Can you pay a credit card with another credit card?

If you’re carrying an outstanding balance on a credit card account, you might wonder if you can use another card to pay it off. But using a credit card to pay off another card isn’t typically an option. 

A balance transfer or cash advance could be an alternative. Learn about using a balance transfer or cash advance to pay off credit card debt, including interest, fees and the possible impact on your credit.

What you’ll learn:

• In general, you can’t directly pay your monthly credit card bill using another credit card. 

• A balance transfer may offer a promotional period that could save you money on interest. But it’s important to consider transfer fees and know how long promotional periods last.

• Using a cash advance to pay off a credit card might cost you more in fees, and interest could start accruing at a higher rate immediately.

• If you’re considering using one credit card to pay off another, thinking about your budget, transaction terms, payment schedules, credit limits and credit scoring could help you make an informed decision.

You typically can’t pay one credit card with another—at least, not directly. To make a credit card payment, you usually have to use funds from your bank account or make an automated clearing house (ACH) transfer. You could even pay in cash.

But transferring your balance to another card may be a way to indirectly use a credit card.

A credit card balance transfer involves moving debt from one or more credit card accounts to a new card. A balance transfer could help you pay off your debt faster by consolidating credit card debt, getting a lower interest rate or both. But setting realistic expectations is also important. According to the Consumer Financial Protection Bureau (CFPB), “If problems with debt have affected your credit score, you probably won’t be able to get low interest rates.”

Here are some things to consider about paying off a credit card using a balance transfer. 

• APR: A balance transfer could come with an introductory low annual percentage rate (APR), which might help you pay down debt faster. Understanding when the promotional rate ends and the standard rate kicks in can help you budget and plan payments.

• Potential fees: You may have to pay a balance transfer fee. Card issuers could charge a flat fee or a percentage, typically 3% to 5%, of the transferred amount. 

• Monthly payments: Making at least the minimum payment on time for both credit card accounts is important if you want to keep your accounts in good standing. Late payments could incur fees and the loss of any promotional interest rate.

• Potential restrictions: You can’t typically transfer balances between different cards from the same credit card issuer. And according to the CFPB, promotional rates may not be available depending on your credit scores. 

• Impact on credit scores: ​​Opening a balance transfer credit card may affect your credit scores. It can trigger a hard inquiry that can cause a small but temporary drop in your credit scores. Balance transfers could also lower the average age of your credit accounts, which is something lenders look at when assessing your creditworthiness. But when done responsibly, using a balance transfer card to pay down credit card debt can have a positive impact on your credit scores by decreasing the total amount you owe on your accounts.

A cash advance on a credit card lets you borrow money against your card’s available credit. But using it to pay off other debt can be risky. Unlike with a balance transfer, lowering your interest rate isn’t typically an option. And as the CFPB notes, “many people don’t succeed in paying off their debt by taking on more debt unless they lower their spending.” 

Here are some reasons using a credit card cash advance to pay off another credit card may not be a good idea.

• APR: The interest rate on cash advances is typically higher than rates on standard purchases.

• Fees: Card issuers may charge a flat fee or a percentage, often 3% to 5%, for cash advances.

• Monthly payments: Interest typically starts accruing immediately, with no grace period. This means you won’t have the option to pay off the balance without any interest charges.

• Potential restrictions: Some issuers limit how much of your available credit can be withdrawn as cash. If you’ve used all of your available credit on purchases, you may not be able to take out a cash advance even if you haven’t reached your cash advance limit.

Even if a cash advance isn’t an option, the CFPB says a credit counselor might have advice about debts, budgeting and more.

You typically can’t pay off one credit card using another. But if you’re thinking about using a balance transfer or cash advance to pay off your card, it’s a good idea to check into any interest charges or fees that would apply before moving forward.

If you want to consolidate debt, you can see whether you’re pre-approved for credit cards without harming your credit scores. You can also monitor your credit report and scores with CreditWise from Capital One. It’s free to use, and it won’t hurt your credit scores.