Data Index · Q2 2026
Balance Carrier Cost
Carrying $5,000 on a typical 22.36% APR card costs $1,118/year in interest. A 0% intro balance transfer card brings that to $0 for up to 15 months.
Typical card APR
22.36%
FRED G.19, Q2 2026
Annual interest cost
$1,118
On $5,000 balance
With 0% intro transfer
$0
For 15 months
Annual interest cost by balance
Comparison: typical card (22.36% APR) vs. 0% intro balance transfer vs. best low-APR card (12% APR). The $5,000 row (highlighted) is the representative median balance.
| Balance carried | Typical card 22.36% APR | 0% intro 15 months | Savings vs. typical |
|---|---|---|---|
| $2,000 | $447/yr | $0 | $447/yr |
| $5,000 | $1,118/yr | $0 | $1,118/yr |
| $10,000 | $2,236/yr | $0 | $2,236/yr |
| $20,000 | $4,472/yr | $0 | $4,472/yr |
The 0% intro transfer assumes the balance is paid off during the intro period. After the intro ends, the ongoing APR applies to any remaining balance. The low-APR card rate is an estimate; actual rates vary by creditworthiness.
How the Balance Carrier Cost has moved
Each month's value is recorded as a dated snapshot. The full machine-readable series is published as a public dataset.
| Month | Annual gap | APR spread |
|---|---|---|
| Nov 2026 | $518/yr | 10.4 pts |
| Oct 2026 | $475/yr | 9.5 pts |
| Sep 2026 | $475/yr | 9.5 pts |
| Aug 2026 | $475/yr | 9.5 pts |
| Jul 2026 | $475/yr | 9.5 pts |
Why this matters
According to the Federal Reserve, approximately 44% of U.S. credit card holders carry a balance from month to month. The national average credit card APR — as reported by the Federal Reserve’s G.19 Consumer Credit report — is 22.36%. At that rate, a $5,000 balance costs $1,118/year in interest — approximately $93/month.
A 0% intro balance transfer card eliminates that cost for the intro period (typically 12–21 months), usually for a one-time 3–5% transfer fee. On $5,000, a 3% fee costs $150 — well below the $1,118 in annual interest avoided during the intro period.
If you can’t clear the balance during the intro period, a dedicated low-APR card can still cut the ongoing rate roughly in half — saving $518/year vs. a typical card on a $5,000 balance.
Methodology & sources
- Average APR: FRED G.19 TERMCBCCINTNS (Federal Reserve Consumer Credit — Credit Card Interest Rate). Q2 2026: 22.36%.
- Representative balance: $5,000 — approximate median revolving balance among cardholders who carry a balance (Federal Reserve Survey of Consumer Finances).
- Intro period: 15 months — typical best 0% intro balance transfer offer.
- Low-APR card: 12% — estimated best ongoing APR on a dedicated low-interest card.
- This page uses market-level data, not individual card quotes. Actual rates depend on creditworthiness; rates quoted per the card’s terms, not the average of approved applicants.
JSON dataset available at /data/indices/card-carrier-cost. Updated quarterly when FRED publishes new G.19 data.