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
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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