Our Pick Of The Best 0% Balance Transfer Credit Cards
The cost of having a balance on an interest-bearing credit card has been steadily creeping up in recent months. The average credit card APR across all cards (including those with annual fees) stood at 35.3% in November 2024, according to the latest data from Moneyfacts. That’s up from 32.2% just 12 months ago.
Paying interest to a credit card company is money down the drain. And the bigger your debt, the worse the waste. Shifting it over to a 0% balance transfer credit card can save a tidy sum of cash – and get what you owe paid off quicker. That’s because you won’t pay interest on any balance(s) you transfer for an agreed time.
What are the best deals?
We carried out some research (November 2024) and have rounded up some of the best card deals we found, below. Note, you won’t be able to shift balances from one card to another with the same provider, or providers within the same banking group.
Longest 0% Balance Transfer Cards (With Fee)
0% Balance Transfer Cards With Low Fee
0% Balance Transfer Cards With No Fee
How did we rank the cards?
We have split 0% balance transfer cards into three sections; those with the longest 0% durations (and higher fees); cards with low fees (potentially 1% or less); and cards with no fees (for shorter 0% periods).
Across all three categories, where relevant, we have considered the following:
- 0% balance transfer duration
- balance transfer fee
- representative APR (the variable interest rate charged after the 0% period expires and on new purchases)
- rewards, perks and benefits.
We also employed the ‘best case scenario’ to our rankings, assuming an application is returned with the best advertised 0% duration and balance transfer fee in all cases.
What is a balance transfer credit card?
A balance transfer card allows you to move across existing credit card balances from other providers and pay 0% on that amount for a stated number of months.
Some of the best balance transfer deals offer 0% for more than two years, which can mean big savings if you were to otherwise be paying interest on the debt.
However, there is usually a balance transfer fee to pay, charged as a percentage of whatever amount you are transferring.
How do balance transfer cards work?
Once you’re accepted for a balance transfer card you will typically have a window of time to transfer other existing credit card balances to the new card (this might be in the first 90 or 60 days, for example).
You won’t usually be able to transfer balances from cards with the same provider (or the same banking group) as your balance transfer card. There will also probably be a balance transfer fee to pay which will be added to the transfer debt.
You will then have to make monthly payments (at least the minimum monthly payment required by the card provider). But all your payments will go towards paying off the debt balance as there is no interest charge on a 0% balance transfer card.
Be wary of then using the card for spending, unless it is a combined 0% purchase and balance transfer card. Only the transfer is balance is charged at 0% and new spending could be charged at a high APR.
What are the pros and cons of a balance transfer card?
Pros
- save money in debt interest
- pay off debt faster
- consolidate other card balances onto one card making it easier to manage
Cons
- balance transfer fee is likely to apply
- high rate of interest for new spending
- can’t transfer balances from cards from the same provider or banking group
- lose the 0% deal if you miss a payment or fail to make the minimum monthly payment
- interest rate is likely to jump significantly at the end of the 0% offer period.
What does a 0% balance transfer rate cover?
With most 0% balance transfer cards the zero interest rate applies only to transferred card balances from other credit and store cards, and not any new spending on the card. New spending is likely to be charged interest at a much higher rate.
Sometimes, cards are available which combine 0% interest on both balance transfers and purchases – for example you might get 18 months 0% on balance transfers and six months at 0% on new purchases. But be wary of the different rates for different types of borrowing and make a note of when the 0% offer period ends.
Am I eligible for a balance transfer card?
Bear in mind however, you may not qualify for our listed cards as you see them, or you could be turned down altogether.
Acceptance for a balance transfer credit card, and the terms on which it is based, vary according to factors such as your income and credit score.
This means you could be shown a higher balance transfer fee than the one advertised, as the listed ‘representative’ annual percentage rates (APRs) must only apply to 51% of successful applicants. So, again, your APR could be higher.
In some cases, you could be turned down for a card altogether. However, your application will be processed through an eligibility checker. This doesn’t leave a footprint on your credit report, keeping it intact for any future applications for credit.
Information provided on Forbes Advisor is for educational purposes only. Your financial situation is unique and the products and services we review may not be right for your circumstances. We do not offer financial advice, advisory or brokerage services, nor do we recommend or advise individuals or to buy or sell particular stocks or securities. Performance information may have changed since the time of publication. Past performance is not indicative of future results.
Forbes adheres to strict editorial integrity standards. To the best of our knowledge, all content is accurate as of the date posted, though offers contained herein may no longer be available. The opinions expressed are the author’s alone and have not been provided, approved, or otherwise endorsed by our
partners.