Choosing the best balance transfer credit card is a tricky business. Some will lure you with lengthy interest free periods then hit you with a hefty transfer fee and sky high APR, while “low rate for life” deals can cost you a fortune if you don’t pay off your debt soon enough.
So how do you know which deal is best for your specific situation? Take a detailed look at your finances, work out how much you can set aside each month and thus how long it will take to clear your debt. Be as realistic as possible when setting your target – don’t commit yourself to a parsimonious existence if you’re unlikely to stick with it.
Read this guide to cutting household expenditure to help you free up some more cash. Once you know how long it will take to clear that unwanted debt, take a look at the table at the bottom of this article to find the cheapest balance transfer deal for you.
Want an even cheaper deal?
While any of the credit cards below will undoubtedly save you a packet, you can repay your debt even more cheaply by becoming a rate tart - constantly switching between the various introductory offers.
But with extra reward come extra effort. Not only do you have be vigilant in switching cards on time, but you also need to maintain an excellent credit score throughout the process in order to get access to the best deals.
Whether it’s buying a house or losing your job, there are a number of factors that could hurt your credit score down the road.
Get tarting, then
If you’re still confident that tarting is for you, then your best bet - regardless of how much you owe - is to work your way through the short term, fee free 0% balance transfer cards. This is because transfer fees always cost you the most when your debt is at its highest, so it’s essential you avoid them.
There are currently four such cards on the market: The Abbey Zero credit card ( interest free for 6 months), Ulster Bank Mastercard (6 months), Norwich & Peterborough Building Society Credit Card (6 months) and the Britannia Building Society Credit Card (5 months). Abbey Zero and Ulster Bank are the easiest to get your hands on, as the others only offer their cards to existing customers.
Once your debt has been reduced to a more manageable level, lock yourself into the longest 0% deals on the market – such as Virgin (15 months) and Barclaycard OnePulse (14 months).
| Time required to clear debt | Best credit card | Introductory offer | Transfer fee | APR thereafter | What you’ll pay on £1,000 debt |
| Three Months | Abbey Zero Credit Card | 0% for six months | - | 18.9% | £1,000.00 |
| Six Months | Abbey Zero Credit Card | 0% for six months | - | 18.9% | £1,000.00 |
| Nine Months | Ulster Bank Gold Card | 0% for six months | - | 16.9% | £1,009.44 |
| 12 Months | Barclaycard OnePulse | 0% for 14 months | 2.9% | 14.9% | £1,029.00 |
| 15 Months | Virgin Credit Card | 0% for 15 months | 2.98% | 15.9% | £1029.80 |
| 18 Months | Virgin Credit Card | 0% for 15 months | 2.98% | 15.9% | £1029.80 |
| 24 Months | HSBC Credit Card | 2.9% for 24 Months | 2.5% | 15.9% | £1,056.24 |
| >24 Months | Barclays Platinum with long term transfer | 6.8% for life | - | 14.9% | |
