period Will EndEventually, that promotional interest-free period will come to an end. If you haven’t made much progress in paying off your debt, you could find yourself stuck paying an even higher ongoing interest rate. Before you transfer a balance to a new card, make sure that you’ll be able to pay it off within the 0% APR period. You Don’t Know How Much Credit You’ll GetIf you’re looking to transfer $10,000 in debt, there’s no guarantee you’ll be approved for that amount on a new card. If you’re looking for the longest runway possible to pay down your debt, and the amount you’re approved for falls short of what you’re looking to transfer, then you’re stuck with two card balances to keep track of and make payments on. The Top Balance Transfer CardsIf you think a balance transfer card is right for you, Forbes Advisor put together a list of the best balance transfer cards to suit a variety of needs. Here are some suggestions to help you get started:
Alternatives to Balance TransfersAlthough a balance transfer card can be an appealing way to tackle debt, there are other options. Paying off the debt in one lump sum, for example, would eliminate the need to do a balance transfer. But short of having a pile of extra cash on hand, there’s another option to consider: a personal loan. For those who qualify, a personal loan can be a more appealing option than a balance transfer for a few reasons. For starters, they often come with lower, ongoing interest rates than credit cards. Try our personal loan calculator to see how much you could save. Personal loans are typically issued as a lump-sum payment so you can pay off the credit card issuer with the funds and then make monthly fixed payments to the lender. This can help your overall debt-to-available credit ratio and have a positive impact on your credit score. Keep in mind however that if your credit isn’t great, you likely won’t qualify for a great rate on a personal loan. Credit Card Cash Advances: Just Don’tTechnically you can pay off a credit card by taking out a cash advance on another card, but this is a bad idea. When you borrow money against your line of credit, it’s typically at a much higher interest rate than the APR on your credit card purchases. Some cards may also charge a service fee of anywhere from 3% to 5% of the amount you’re withdrawing. Plus, if you withdraw the cash from an ATM, you’ll likely get socked with fees for that as well. What Happens if You Don’t Pay Your Credit CardNot paying your credit card bill could lead to being delinquent on your account, which will have a damaging effect on your credit score. Most credit card companies will give you a 30-day grace period before reporting your lack of payment to the credit bureaus. After several months (time will vary by issuer) an account will be suspended or possibly even closed if no payments have been made. The next step will be having your account sent to collections, which could remain on your credit report for up to seven years. If you’re having trouble making credit card payments, reach out to your creditors first to let them know the situation and see if you can work out a different payment plan. You may also want to contact a nonprofit credit counseling company, like credit.org, which is part of the nonprofit organization National Foundation for Credit Counseling. A certified credit counselor can help you work through a debt management program at no cost to you and help you get back on track. Find the Best Balance Transfer Credit Cards Of 2022Bottom LineAlthough you can’t simply just use one credit card to pay off another, you might be able to take advantage of a balance transfer offer to lighten your debt load. But don’t rush to sign up for a new card with an introductory 0% APR offer before you weigh the pros and cons. If you don’t think a balance transfer is right for you, there are other options, but a cash advance on your credit card shouldn’t be one of them. How can I pay my credit card bill from another bank?How can I pay my credit card bill from another bank? You can pay your credit card from other bank accounts through NEFT where you can add the credit card number as payee to complete the payment.
Can you pay off a credit card with a debit card from another bank?However, you cannot use a debit of one bank to pay credit card bill of another bank. And unlike ATM cash withdrawals, credit card payments must be done at the respective bank ATMs not at any other bank ATMs.
Can I pay one credit card bill from another?If you're looking to pay off one credit balance using another card, this generally isn't possible. Banks don't allow you to pay your credit card balance using another credit card. Typically payments via check, electronic bank transfer or money order are the only acceptable methods of payment.
What are 3 ways to pay a credit card?Check — If your issuer accepts checks, you can mail one in with your credit card bill. Online bill pay — You may be able to use a checking account to complete payment with online bill pay. Money transfer — You may be able to wire money to pay your credit card through a money-transfer service like Western Union.
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