Savings .com.au
Credit card

N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]301550021.49VisaMore details

St.George Bank Vertigo Visa (Balance Transfer Offer)

    N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]301550021.49MasterCardMore details

    Westpac Low Rate Card (Cashback offer)

      N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]2.95025100021.99MasterCardMore details

      Bankwest Zero Classic Mastercard

        N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]3.4012.550021.74MasterCardMore details

        Great Southern Bank Low Rate Credit Card

          N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]301550021.49VisaMore details

          BankSA Vertigo Visa (Balance Transfer Offer)

            N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]301550021.49VisaMore details

            Bank of Melbourne Vertigo Visa (Balance Transfer Offer)

              [Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer]0.66[PRICE_GUARANTEE, CONCIERGE, SPECIAL_EVENTS, ]3.3030600020.99VisaMore details

              Virgin Money Virgin Australia Velocity Flyer Card (Balance Transfer Offer)

                [Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer]0.5[FREE_DOMESTIC_TRAVEL_INSURANCE, INTERNATIONAL_TRAVEL_INSURANCE, FREE_SUPPLEMENTARY_CARDS, EXTENDED_WARRANTY, RENTAL_CAR_EXCESS_INSURANCE, CONCIERGE, PURCHASE_PROTECTION_INSURANCE, ]3015600021.49MasterCardMore details

                Westpac Altitude Platinum (Altitude Velocity)

                  [BOQ Q Rewards, BOQ Q Rewards]1[PRICE_GUARANTEE, PURCHASE_PROTECTION_INSURANCE, ]3.41510200021.74VisaMore details

                  BOQ Blue Visa

                    N/A$product[$field["value"]][FREE_DOMESTIC_TRAVEL_INSURANCE, FREE_SUPPLEMENTARY_CARDS, PARTNER_DISCOUNTS, ]0030100025.99VisaMore details

                    HSBC Low Rate Credit Card

                      [Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer]0.66[PRICE_GUARANTEE, CONCIERGE, SPECIAL_EVENTS, ]3.33930600020.99VisaMore details

                      Virgin Money Virgin Australia Velocity Flyer Card (Points Offer)

                        [Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer]1.5[FREE_DOMESTIC_TRAVEL_INSURANCE, INTERNATIONAL_TRAVEL_INSURANCE, CONCIERGE, AIRPORT_LOUNGE, FRAUD_PROTECTION, ]35030600021.99MasterCardMore details

                        Qantas Money Qantas Premier Platinum

                          N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]2.95025100021.99MasterCardMore details

                          Bankwest Breeze Classic Mastercard

                            [Citi Rewards Program, Citi Rewards Program]1[INTERNATIONAL_TRAVEL_INSURANCE, PRICE_GUARANTEE, EXTENDED_WARRANTY, CONCIERGE, SPECIAL_EVENTS, PARTNER_DISCOUNTS, PURCHASE_PROTECTION_INSURANCE, ]3.49030200022.24VisaMore details

                            Citi Rewards (Bonus Points)

                              [Citi Rewards Program, Citi Rewards Program]1[INTERNATIONAL_TRAVEL_INSURANCE, PRICE_GUARANTEE, EXTENDED_WARRANTY, CONCIERGE, SPECIAL_EVENTS, PARTNER_DISCOUNTS, PURCHASE_PROTECTION_INSURANCE, ]3.49030200022.24MasterCardMore details

                              Citi Citi Rewards (Purchases and Balance Transfer Offer)

                                N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]3020100011.8VisaMore details

                                Heritage Bank Gold Low Rate

                                  N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]3.6508100012.49VisaMore details

                                  QBANK Bluey Card

                                    []2[FRAUD_PROTECTION, ]3.4$product[$field["value"]]30600021.74VisaMore details

                                    Kogan Money Black Card

                                      N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]3025100012.49VisaMore details

                                      Beyond Bank Low Rate Visa Credit Card

                                        [flybuys, flybuys]0.5[]2.5030100019.99MasterCardMore details

                                        Coles No Annual Fee Mastercard

                                          Important Information and Comparison Rate Warning

                                          All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here. Rates correct as of May 26, 2024. View disclaimer.

