A balance transfer could be the cheapest way to pay off your existing credit card debts.

You could reduce the interest you pay on your balances by moving them to a credit card that either charges a lower interest rate or comes with an interest free period.

It will cost less to clear what you owe if you pay less interest because more of what you repay will go towards clearing the balance quicker.

If you have several outstanding credit card balances, moving them all to one card can also make it easier to keep track of what you owe and stay on top of your repayments. This means you are less likely to miss payments, which can damage your credit record and come with expensive fees.

Choose the best balance transfer

Our comparison table above includes every credit card in the UK that offers a balance transfer, including:

  • Cards that offer a 0% interest rate for a promotional period

  • Cards that let you pay off the transferred balance at a set interest rate

Enter your total outstanding card balance and your current credit card provider at the top of the table. We will show you how much each balance transfer deal could save you in the time it would take you to pay off your balance.

How much does a balance transfer cost?

The main costs are:

  • The interest rate you pay on the amount you transfer over

  • The balance transfer fee, if one is charged

Balance transfer fees are a percentage of the balance you transfer to the card. For example: on a card with a 3% fee, you would pay 30 to transfer a balance of 1,000.

They also come with the same fees and charges as other credit cards, including interest and charges for missing payments or going over your credit limit.

Our table includes details of the interest rate you would pay on any purchases you make on the card and the costs of making a balance transfer on each one, which are:

  • The interest rate

  • Details of any interest free period offered

  • The balance transfer fee, if one is charged

This guide explains how much balance transfers cost.

Can you use a credit card to consolidate other debts?

Yes, you could pay off an overdraft or loan using a money transfer credit card.

They let you send money to your bank account with 0% interest for several months. Here is how to make a money transfer.

Credit card consolidation FAQs

Q

Is a balance transfer the cheapest way to consolidate my debts?

A

It can be if you can get a good deal and pay off the card quickly, although paying off your debts with your savings is usually cheaper if you can afford it.

Q

Can I get an interest free balance transfer?

A

Some cards offer 0% interest for a period of several months, but they usually come with transfer fees and are not available to everyone.

Q

How long will it take to make a balance transfer?

A

It can only take a few days but might take up to two weeks to get a new credit card and up to another week to make the balance transfer.

Q

How much can I balance transfer?

A

Your provider will let you transfer a percentage of your credit limit (usually 90-95%).

Q

Can I transfer several balances to one card?

A

Yes, as long as you don't go over the percentage of your credit limit you can use.

Q

What will my credit limit be?

A

This will be confirmed by your provider after they approve your application. Here is how credit limits work and how much it costs if you exceed it.

Q

How do I repay my balance transfer?

A

Repay the amount that will clear your balance by the end of the 0% period by direct debit each month so you never miss a payment or pay interest.

Q

Does my credit record matter?

A

Yes, lenders decide whether to offer you a balance transfer as well as what APR and credit limit they offer you based on your credit record.