Interested in getting a balance transfer to an American Express credit card? Here’s what you need to know.
If you’re burdened with credit card debt and high interest charges, a balance transfer credit card could help ease your financial woes. By consolidating existing debt onto a balance transfer card offering low or 0% interest, you can save on interest fees during the card’s introductory period.
This option also gives you the opportunity to switch to a card that will suit your needs in the short and long terms. So if you’ve been considering an Amex card for a while, here you can discover the benefits, terms and conditions and application process to decide if an American Express balance transfer offer will work for you.
Comparison of American Express balance transfer credit cards
How does a balance transfer with American Express work?
You can consolidate debt from multiple cards onto an American Express card and enjoy 0% p.a. interest on the debt for the first 12 months, subject to the following conditions.
- New customer. You must be a new American Express customer to qualify, and the balance transferred must also be from an account (or accounts) in your name.
- Non-Amex debt. Your debt cannot be transferred from another American Express-issued card. However, you may transfer debt from a bank-issued dual-card account by quoting your Visa/Mastercard number on the balance transfer application.
- Introductory interest rate. The introductory interest rate of 0% p.a. only applies for the promotional period, after which the interest rate will revert to the card’s standard rate.
- Introductory period. Amex offers an introductory period of 12 months for balance transfer customers.
- Minimum transfer amount. The balance transfer amount requested must be greater than $50.
- Maximum transfer amount. You can transfer up to 70% of your approved credit limit, to a maximum dollar-value of $10,000.
- Credit establishment fee. A one-time 1% credit establishment or balance transfer fee applies. This charge will attract the standard interest rate for that card.
- Revert rate. This is the rate of interest that will apply to your balance if you don’t pay it off during the introductory period. The revert rate varies among Amex cards, but is usually the same as the standard variable rate for purchases or cash advances.
What debts can't I transfer to an American Express credit card?
Debts from the following cards are ineligible for an American Express balance transfer offer:
- Credit cards issued in foreign currencies
- Cards issued outside of Australia
- Card accounts that are overdue or over their credit limits
- Non-credit card accounts (including debit cards, overdrafts, savings and personal loans)
How to get an American Express balance transfer credit card
Use the following simple steps to compare and choose a balance transfer card from Amex:
1. Compare cards. Research a variety of balance transfer cards across brands to find the offer that most suits your circumstances. Keep in mind that the balance transfer fee percentage varies among cards, and some cards may not apply a fee at all for this service.
2. Apply for your chosen card. Applying online should take around 15–20 minutes. Just go to your chosen American Express card page and click “Apply now” at the bottom of the page. Make sure you’ve read and met all eligibility requirements. You will need to provide information including your contact details, employment, finances, expenses, assets and liabilities, as well as supporting documentation.
3. Include your balance transfer details. During the application, you will need to provide information about your existing debt and account, including the account name (which must match your name), the value of the debt you wish to transfer, your card issuer, BSB number and account/card number.
4. Wait for approval. If your card is approved, American Express will begin the approval process for your balance transfer 72 hours later. If the balance transfer is approved, it can take up to 10 days to be processed and appear on your new American Express credit card. The balance transfer promotional period commences on the day that the balance transfer itself is approved.
5. Start paying off your debt. Once your balance has been transferred, it is time to start chipping away at your debt. Organise a prudent payment plan and schedule payments to consistently reduce your balance. It is critical that you repay the entire debt during the introductory period, so you avoid interest fees at the higher revert rate.
While American Express balance transfer credit cards offer an attractive 0% interest for 12 months, remember to compare other cards and factor in all costs including balance transfer fees and annual fees to find the most suitable balance transfer card for you.
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