                                          Is your credit card debt getting out of hand? You’re not alone – more than one in six Australians are struggling with their own credit card debt, according to ASIC.

                                          You may be considering a debt consolidation loan, selling your possessions or fleeing the country. If you properly utilise a balance transfer though, you can clear your debts quickly, paying very little or no interest and saving yourself from drastic action.

                                          What is a balance transfer credit card?

                                          A balance transfer, as the name suggests, is the process of moving your credit card balance, including debts, from one card to another. To incentivise making the switch, many Australian providers offer balance transfer rates. These are much lower rates, often 0%, that occur for a limited period, known as the honeymoon or promotional period. The length of this promotional period varies between providers. Some are as quick as three months, while others can last over two years.

                                          When you balance transfer your debts, you give yourself the honeymoon period to pay off these debts at a significantly reduced or eliminated interest rate. After this time though, the interest rate will revert, often to a far higher rate.

                                          Example: Lorne Mower transfers his credit card debt

                                          Lorne Mower has over $3,000 worth of credit card debt built up, and he’s struggling to pay it off. His current card has an interest rate of 17%, and at his current rate of repayments ($150 a month), it’ll take him two years to pay off this debt and will accrue nearly $500 extra in interest charges.

                                          He can’t quite afford to pay off more than this yet, but he finds a balance transfer card that’s offering 0% interest for 24 months – the length of time it’ll take him to pay off his debts. He opens this card and fully pays his debt off within the promotional period. Therefore, he pays not a single cent in interest.

                                          How to do a balance transfer

                                          If you’ve decided that you want to do a balance transfer, it’s actually a pretty straightforward process, but you do need to take a bit of time and care to make sure you get the best one for you.

                                          1. Evaluate your situation: whip out a pen and paper, an excel spreadsheet or even just your smart friend to work out how much of your debt you can afford to repay each month. When considering a balance transfer, you’ll also need to be aware of the potential balance transfer traps that can happen if you aren’t careful.

                                          2. Compare balance transfer deals: look into the length of the balance transfer offer, interest rates, fees charged and credit limits on the different cards available and see which one suits you (the credit limit is important because you might not be able to transfer your whole debt if the credit limit is too low).

                                          3. Apply: go online and submit an application detailing your current debts, how much you want to transfer and everything else about your current credit card.

                                          4. Activate your card: this needs to be done before the balance transfer can be processed.

                                          5. Close your old card: this isn’t always necessary, but it can make sure you don’t keep spending on it or get charged fees.

                                          Balance transfer cards with 0% interest rate

                                          While there are many things to consider when choosing a balance transfer credit card (we’ll break them all down for you shortly), undoubtedly the dream is to secure one with no interest on balance transfers. Below is a selection of the providers who offer a 0% balance transfer rate.

                                          Credit card

                                          N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]301550021.49VisaMore details

                                          St.George Bank Vertigo Visa (Balance Transfer Offer)

                                            N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]301550021.49MasterCardMore details

                                            Westpac Low Rate Card (Cashback offer)

                                              N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]2.95025100021.99MasterCardMore details

                                              Bankwest Zero Classic Mastercard

                                                N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]3.4012.550021.74MasterCardMore details

                                                Great Southern Bank Low Rate Credit Card

                                                  N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]301550021.49VisaMore details

                                                  BankSA Vertigo Visa (Balance Transfer Offer)

                                                    N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]301550021.49VisaMore details

                                                    Bank of Melbourne Vertigo Visa (Balance Transfer Offer)

                                                      [Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer]0.66[PRICE_GUARANTEE, CONCIERGE, SPECIAL_EVENTS, ]3.3030600020.99VisaMore details

                                                      Virgin Money Virgin Australia Velocity Flyer Card (Balance Transfer Offer)

