Best balance-transfer credit cards of 2018

If you are struggling with pricey credit card debt, then switching to one of our picks of the best balance transfer credit cards is almost a no-brainer.

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.

Read More

The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice. Investments in a currency other than sterling are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in sterling terms. You could lose money in sterling even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More.

If you are struggling with pricey credit card debt, then switching to one of our picks of the best balance transfer credit cards is almost a no-brainer. Credit card interest charges can be crippling. If you maintained a balance of £10,000 at an APR of 18.9% and could only afford to make the minimum 2.5% payment each month, you would pay an incredible £1,749 in interest charges every single year. It makes far better sense to use that money to pay off the actual debt instead. The best balance transfer cards offer 0% introductory rates for up to three years, giving you plenty of time to take back control of your finances. Remember to set up a direct debit to clear the minimum each month – miss one payment and your deal is instantly terminated! Our new guide picks out some of the best balance transfer deals on the market today.


Tesco Bank® Balance Transfer Credit Card

Good for: Maximum length 0% balance transfer

Tesco Clubcard Credit Card

Tesco’s balance transfer credit card leads the pack for those looking to transfer an existing card balance for the maximum possible period, with an 0% introductory rate for a market-leading 36 months. The card also gives you a three-month 0% introductory rate on purchases, followed by an APR of 18.9% thereafter. You can also collect Clubcard points on your spending in Tesco, the UK’s largest supermarket chain, and everywhere else. Tesco’s finest piece of plastic.

Balance transfer period

36 months

Rate

0%

Transfer fee

2.69%

Introductory purchases

0% for 3 months

Purchase APR

18.9%

Credit requirement

Good

Extra benefits

1 Tesco Clubcard point for every £4 spent (£4 min) in Tesco and 1 point for every £8 (£8 min) outside Tesco


Barclaycard® Platinum 35 Month Balance Transfer Card

Good for: Interest-free balance transfer with cashback

Barclaycard is the UK’s best-known credit card issuer and this Platinum balance transfer card shows why, with an 0% introductory rate for 35 months. The 3.5% transfer fee looks pricey at first but you get an immediate refund, which cuts it to 1.85% — lower than most. As an extra perk, you get £20 cashback when transferring a balance of £1,000 or more within 60 days of opening an account, an offer ending on 14 May.

Another attraction is that you also pay zero interest on purchases for a generous six months. There is no annual fee. Applicants must be at least 21 years old, with annual income of at least £20,000. If you can match that, Barclaycard has still got it.

Balance transfer period

35 months

Rate

0%

Transfer fee

1.85%

Introductory purchases

0% for 6 months

Purchase APR

19.9%

Credit requirement

Excellent/good. Must be aged 21 and earn at least £20,000

Extra benefits

Partial refund of balance transfer fee plus £20 cashback


Santander® Everyday Credit Card

Good for: Fee-free balance transfers

Most credit cards charge a fee for transfers, but the Santander Everyday Credit Card is an honourable exception. You get a shorter 0% introductory rate as a result, but 27 months is still pretty generous. Somebody shifting a £3,000 credit card balance would save £89.70 compared to a card charging a 2.99% transfer fee. Santander Everyday also offers 0% interest on purchases for the first three months, rising to 18.9% after that.

As an added perk, the card has five cashback offers of up to 25% from a range of major retailers, although for single use only. However, you also get ongoing cashback offers of up to 15% at a variety of online and high street retailers, and there is no annual fee. 

Balance transfer period

27 months

Rate

0%

Transfer fee

0%

Introductory purchases

0% for 3 months

Purchase APR

18.9%

Credit requirement

Good

Extra benefits

Five cashback offers of up to 25% from a range of major retailers, then ongoing cashback offers of up to 15%

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

The statements above are The Motley Fool’s alone and have not been provided or endorsed by bank advertisers. The Motley Fool UK has recommended shares in Tesco and Barclays.

More on Credit cards

Vacation travel planning concept with map.
Credit cards

What is a foreign transaction fee?

Wondering what that foreign transaction fee is on your last credit card statement? Here's how the fees work and how…

Read more »

Personal Finance

4 lessons from recent identity theft cases

Recent identity theft cases and statistics remind us that we need to keep our guard up and keep our perssonal…

Read more »

Personal Finance

Key credit card terms made simple

We often hear these terms but, seldom really know what they mean! Here we provide a simple breakdown of some…

Read more »

Credit cards

What is home equity? A new buyer’s guide

Recently bought a house or are planning to buy one and are unsure about the concept of home equity? Here's…

Read more »

Credit cards

5 ways to borrow money for home repairs

Encountered a home repair problem that need fixing immediately but don't have cash? Here's how to borrow money to fix…

Read more »

Credit cards

The benefits of paying off your debts early

Thinking of paying off your debts ahead of schedule? Here's a brief breakdown of the benefits you stand to gain…

Read more »

Personal Finance

Good debt vs bad debt: what’s the difference?

A brief summary of the main differences between good and bad debt with common examples of each.

Read more »

Personal Finance

4 ways to avoid debt in university

Breaking down how students can avoid debts while in school.

Read more »