You cannot transfer a balance on your Amex EveryDay Preferred, as this card doesn’t allow this kind of transactions.
However, there are several credit cards on the market that are specifically geared towards balance transfers. Good balance transfer credit cards come with a 0% introductory APR for several months, a low balance transfer fee and a $0 annual fee.
Lastly, you can check our editors’ latest picks for the best among them and weigh your options.
No, balance transfers do not hurt your credit score directly, though transferring a balance can indirectly lead to credit score damage. When you apply for a balance transfer credit card, for example, it will generate a hard inquiry on your credit report, causing a slight dip in your credit score.
If you transfer a balance to an existing credit card account, however, there is no hard inquiry and no credit score damage. A balance transfer could still result in high credit utilization, though, and allow you to rack up more debt than you can afford to repay. Both of those things can hurt your credit score.
So, the act of transferring a balance itself won’t affect your credit, but it will indirectly alter several key components of your credit profile, from utilization to the age of your accounts. These changes might lower your score a bit in the short term. But over time, interest savings and the ability to pay off your debt faster should make transferring a balance a net positive for your credit score.
How Balance Transfers Can Help or Hurt Your Credit Score
Credit Inquiries Hurt: If you apply for a new balance transfer card, the resulting hard inquiry will likely cause a slight dip in your credit score for up to 12 months.
Lower Account Age Hurts: Adding a new balance transfer card will reduce the overall age of your accounts, which can have a slight negative impact on your score.
Increased Utilization Hurts: Keep an eye on how the transfer affects your account’s credit utilization. Making a transfer will usually add 3%-5% to your debt due to balance transfer fees. If your utilization is over 30% of your credit limit, that’s not good for your score.
Missed Payments Hurt: If you don’t continue to make payments to your original creditor while the balance transfer is being processed, your credit score will suffer. Balance transfers can take up to three weeks, or be completed in just a few days, after you make a request or apply for a card.
Reduced Utilization Helps: If you leave your old credit card(s) open, adding a new card will reduce your utilization ratio across all accounts, assuming no additional spending. The utilization on the card you transferred the balance from will drop, and it will increase on the card you transferred the debt to.
Low Interest Helps: Balance transfer cards often have 0% introductory APRs. This gives you the chance to pay off your balance faster, since the full amount of your payments will go to the principal rather than interest. This is good for your score long-term.
Less Debt Helps: A balance transfer can help you reduce your debt load. That’s important because how much debt you owe is a key ingredient in your credit score. The less, the better, since people with little-to-no debt are in a more stable position financially.
Balance transfers won’t hurt your credit by themselves. But they affect other elements of your credit that could bring your score down a little temporarily. Still, the benefits will outweigh the negatives in the long run, as long as you plan to repay most, if not all, of your balance during your card’s low introductory APR period.
Where people get into trouble is trying to use a balance transfer to support unsustainable spending habits, thinking 0% balance transfer credit card offers are always available. They’re not, and learning that the hard way is a very expensive mistake. So make sure to use a balance transfer calculator to make a payment plan.
The Amex EveryDay Card credit limit is determined on a case-by-case basis. There isn’t even a minimum limit listed in the terms and conditions. It all comes down to your credit history, income and debt, plus Amex’s particular preferences and priorities.
This means you won’t know what your spending limit is until you’ve been approved for this card. But if you’re not satisfied with the limit you get, you’re not necessarily stuck with it forever. You can request a … read full answercredit limit increase online or by calling customer service. And if you don’t get approved for the credit limit you need for a specific purpose, you can always try a different card.
Here’s more info about Amex EveryDay credit limits:
Basics: Amex will review your credit history, income, assets and existing debt obligations to determine how large of a credit line you can afford. The higher your credit score is and the more money you have available after existing obligations, the higher you can expect your Amex EveryDay credit limit to be.
Reports: According to anecdotal reports, there are people who got a $5k limit with a 706 score and a $8k limit with a 678 score. But you have to take people’s claims with a grain of salt.
Increases: If you’ve had your Amex EveryDay for at least 60 days, you can request a credit limit increase. Call Amex customer service at (800) 528-4800, enter your account number, and then state your request. You can also do so online, by logging into your account and going to the “Credit Management” page and clicking on “Increase Line of Credit.”
There’s no way of knowing what your Amex EveryDay credit limit is going to be beforehand. But the best way to get the limit you want is to keep improving your credit. And WalletHub’s free credit monitoring tool can help. Also, while it’s not the same as a credit limit increase, paying off your balance multiple times a month can allow you to get more use out of your card at its current limit.
WalletHub Answers is a free service that helps consumers access financial information. Information on WalletHub Answers is provided “as is” and should not be considered financial, legal or investment advice. WalletHub is not a financial advisor, law firm, “lawyer referral service,” or a substitute for a financial advisor, attorney, or law firm. You may want to hire a professional before making any decision. WalletHub does not endorse any particular contributors and cannot guarantee the quality or reliability of any information posted. The helpfulness of a financial advisor's answer is not indicative of future advisor performance.
WalletHub members have a wealth of knowledge to share, and we encourage everyone to do so while respecting our content guidelines. This question was posted by WalletHub. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. In addition, it is not a financial institution’s responsibility to ensure all posts and questions are answered.
Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offer’s details page using the designation "Sponsored", where applicable. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.