                                                        [Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer]0.5[FREE_DOMESTIC_TRAVEL_INSURANCE, INTERNATIONAL_TRAVEL_INSURANCE, FREE_SUPPLEMENTARY_CARDS, EXTENDED_WARRANTY, RENTAL_CAR_EXCESS_INSURANCE, CONCIERGE, PURCHASE_PROTECTION_INSURANCE, ]3015600021.49MasterCardMore details

                                                        Westpac Altitude Platinum (Altitude Velocity)

                                                          [BOQ Q Rewards, BOQ Q Rewards]1[PRICE_GUARANTEE, PURCHASE_PROTECTION_INSURANCE, ]3.41510200021.74VisaMore details

                                                          BOQ Blue Visa

                                                            N/A$product[$field["value"]][FREE_DOMESTIC_TRAVEL_INSURANCE, FREE_SUPPLEMENTARY_CARDS, PARTNER_DISCOUNTS, ]0030100025.99VisaMore details

                                                            HSBC Low Rate Credit Card

                                                              [Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer, Velocity Frequent Flyer]0.66[PRICE_GUARANTEE, CONCIERGE, SPECIAL_EVENTS, ]3.33930600020.99VisaMore details

                                                              Virgin Money Virgin Australia Velocity Flyer Card (Points Offer)

                                                                [Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer, Qantas Frequent Flyer]1.5[FREE_DOMESTIC_TRAVEL_INSURANCE, INTERNATIONAL_TRAVEL_INSURANCE, CONCIERGE, AIRPORT_LOUNGE, FRAUD_PROTECTION, ]35030600021.99MasterCardMore details

                                                                Qantas Money Qantas Premier Platinum

                                                                  N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]2.95025100021.99MasterCardMore details

                                                                  Bankwest Breeze Classic Mastercard

                                                                    [Citi Rewards Program, Citi Rewards Program]1[INTERNATIONAL_TRAVEL_INSURANCE, PRICE_GUARANTEE, EXTENDED_WARRANTY, CONCIERGE, SPECIAL_EVENTS, PARTNER_DISCOUNTS, PURCHASE_PROTECTION_INSURANCE, ]3.49030200022.24VisaMore details

                                                                    Citi Rewards (Bonus Points)

                                                                      [Citi Rewards Program, Citi Rewards Program]1[INTERNATIONAL_TRAVEL_INSURANCE, PRICE_GUARANTEE, EXTENDED_WARRANTY, CONCIERGE, SPECIAL_EVENTS, PARTNER_DISCOUNTS, PURCHASE_PROTECTION_INSURANCE, ]3.49030200022.24MasterCardMore details

                                                                      Citi Citi Rewards (Purchases and Balance Transfer Offer)

                                                                        N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]3020100011.8VisaMore details

                                                                        Heritage Bank Gold Low Rate

                                                                          N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]3.6508100012.49VisaMore details

                                                                          QBANK Bluey Card

                                                                            []2[FRAUD_PROTECTION, ]3.4$product[$field["value"]]30600021.74VisaMore details

                                                                            Kogan Money Black Card

                                                                              N/A$product[$field["value"]][FREE_SUPPLEMENTARY_CARDS, ]3025100012.49VisaMore details

                                                                              Beyond Bank Low Rate Visa Credit Card

                                                                                [flybuys, flybuys]0.5[]2.5030100019.99MasterCardMore details

                                                                                Coles No Annual Fee Mastercard

                                                                                  Important Information and Comparison Rate Warning

                                                                                  All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here. Rates correct as of May 26, 2024. View disclaimer.

                                                                                  How to compare balance transfer credit cards

                                                                                  1. Length of promotional period

                                                                                  We’ve covered this already and for good reason. The promotional period is what makes balance transfers attractive, so the longer you can have interest free debt, the better. It’s rarely cheap to have debt, so any time you can have it for free is golden.

