Manage credit card debt with a balance transfer offer

Transferring your existing balances to a card with a lower interest rate can help you get on top of existing credit card balances. Check out how balance transfer offers work and what to consider.

2 minute read

What is a balance transfer?

When you transfer the balance you owe on your existing cards to another credit card with a different provider, this is known as a balance transfer.

Balance transfer offers

In some situations, you'll be offered a lower interest rate on balance transfers for a set period of time – like 0% p.a. for 12 months. This can be useful for consolidating debt into one place, which can make working out monthly repayments and budgeting easier.

Just make sure you know what interest rate you'll be rolling on to once the offer period ends.

How to make the most of your balance transfer

Work out a repayment plan

Understand what you can do to reduce your credit card debt in the most efficient way. If you have a transfer offer – and assuming you make no other purchases – you can divide the amount you've transferred by the number of months remaining on your offer and pay off as much of that as possible each month.

Streamline your cards

Consider closing your old credit card – this can help avoid unnecessary fees and will stop you from accruing more debt on that card.

Take advantage of interest free days on purchases

Benefit from interest free days on your purchases when you have a balance transfer.

About this article

We take care of all the BS (bank stuff) so you can access the knowledge you need to make informed decisions. When we write a guide or article, we take steps to make sure the information is relevant, accurate and most of all, helpful.

Browse our range of credit cards

...and find one to suit you.

Keep reading

If you’re paying off multiple loans and credit cards to different providers, a debt consolidation loan can help you manage your debt more easily.

From the casual saver to the disciplined goal-setter, find the savings account to match your saving habits.

The information contained in this article is of a general nature and is not intended to be nor should it be considered as professional advice. You should not act on the basis of anything contained in this article without first obtaining specific professional advice. Also to the extent permitted by law, Bankwest, a division of Commonwealth Bank of Australia ABN 48 123 123 124 AFSL / Australian credit licence 234945, its related bodies corporate, employees and contractors accept no liability or responsibility to any persons for any loss which may be incurred or suffered as a result of acting on or refraining from acting as a result of anything contained in this article.