Credit card refinancing or balance transfer is the process of moving your credit card balance(s) from one card or lender to another. This is often done to take advantage of a low- or non-existent interest rate promotional period—however, this often comes with significant transfer fees. Credit card consolidation refers to the process of “paying off” credit card(s) with a lower-interest loan—like a personal loan. With a credit card consolidation loan, the borrower typically receives a lump sum with a fixed interest rate and terms to pay off credit card balances.