Best Balance Transfer Credit Cards

Are you looking to reduce your credit card debt?

A balance transfer credit card may be the right solution for you.

You may be thinking, surely getting further into debt will only cause more issues. And yes, that's sometimes right. However, a balance transfer credit card allows you to transfer the balance from one card to another, enabling you to pay back the debt on another card at a lower interest rate.

In this article, we cover all the details you need to know about balance transfer credit cards, and we share our top picks for the best ones you can apply for!

Benefits and Drawbacks of Balance Transfer Credit Cards

Like most financial tools, there are benefits and drawbacks, and you must know about them before making any commitments.

Benefits

✔️ Introductory offers: usually, when you apply for a balance transfer credit card, introductory offers are 0% interest rate over a set period. If your current credit card has high APR rates, you can use the 0% interest period on the balance transfer card to allow you to pay the credit back during this time to avoid paying any more interest.

✔️ Debt consolidation: if you've got debt across multiple cards, with a balance transfer credit card, you can put it all onto one card. This means your monthly payments will be lower, and you'll only have to pay back one balance instead of multiple.

✔️ Increase credit score: using a balance transfer card to consolidate debt and pay it back with less interest will help build your credit rating.

Drawbacks

❌️ Credit limits: depending on how high your current credit card debts are, you may need help finding a balance transfer credit card that can cover all the balances.

❌️ Balance transfer fees: some card providers charge a transfer fee varying from 0% to 5% of the transferred balances.

Six Balance Transfer Credit Cards — Reviews

1. NatWest Longer Balance Transfer Card

NatWest Longer Balance Transfer Card

Credit Limit

Minimum £250

Representative % APR (variable)

23.9% APR

• 0% interest for 30 months on balance transfers.
• 0% interest for the first 3 months on purchases.
• 2.99% balance transfer fee applies. No annual fee.

Check my eligibility See more details

Representative Example – If you spend £1,200 at a purchase interest rate of 23.9% p.a. (variable) your representative APR will be 23.9% APR (variable). Your APR and credit limit may vary depending on your circumstances.

From our top picks, this has the longest interest-free period. So, if you need more time to pay back your debt, this is the ideal card for you.

The NatWest Longer, Balance Transfer Card, provides a 30-month interest-free period allowing you plenty of time to transfer balances and pay back your debt. A longer interest-free period means you save money and gives you more time to pay back the balance. Once the promotional period ends, a representative 23.9% APR (variable) will be applied to the account.

This balance transfer card has no annual fees and a 2.99% balance transfer fee. All transfers must be at least £100, and you can transfer up to 95% of the available credit limit. It's important to note that you won't be allowed to transfer balances.

To be eligible for a NatWest Balance transfer card, you must be over 18, a UK resident, and have an annual income of over £10,000. Credit limits are subject to individual financial circumstances.

On top of all the above great features, you can also take advantage of three months of 0% interest on purchases!

2. Sainsbury's Bank Balance Transfer Credit Card

Sainsbury's Bank Balance Transfer Credit Card

Credit Limit

Subject to status

Representative % APR (variable)

22.9% APR

• 0% interest on balance transfers for up to 26 months.
• Balance transfer fee 3% (£3 minimum).
• No annual fee.

Check my eligibility See more details

Representative Example – If you spend £1,200 at a purchase interest rate of 22.95% p.a. (variable) your representative APR will be 22.9% APR (variable). Your APR and credit limit may vary depending on your circumstances.

If you want to make the most of your balance transfer card, the Sainsbury's Bank Balance Transfer Credit Card allows you to collect nectar points if you use your card in Sainsbury's, Argos, and Habitat & Tu clothing. You can earn up to three points for every £2 spent at the selected stores.

With up to 26 months free interest period, you can tackle your debt with balance transfers that come with a 3% fee — this fee can change depending on an offer available at the time of application. This credit card has no annual fees, and you can take advantage of 0% interest on any purchases made within the first three months of opening the account.

