I was allergic to credit card debt for years, but helping my partner start a business completely changed my mind

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• When my partner added screen-printing services to his business, he took on a lot of debt.
• In order to minimize interest, we both applied for balance transfer credit cards.
• We paid off the first card in August and plan to pay off the second one by May, with no interest.

I was allergic to credit card debt for a long time. Growing up without much financial education, one lesson I learned without question was that debt was bad. I ran up one card for a few thousand dollars in my 20s, and I paid it off years later through a settlement with a debt collector. After that, I waited a few years before opening another credit card for day-to-day use, and I’ve been in the habit of paying off that card each month to avoid carrying a balance that would accrue interest.

My partner got a different lesson about debt. He understood that it can be a resource to help you achieve the goals you want to achieve and live the life you want to live. He’s not afraid of debt the way I was taught to be — not even of a big, bad balance on a credit card.

After nearly a decade of working in the personal finance industry, I’ve come to agree with him.

Credit card debt feels scary when all you know is you’re not supposed to have it and you’re supposed to eliminate it as fast as possible. But if you learn how these products work and what’s available to help you manage them, they won’t be so intimidating.

The simplest credit card debt management option I’ve learned is the balance transfer card.

My partner expanded his business — and took on debt

Last year, my partner built upon his graphic design business to offer screen-printing services. He bought a used screen printing press, inks, and other accessories. He took orders from clients, and he printed his own designs to sell online and at markets.

He quickly learned that providing physical products involves much more complicated cash-flow management than providing digital services.

He used a business credit card to buy the t-shirts, totes, inks, transparencies, cleaners, and other tools he needed to fulfill orders. As he was getting his business off the ground, he used the revenue to pay himself and cover other costs and didn’t pay off the credit card in full each month.

Last fall, he brought me into the business to help with operations through a transition, and I learned his credit card balance was $10,000.

That’s a relatively small price to pay to expand a business, and it’s not uncommon for small business owners to carry that kind of debt. But we didn’t want it growing any further, so we needed a plan to repay it that wouldn’t strain our monthly finances in the fledgling business.

A balance transfer credit card will make paying off the debt easier

That’s where the balance transfer card came in.

What makes paying off credit card debt particularly vexing is how fast it grows with interest. You’re not required to repay the balance in full each month, only a minimum payment that’s a tiny percentage of that.

The rest sits and accrues interest at higher rates than almost any other debt product (save, probably, payday loans). Minimum payments usually don’t keep up with the accrued interest, so you can make payments every month and still watch your debt grow.

A balance transfer card puts a stopper in that out-of-control growth so payments can finally shrink the balance.

Credit card companies often offer an interest-free introductory period when you transfer your balance from another credit card company onto their card. For them, it’s a great way to bring in new customers. For us, it’s a great way to manage credit card debt — as long as we plan carefully and fully understand the product.

We needed a longer introductory period

Introductory periods are usually six to 12 months long. The catch with balance transfers is if you don’t repay the balance within the promotional period, not only does it start accruing interest, but you also get slapped with back interest. So a balance transfer loses its benefits quickly if you don’t stick to a clear repayment plan.

That wasn’t going to be long enough for us. Repaying $10,000 that quickly would have put a strain on our cash flow and wasn’t in line with our goals. Thankfully, we found one card with an unusually long introductory period: the Citi Simplicity Card, which offers 0% APR on balance transfers for 21 months.

Neither of us was approved for a card with a high enough limit to take on the full $10,000, so we split the debt as best we could: $2,500 onto my card and $5,000 onto his. We made a schedule to repay the transferred balances within 21 months, dedicating $500 per month over the minimum payments toward one card at a time.

Thanks to this simple maneuver, we paid off my card in August, and we’re on schedule to pay off his next May — all with no interest to set us back.