Credit card balance transfers

Credit card balance transfers are a marketing tool used by most credit companies to encourage you away from your existing firm; a credit card balance transfer usually allows you to delay your interest payments as most offer a few months interest free – perhaps 6, or even 9 months.

When filling in your application form, you will see an option saying ‘do you want to transfer a balance to this card’ – in this area you should tick yes, and fill in the details of the card from which the balance should be transferred, specifying the amount. Credit card balance transfers are made simple for you as the credit card company arrange the transfer on your behalf provided you have given them the information requested on your application form.

If your application for a credit card balance transfer is because you want to obtain an interest free period, you should be aware that although the transferred balance is interest free for the specified period, any new purchases will almost definitely incur interest at the advertised rate.