Interest rate, promotional period, and credit limit vary depending on your circumstances

3. MBNA No-fee Balance Transfer Card

MBNA No-fee Balance Transfer Card

Credit Limit

Minimum £100

Representative % APR (variable)

22.9% APR

• 0% interest up to 15 months.
• No balance transfer fee.
• Make repayments through your bank, using your debit card, or set up a regular Direct Debit.

Check my eligibility See more details

Representative Example – If you spend £1,200 at a purchase interest rate of 22.9% p.a. (variable) your representative APR will be 22.9% APR (variable). Your APR and credit limit may vary depending on your circumstances.

If you want to make balance transfers with no fees, then the MBNA balance transfer credit card may be right for you. The interest-free period may be up to 15 months (one of the shortest on our list); however, it does offer one of the lowest APR rates at 22.9%. So, when the promotional period ends, you'll pay a lower interest rate on the remaining balance.

You can manage this credit card online, allowing you to control your finances from your computer, smartphone or tablet. You can choose how you make your repayments, use your debit card or set up a regular direct debit so you can make repayments without worrying about forgetting when payments are due.

To be eligible for this account, you must be a UK resident over 18 and have a regular annual income. Additionally, you'll not be accepted if you've got County Court Judgements, Individual Agreements, or bankruptcies on your credit report.

4. Barclaycard Platinum Credit Card

Barclaycard Platinum Credit Card

Credit Limit

Minimum £50

Representative % APR (variable)

24.9% APR

• 56 days interest free period.
• 0% interest up to 12 months.
• No balance transfer fee.

Check my eligibility See more details

Representative Example – If you spend £1,200 at a purchase interest rate of 24.9% p.a. (variable) your representative APR will be 24.9% APR (variable). Your APR and credit limit may vary depending on your circumstances.

Transferring your credit card balance has never been easier with the Barclaycard Platinum Credit Card, and they offer you 0% interest for up to 12 months on all balance transfers, 0% transfer fees, and 0% interest on purchases for up to 3 months from the opening date of your account.

Once the interest-free balance transfer period is over, a 24.9% representative APR rate will apply to the account if you still need to pay back the balance.

The approval of your application will depend on your financial circumstances and credit history and will determine interest-free periods, and rates may change. However, whatever rates you're offered, you can still take advantage of the introductory offer of up to five months free of Apple services such as Apple TV+, Apple Music, Apple Arcade, and more!

5. HSBC Balance Transfer Credit Card

HSBC Balance Transfer Credit Card

Credit Limit

Minimum £500

Representative % APR (variable)

23.9% APR

• 0% interest up to 27 months.
• Balance transfer fee 2.99% (£5 minimum).
• No annual fee.

Check my eligibility See more details

Representative Example – If you spend £1,200 at a purchase interest rate of 23.9% p.a. (variable) your representative APR will be 23.9% APR (variable). Your APR and credit limit may vary depending on your circumstances.

With a 27-month interest-free balance transfer period, the HSBC Balance Transfer Credit Card allows you to consolidate debt on cards outside the HSBC network (including M&S Bank, First Direct and John Lewis).

As an HSBC cardholder, you'll benefit from regular discounts and offers via HSBC home&Away. This may be ideal if you're looking for a card with perks.

With this balance transfer credit card, you can use online access to your accounts to make online balance transfers with the HSBC Mobile Banking app. Additionally, you can use this credit card abroad if you plan to travel soon!

To be accepted for this card, you must be over 18, a UK resident and have an annual income or pension of £6,800 or more. You won't be accepted if you have an HSBC basic bank account or any other account from the same banking group.

6. Tesco Bank Balance Transfer Credit Card

Tesco Bank Balance Transfer Credit Card

Credit Limit

Subject to status

Representative % APR (variable)

22.9% APR

• 0% interest period on balance transfers for up to 30 months (3.49% fee).
• 0% interest on money transfers for the first 9 months (3.99% fee).
• Collect Clubcard points almost every time you shop.

Check my eligibility See more details

Representative Example – If you spend £1,200 at a purchase interest rate of 22.9% p.a. (variable) your representative APR will be 22.9% APR (variable). Your APR and credit limit may vary depending on your circumstances.

You can take advantage of up to 30 months of free interest with the Tesco Balance Transfer Credit Card. Although this credit card has the highest balance transfer fee (3.49%), you can use this credit card to collect Clubcard points every time you shop.

