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Minemi Credit Card Balance Transfer Calculator
See how much you could save by transferring debt from a high-interest loan or credit card to a more favorable loan.
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Last Updated: Oct 14, 2024 · 3 min read
Written By: Shanti Singh
Lead Writer 
Edited by Priya K.
Fact Checked
If you're carrying debt on a credit card or a personal loan with high interest rates, you're likely paying a significant amount in interest each year. By transferring this debt to a balance transfer option with a lower rate, you can save on interest and pay off your debt faster. Use Minemi's balance transfer calculator to see how much you could save by transferring your debt.
Our balance transfer calculator provides an estimate of your potential savings. Input details like your current debt amount, interest rate, and transfer details to gain insights into possible savings.
Balance Transfer Calculator
Transferring debt to a credit card or loan with a lower interest rate can save you money on interest while you pay off your debt.
Your Existing Debt
Transfer Loan Type: (required)
Details of New Loan
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Understanding Your Results
The results from our calculator provide an estimate of how much you could save by moving your debt to a low-interest loan or credit card. This is based on two scenarios:
1. Pay off the debt with your current lender: Calculate the interest and total amount payable if you continue repaying your debt at the current high-interest rate.
MinEmi Tip
Adjust the repayment period in the calculator to explore how different terms impact your total interest cost. Additionally, consider converting your credit card debt into fixed EMIs or opting for a Personal Loan on Credit Card (PLCC) offered by many banks to save on interest.
2. Move to a Balance Transfer Option With a Lower Interest Rate: Compare the potential savings by transferring to a lower-interest loan or card and paying it off within a specified period.
Understanding the impact of your debt repayment strategy without utilizing a balance transfer can help you make informed financial decisions. Below is a table illustrating different scenarios with varying monthly payments and interest rates.
| Principal (₹) | Monthly Payment (₹) | Interest Rate (APR %) | Total Interest Paid (₹) | Total Amount Paid (₹) | Time to Pay Off Debt | Impact |
|---|---|---|---|---|---|---|
| ₹1,00,000 | ₹10,000 | 12% | ₹6,000 | ₹1,06,000 | 12 months | Manageable and quick repayment. Save with higher payments. |
| ₹1,00,000 | ₹5,000 | 12% | ₹24,000 | ₹1,24,000 | 24 months | Increased interest over a longer period. Leads to higher total cost. |
| ₹1,00,000 | ₹2,500 | 18% | ₹52,000 | ₹1,52,000 | 48 months | Very high interest cost with prolonged repayment. Needs optimization. |
| ₹1,00,000 | ₹1000 | 24% | ₹1,02,000 | ₹2,02,000 | 60 months | Extremely high interest and extended repayment period. Consider balance transfer to reduce costs. |
Key Insights:
- Higher Monthly Payments: Opting for higher monthly payments can significantly reduce the total interest paid and shorten the repayment period.
- Extended Repayment Periods: Lower monthly payments might seem manageable, but they result in a much higher total cost due to increased interest.
- High-Interest Rates: Managing debts with high APRs without a balance transfer can lead to substantial financial strain over time. Consider exploring balance transfer options to alleviate the interest burden.
Ways to Pay Off Debt Faster
- Increase Monthly Payments: Allocate more towards repayment to reduce interest and shorten the tenure.
- Consolidate Debt: Use Minemi’s balance transfer options to combine loans at a lower interest rate.
- Prioritize High-Interest Debts: Pay off the costliest debts first for better savings.
- Stick to a Budget: Allocate fixed amounts to repay debt consistently.
More MinEmi Perspectives
Where can people run into trouble with a balance transfer?
The cost of debt without a balance transfer
Carrying credit card debt without taking a balance transfer can significantly increase the total cost of repayment. To help you understand this better, we’ve developed a calculator that shows the monthly payment required to pay off your debt within a given timeframe.
It’s important to note that paying off debt is not as simple as dividing the principal amount by the number of months in the repayment period. For example, if you have ₹1,00,000 in debt and plan to pay ₹10,000 per month over 10 months, you will still owe more because of the added interest. At an interest rate of 16%, you’d need to pay approximately ₹10,700 per month to completely clear the debt within 10 months.
With the calculator below, you can input your credit card balance, interest rate, and repayment period to receive insights into:
- .Required Monthly Payment: The exact amount needed to eliminate the debt in your desired timeframe.
- Total Interest Paid: The cumulative interest cost over the repayment period.
