By: Peter Stephens | Updated: 12th February, 2019
You can find longer balance-transfer periods than the 24 months offered here. But long BT periods almost always come with fees, and they can be as much as double the 1.5% on this card. Add to that 12 months of 0% interest on purchases.Read full review >
|A variable annual purchase rate of||19.94%|
|A variable representative||19.9% APR|
|Based on borrowing (over 12 months)||£1,200|
|With an annual fee of||£0|
The Lloyds Bank Platinum Low Fee 0% Balance Transfer Credit Card has a range of appealing features. Its major selling point is the 24-month, interest-free period for balance transfers. It offers a rebate of half of the usual 3% transfer fee for balance transfers made in the first 90 days of account opening. The card also offers 0% on purchases over the first 12 months.
Although it is possible to find a longer interest-free, balance-transfer period or a card without a transfer fee, this card offers an appealing compromise between the length of balance transfer period and the transfer fee charged.
Although the obvious appeal of the card is its balance-transfer offer, it also has a number of other features that may make it attractive to a range of individuals.
I have been writing for The Motley Fool since 2013, and have experienced the booms and busts of the UK economy for a number of decades both as an investor and a consumer. I have held various senior management positions during my career, while also setting up my own manufacturing company in 1996. It was subsequently sold in 2007. I have a keen interest in consumer finance, as well as in the stock market.
Although the Lloyds Bank Platinum Low Fee 0% Balance Transfer Card offers a number of positives for consumers, here are a few downsides to the card which could be improved.
The 24-month 0% interest period on balance transfers is not the longest available on the market. Longer periods are available elsewhere, and an interest-free period that long could provide additional breathing space for consumers seeking to cut interest costs over the next couple of years. However, in order to obtain a longer 0% interest period on balance transfers, higher transfer fees are often required. This dilutes the appeal of an additional four-month period to some degree.
Those seeking cards with no transfer fees can find that, albeit in exchange for a shorter 0% interest period on balance transfers. And there’s no cashback or rewards offered here, so those looking for either will have to look elsewhere. Therefore, if the core offer here doesn’t suit, it may be possible for a consumer to find an improved deal depending on their own circumstances.
The 24-month 0% interest period on balance transfers is representative, which means it is only guaranteed to be available to 51% of applicants. The remainder may be offered a Classic Card, which has a higher APR and does not come with a balance-transfer offer.
Lloyds’ website states that it takes just five minutes to obtain a decision on whether an individual is eligible for the card. Since the card is available to anyone over the age of 18 who has a regular income and is free from bankruptcy, county Court Judgments, and an IVA, it could appeal to a variety of consumers.
Applications for the card can be made online, in branch, or by phone. Details such as previous addresses (if you have lived in your current home for less than three years), annual income, and any current credit or store cards will be needed, as well as information such as outgoings and employment status. Overall, the online application process takes around 10 minutes, with a decision made in half that time.
The card’s 0% interest period on balance transfers is its main selling point. As the earlier example showed, it could save an individual a significant sum of money in interest payments over the 24-month period. Alongside this, the rebate for half of the transfer fee in the first 90 days, and the 0% interest rate on purchases in the first 12 months, make the card even more appealing. While there are some drawbacks, such as no transfer-fee rebate after the first 90 days, the card does provide the opportunity for users to clear their debts more easily over a 24-month time period.
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