You can also use 0% interest on money transfers for the first nine months but with a 3.99% fee. Once the 0% interest-free balance transfer period ends, a 22.9% representative APR period is added to the account if you have an outstanding balance to pay back.

Interest-free period, APR, and credit limit may vary depending on your financial circumstances.

Best Balance Transfer Credit Cards — Buying Guide

In this section, you'll learn more about balance transfer credit cards and how they can help you reduce debt. We also cover what you should look for when searching for the right credit card.

What is a Balance Transfer Credit Card?

A balance transfer card allows you to transfer the credit balance to existing credit cards. Its purpose is to help you move debt and consolidate as much of it as possible onto one card so you're only making one monthly payment instead of multiple.

If you've got credit card debt with a high APR, you can use a balance transfer credit card to pay off the balance, and then you'll be able to pay back the money during the zero-interest period.

Most cards come with a balance transfer fee, so watch for this.

As seen from our top six balance transfer credit cards, you can use various balance transfer deals. Introductory interest-free offers are a great way to reduce your debt. However, it would be best to watch when the interest-free period ends so you don't pay more interest than you were initially with your original credit card.

How to Choose a Balance Transfer Credit Card

There are several factors to consider when looking for the most suitable balance transfer credit card. We've compiled a list of factors for you to look out for.

• Balance transfer fees: when comparing balance transfer cards, look for one with low or no balance transfer fees.
• Introductory APR period: the longer the interest-free periods on the credit cards, the longer you can pay back your debt without having to pay interest.
• Ongoing APR: you must check the APR when you start paying interest on a balance transfer card; look for one with lower rates than your existing credit card debt.
• Credit limit: some providers offer different credit limits, but the main thing to remember is that the credit limit needs to cover the balance on your existing card to transfer balances and reduce debt successfully.
• Perks and additional features: this isn't a priority for finding the best balance transfer deals, but it can help you make the most of your balance transfer card.
• Eligibility: depending on your credit rating, you may not be eligible for all balance transfer cards. You may not qualify for most balance transfer cards if you've got bad credit or a low credit score.

More Solutions to Help Reduce Debt

On top of consolidating your debt with a balance transfer card, there are other strategies you can do to help reduce your existing debt. We've compiled a list of helpful tips to help you reduce debt and create a more positive credit file.

• Debt repayment strategy: a repayment plan you and your creditor(s) agree to.
• A debt consolidation loan: you can merge multiple credit commitments into one loan.
• Debt snowball method: you start repaying debt with the smallest amount first and work through your debts until each is paid off.
• Debt avalanche method: you start paying off the debt with the highest interest rate first and continue to pay off your debts from highest to lowest.
• Individual Voluntary Arrangement: if you're struggling to pay back debt, you can sign up for an IVA, a legally binding agreement to pay your debts back over an agreed period. An IVA must be court approved and will impact your credit file.

Reducing your debt will help build your credit rating and will relieve the stress of money troubles off your shoulders.

Final Thoughts on Balance Transfer Cards

Balance transfer cards are one of the most straightforward solutions to help you eliminate debt.

With high-interest rates, you end up paying back more than you borrowed, so by utilising balance transfers, you save yourself more money in the long run.

Before you go away and eliminate your current credit card balance, we've got some helpful reminders to help you prepare for your new balance transfer card:

• On-time monthly repayments: make sure you can stick to repaying your balance on time every month; otherwise, it may negatively affect your credit file. Paying back more than the minimum payment will help prevent you from getting into long-term debt.
• Note when the interest-free period ends: so you know when you start paying interest.  If you want to avoid paying interest, aim to clear the balance before the promotional period ends.
• Look out for the best balance transfer deal: many providers will have great introductory offers, don't settle for the first one you see. Have a look around for the one that's most suitable for you.
• Keep your outstanding balance in mind: make sure the new balance transfer credit card covers your current credit card balance.

Now you're ready to start eliminating existing debt!

Related Guides:

• Best Interest-Free Credit Cards
• What is a Balance Transfer?
• How to Pay Off Credit Card Debt