Incorrect spelling, explanation: this spelling is incorrect since the word transfer to which we add the suffix -ing, ends with the consonant-vowel-consonant combination. Such combination points to doubling the last consonant in case of adding the suffix. This is why transfering is an incorrect spelling and the correct one is transferring.
Correct spelling, explanation: there is a rule saying that if the word ends with a consonant-vowel-consonant combination we double the last consonant with whatever suffix is added. Therefore in word transfer, where we see f-e-r at the end, r is doubled when suffix -ing is added. Therefore the correct form is transferring, not transfering.
Definition of transferring:
verb, -ing form of transfer; to move something or someone from one place to another, usually used to move a person to another school or department
Transferring Jack to our department wasn’t a good idea – he doesn’t have a clue what is going on.
My parents are transferring me to a private school. They say the quality of education is better there.
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What Guest said is correct. The consonant-vowel-consonant rule only applies if the last syllable is stressed. No one really follows that rule anymore, so resources will often say that either if fine. At one time, the rule was followed, and in more educated circles, I’m sure that it still is.
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This is correct about “transferring”, but a consonant-vowel-consonant combination is not necessarily wrong. For the past participle “transferred” you double the R, but for other suffixes, you don’t (e.g. transferable, transference, transferential).
Keep in mind that this happens only when the last syllable is stressed. If not, you do not double the last consonant. For example wonder/wondering.
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Looks like it’s correct.