                                                                                  2. Balance transfer rate

                                                                                  Many providers offer a 0% balance transfer rate. There are other cards on the market though that do charge an interest rate on balance transfers, but these are generally below 5%. Obviously the lower the interest rate, the more you save, so you may want to look for a 0% rate for the best value. 

                                                                                  3. Balance transfer fee

                                                                                  balance transfer fee is a percentage-based fee charged when you transfer your existing debt to a new card. The fee is typically 1-3% of the balance transfer amount. So for example, if you’re transferring $10,000 and are charged a 2% balance transfer fee, the new debt on the card will be $10,200 (2% of $10,000 equals $200 which is the fee, plus the balance transfer amount). 

                                                                                  4. Purchase rate

                                                                                  It’s generally not advised to use your new credit card for purchases, as it makes the whole balance transfer effort a bit pointless. However, if you do expect to make some purchases with it, make sure you’re getting a low rate; you don’t want to be paying through the nose in interest during your supposedly interest-free period. 

                                                                                  5. Revert rate 

                                                                                  The revert rate is what the debt on your card will be charged at, should you still have any at the end of the promotional period. It’s generally higher than the purchase rate, even up to double in some cases, so you should aim to pay off your debt before you have to encounter this rate. 

                                                                                  6. Annual fees

                                                                                  Annual fees on balance transfers can range from nil to $400. It’s easy to forget you have to pay to use the credit card, especially if you’re caught up with low rates and long balance periods. But if you’ve got a 24-month promotional period with an annual fee of $400, that could negate your savvy interest-free efforts. 

                                                                                  Is a balance transfer credit card a good move?

                                                                                  Balance transfers can offer an effective method of dealing with short-term debts, as long as you pay it all off fully within the time period and don’t make any purchases with that card.

                                                                                  But they’re only really a short-term solution. Long-term, you’ll need to look at how you got into so much debt, and what you can do to prevent it from happening again. It might be that you have an unsuitable credit card for your spend level or have an interest rate that’s too high. Or maybe you just spend much more than you should. If that’s the case, let old habits die hard!

                                                                                  There are also several traps you can fall into with a balance transfer. You’ll want to familiarise yourself with these before you do anything as they can mean you end up in a worse position after the transfer.

                                                                                  Whatever the reason, Savings.com.au provides practical tips and tricks to minimise your credit card spend and boost your savings instead. You can access these tips by reading our articles on balance transfers and other types of credit cards.

                                                                                  Frequently Asked Questions

                                                                                  Different lenders will have different debt limits you can transfer. However it is common to be able to transfer a maximum of 70% to 100% of your approved credit limit, depending on the card.

                                                                                  Always read the terms and conditions of the promotional periods and balance transfers before you transfer your debt.

                                                                                  Balance transfers have the potential to hurt your credit score if not done responsibly. Why? Because to perform a balance transfer, you need to apply for a new credit card, and all credit applications tend to lower your credit score, particularly when there’s a multiple applications in a short space of time.

                                                                                  To avoid hurting your credit score, restrict yourself from frequently using balance transfers for debt recycling - one or two balance transfers every now and then might be okay - and ensure you make your repayments on time.

                                                                                  It is difficult to get approved for a traditional balance transfer credit card with a weak credit score. Issuers of balance transfer credit cards typically require a “good” to “excellent” credit score to qualify. Here’s how credit scores are typically graded between Australia’s three major credit reporting firms:

                                                                                   


                                                                                  illion

                                                                                  Experian

                                                                                  Equifax

                                                                                  Excellent

                                                                                  800 - 1,000

                                                                                  800 - 1,000

                                                                                  833 - 1,200

                                                                                  Very good

                                                                                  700 -799

                                                                                  700 - 799

                                                                                  726 - 832

                                                                                  Good

                                                                                  500 - 699

                                                                                  625 - 699

                                                                                  622 - 725

                                                                                  Fair

                                                                                  300 - 499

                                                                                  550 - 624

                                                                                  510 - 621

                                                                                  Weak

                                                                                  1 - 299

                                                                                  0 - 549

                                                                                  0 - 509