Do You Get Cash Back on Balance Transfers?
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Written by
Angela Mae
Balance transfer cards let you move the debt from one credit card to another, ideally with a much lower interest rate. Some will even have a 0% APR introductory period. As long as you pay off the full balance during that window, you won’t get charged interest.
If you want to get the most out of your balance transfer card, you’ll probably want to choose one with a rewards program. That way, you’ll earn miles, points or cash back whenever you make a qualifying purchase.
Now, you may be wondering: Do you get cash back on balance transfers?
Unfortunately, the answer is usually no. Most credit cards only let you earn rewards or other bonuses for qualifying new purchases — not balance transfers.
That doesn’t mean these cards aren’t worth it, though. If you’re thinking about getting a balance transfer card for rewards, here’s what you need to know.
Balance Transfer Cards With Rewards
The best balance transfer cards come with two things:
- A rewards program that lets you earn cash back, bonuses, miles or other perks through regular spending
- A 0% introductory balance transfer APR that lasts between 12 and 18 months (depending on the card)
But remember, you usually won’t earn rewards simply by completing a balance transfer. You can, however, earn rewards by using the card for qualifying purchases.
While you should always do comparison shopping before applying for a new credit card, this list of balance transfer cards with rewards should help you get started.
Citi Double Cash® Card
With the Citi Double Cash® Card (an advertising partner), you’ll get 0% Intro APR on balance transfers for 18 months, then 18.24% - 28.24% (Variable). A 18.24% - 28.24% (Variable) APR will apply for purchases.
There’s no annual fee. You can also earn 2% unlimited cash back — 1% when making a purchase and 1% when paying it off. If you spend $1,500 within the first six months of opening an account, you’ll earn an additional $200 cash back. To learn more read our full Double Cash Card Review.
Chase Freedom Unlimited® Credit Card
The Chase Freedom Unlimited® credit card offers 0% Intro APR on Purchases and Balance Transfers for 15 months, then 18.99% - 28.49% Variable APR will apply.
The card also offers unlimited 1.5% cash back on everyday purchases. Drugstore purchases, dining at restaurants and certain delivery services earn 3% cash back. Travel purchases made through Chase Travel earn 5% cash back. To learn more read our full Freedom Unlimited Review.
You’ll also benefit from no annual fee and a massive bonus opportunity your first year.
Blue Cash Everyday® Card from American Express
The Blue Cash Everyday® Card from American Express comes with no annual fee and a offers a 0% intro APR on purchases and on balance transfers for 15 months from the date of account opening, then 20.24%-29.24% Variable APR.
If you spend $2,000 on purchases in the first six months, you’ll earn a $200 statement credit. You can also earn cash back on your purchases. To learn more read our full Blue Cash Everyday Card Review.
Capital One VentureOne Rewards Credit Card
Available through Capital One, the Capital One VentureOne Rewards Credit Card offers a 0% intro on purchases and balance transfers for 15 months, then 19.24% - 29.24% (Variable).
There’s no annual fee. For a limited time, enjoy a $100 credit to use towards flights, stays and rental cars booked through Capital One Travel during your first cardholder year. Plus, earn 20,000 bonus miles once you spend $500 on purchases within the first 3 months from account opening. Along with this, the card earns 1.25 miles per dollar spent. Booking a car, vacation rental or hotel through Capital One Travel will earn you 5 miles per dollar. To learn more read our full VentureOne Card Review.
Wells Fargo Active Cash® Card
The Wells Fargo Active Cash® Card comes with 0% intro APR for 12 months from account opening on purchases and qualifying balance transfers, then a 19.24%, 24.24%, or 29.24% Variable APR.
There’s no annual fee. You’ll also earn unlimited 2% cash rewards on purchases. And if you spend $500 on purchases within the first three months, you’ll get $200 in cash rewards. To learn more read our full Active Cash Card Review.
Is It Worth It To Get a Balance Transfer Card That Has Rewards?
This depends on your situation and goals. If you find a card that offers 0% introductory APR and you can pay off the balance before that period ends, you could save money on interest — possibly hundreds of dollars or more. This could make even a balance transfer card without rewards worth it in the long run.
But don’t forget that some credit cards come with an annual fee. Most will also have a balance transfer fee. This is usually between 3% and 5% of the amount transferred (e.g., a $2,000 balance transfer could have a $60 to $100 balance transfer fee).
If you really want to take advantage of a rewards program, getting a balance transfer card that lets you earn points, cash back or other perks could be worth it. Just run the numbers before you apply.
And remember, you’ll generally pay interest on any new charges. If you’re already transferring the balance from one card to another, it might be better to pay it off before making any new transactions. That way, you won’t get overwhelmed with those minimum monthly payments (or excessive interest charges).
The Bottom Line
So, do you get cash back on balance transfers? The short answer is no. Most rewards programs only apply to new purchases made with your credit card.
Balance transfers also usually don’t count towards points. And if you’re wondering whether or not a balance transfer counts towards other rewards, the answer is also usually no.
The main benefit of getting a balance transfer card with a rewards program is that you can save money on interest — provided you qualify for a 0% intro APR. Once you have the card, and especially as you start paying down your balance, you can also use that card to make purchases and earn rewards or points that way.
Frequently Asked Questions
Whether you want to know if you get cash back for balance transfers, or you’re curious about the impact of balance transfers on your credit, it’s good to be informed. Here are answers to some frequently asked questions about balance transfer cards.
Can you earn cash back on balance transfers?
Typically, you won’t receive cash back from a balance transfer. This is because most credit card companies only let you earn from new spending. You may also not get points or other rewards for a balance transfer.
What is the catch to a balance transfer?
The biggest catch is that your balance transfer generally won’t count toward your rewards program, meaning you won’t earn points, cash back, miles or other perks.
Balance transfers often come with a fee that’s a percentage of the amount transferred. Along with this, even cards with a 0% intro APR will eventually switch to a higher variable APR. Depending on the rate you get, you could end up paying more in interest than you anticipated. This could also make it harder to make your monthly minimums (depending on your balance) or pay off what you owe.
You may want to wait before making any new purchases with your card — and thus earning rewards — until after you’ve paid off your initial balance. While this can delay your ability to rack up those points or miles, it can also help you get ahead of your debt.
Can I get cash back with a balance transfer?
If you get a balance transfer card with a rewards program, you could earn cash back — and other rewards — by using it according to the card issuer’s terms.
Do balance transfers hurt your credit?
Your FICO Score is calculated based on the following factors: new credit (10%), average length of credit history (15%), payment history (35%), credit mix (10%) and amounts owed (30%).
When you apply for a balance transfer card, you may see a hard credit inquiry on your report as the issuer checks your credit. This could temporarily bring down your score by a few points. The actual balance transfer shouldn’t directly impact your credit.
As long as you make regular on-time payments — and pay down your credit utilization — you should see a positive impact on your credit score over time.