- Total Amount to Be Paid:The overall cost, including the principal and interest.
Monthly payment calculator
This calculator shows you exactly how much you would have to pay each month to eliminate credit card debt within a specific time frame.
All calculations are estimates. Finance charges will vary according to your credit card's terms. Your card may require a minimum monthly payment higher than the number shown by this calculator.
How Credit Card Balance Transfers Work in India
Managing high-interest credit card debt can be challenging. In India, several financial institutions offer solutions to help you manage and reduce this burden:
1.Personal Loan on Credit Card (PLCC):
- Overview:Some banks provide pre-approved personal loans to their credit cardholders, allowing them to access funds at interest rates lower than standard credit card rates.
- Benefits: These loans often come with flexible repayment tenures and fixed EMIs, making debt management more predictable.
- Example: HDFC Bank offers a ‘Loan on Credit Card’ facility, providing instant loans to cardholders with minimal documentation.
2.Balance Transfer Products:
- Overview:This facility enables you to transfer outstanding balances from one or multiple credit cards to another card with a lower interest rate.
- Benefits: By consolidating debt under a single card with a lower rate, you can reduce overall interest expenses.
- Example: SBI Card offers a balance transfer option where you can transfer dues from other bank credit cards to an SBI Card at lower interest rates.
3.EMI Conversion Options:
- Overview:Many banks allow you to convert your existing credit card dues into Equated Monthly Installments (EMIs).
- Benefits: This approach breaks down your debt into manageable monthly payments, often at a lower interest rate than the standard credit card rate.
- Example: ICICI Bank provides an option to convert credit card transactions into EMIs, helping customers manage their finances better.
Key Considerations:
- Interest Rates: While these facilities offer lower rates than standard credit card charges, it’s essential to compare rates across different banks to ensure maximum savings.
- Processing Fees: Be aware of any processing or transfer fees associated with these services, as they can impact overall savings.
- Eligibility: Banks may have specific eligibility criteria, such as a good credit score or a history of timely payments, to avail of these facilities.
By exploring these options, you can choose a strategy that aligns with your financial goals and helps you manage credit card debt more effectively.
Take Charge of Your Finances
Using Minemi’s Home Loan Eligibility Calculator is just the first step in your homeownership journey. With clear insights and actionable recommendations, you’re now better equipped to make informed decisions. Start comparing lenders, optimize your financial profile, and turn your dream of owning a home into reality.
Let Minemi be your partner in simplifying home loan eligibility —helping you make smarter, faster, and better financial choices.
Choosing the Right Balance Transfer Option
Selecting an appropriate balance transfer option is crucial for effective debt management. Consider the following factors to make an informed decision:
1.Balance Transfer Fees:
- Overview:Banks typically charge a fee for processing balance transfers, usually ranging between 1% to 3% of the transferred amount.
- Consideration: Ensure that the interest savings from the lower rate outweigh the transfer fee. For instance, if you’re transferring ₹1,00,000 and the fee is 2%, you’ll incur a ₹2,000 charge.
2.Interest Rate Differential:
- Overview:The difference between your current interest rate and the new rate offered by the balance transfer option.
- Consideration: A significant reduction in the interest rate can lead to substantial savings. For example, moving from a 24% APR to a 12% APR can halve your interest expenses.
3.Lender’s Reputation and Practices:
- Overview:The credibility and customer service quality of the new bank or financial institution.
- Consideration: Opt for lenders known for transparent practices and efficient customer support. Research their debt collection methods to avoid potential issues.
4.Rewards and Benefits:
- Overview: Some credit cards offer rewards like cashback, travel points, or discounts.
- Consideration: While rewards are beneficial, prioritize lower interest rates and favorable terms over perks. However, if two options are similar in rates and fees, choose the one with better rewards.
5.Balance Transfer Fees:
- Overview:The duration and flexibility of the repayment period.
- Consideration: Ensure the repayment tenure aligns with your financial capacity. Longer tenures may reduce monthly payments but could increase total interest paid.
MinEmi Tip
Before finalizing a balance transfer, calculate the total cost, including transfer fees and interest over the repayment period, to ensure genuine savings.
Frequently asked questions
Need Help with Debt Management?
Will a balance transfer always save me money?
Can I transfer balances between cards from the same bank?
How does a balance transfer affect my credit score?
What happens if I miss a payment on my balance transfer?
Are there limits to how much I can transfer?
Is it possible to transfer other types of debt to a credit card?
What should I do after completing a balance transfer?
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