If you are considering transferring your credit card balance to a new low rate 0% APR card you may want to reconsider.  Transferring your balances often can hurt your credit score.  You may only want to do it maybe once a year.

Should I Leave My Old Credit Card Open If I Do A Balance Transfer?

If you do a credit card balance transfer you should leave your old credit cards open.  The way the credit reporting system works is flawed.  If you cancel a credit card all of the credit history goes with it.  So you will look like a new credit user if you get rid of the card.  Just keep them open.  I know it does not make sense but this is how it works.

Does Doing A Balance Transfer Lower My Credit Scores?

Doing multiple balance transfers every year can have a big impact on lowering your credit score.  In the eyes of the credit bureaus you are in trouble and lower your credit score for it.  They do not want you to take on more new credit and increase your financial exposure.  The credit card companies are being more careful about exposing themselves to risk in this economic environment.  Doing one balance transfer a year probably wont have to much of an impact on your credit score.

The other problem you can have with transferring balances often is that at some point you can get cut off and you may be stuck with an interest rate that is going to go sky high.