Your debt is too large to clear in 18 months, or if you prefer the discipline of a fixed monthly bill to prevent "re-spending" available credit.
Unlike a transfer card, you will pay some interest over the life of the loan.
If paid in full within the intro window, you pay zero interest on the principal. Ease of Access: Generally faster to apply for than a loan. Cons:
Moving revolving debt (credit cards) to an installment loan can improve your credit utilization ratio. Cons:
If the balance isn't cleared by the end of the intro period, the remaining debt is subject to a standard high APR (often 20%+).
Most cards charge an upfront fee of 3% to 5% of the total balance.
Some lenders charge fees that are deducted from the loan proceeds. Critical Comparison Table Balance Transfer Card Personal Loan Best For Smaller balances that can be paid quickly. Large balances requiring 2+ years to pay. Interest Rate 0% (Introductory period only). Fixed (Higher than 0%, lower than cards). Repayment Structure Flexible (minimum payments required). Fixed monthly installments. Credit Impact High utilization on a single card. Improves credit mix and utilization. The Decision Framework
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