credit score?

[trebark]

I'm thinking about doing a balance transfer. By doing this will my cridit score be affected?

[kork13]

It depends. Doing a balance transfer will not, in itself, affect your credit score.

But there are some ways that you could affect it in the process. Are you opening a new credit card to do the balance transfer? Are you closing the old credit card once the balance is transferred? Is it possible that you'll miss (or be late on) any payments for the transferred balance? All of these things, if you do them, will negatively impact your credit score (some temporarily, others long-term).

A note of caution, please just make sure that the interest rate you're transferring to is good (significantly better than what you're currently paying), that the rate will last long enough for you to pay off the balance entirely, and make sure you understand what the balance transfer fees will be (Typically at least 3% of the balance or some minimum amount).

[trebark]

Kork13, your reply was very helpful! Thank You.

[trebark]

credit score?

One other question. Will appling for a new credit card hurt my credit score?

[kork13]

One other question. Will appling for a new credit card hurt my credit score?

Applying for a new credit card may ding your credit score for a short period, but the slight drop is very temporary... within a few months your score will go back up to what it was previously. On the plus side, a new credit line will also raise your available credit, which reduces your overall credit utilization, and should theoretically help your score. It's a balance.

Bottom line, don't let concern over your credit score dictate if/when you apply for credit. If you need a new/different credit card, get it. If you don't need it, don't get it.