December’s best balance transfer credit card offers: Save with 0% p.a. for up to 30 months
Hit pause on interest charges when you move your debt to one of these credit cards offering an introductory 0% p.a. balance transfer rate.
December is usually a month that's heavy on spending and light on saving – and 2020 is no exception. The average Aussie is expecting to spend around $893 over the Christmas period, or 17.3 billion collectively, according to a nationally-representative Finder survey.
More spending also means less money for repayments. So if your credit card balance is already weighing you down, moving it to a 0% balance transfer card will help trim the fat before you enter 2021. Here's our pick of balance transfer deals you can get right now.
How did we pick this month's line-up?
We selected December's line-up based on the length of the 0% p.a. balance transfer period, the annual fee and other valuable features on credit cards offered through Finder in December 2020.
A good balance transfer deal has a lengthy 0% p.a. interest offer, no balance transfer fee and a low or $0 annual fee. We've picked cards available through Finder with the longest 0% period and then weighed up their other features. There's no one best credit card for everyone, so check details that matter to you. (And remember: you may not be eligible for a BT offer from your current credit card issuer or bank.)
Best long-term balance transfer offer
- Balance transfer offer: 0% p.a. for 30 months with no balance transfer fee.
- Revert rate: 22.24% p.a.
- Annual fee: $49 in the first year ($149 after that).
- Purchase rate: 21.49% p.a.
- Eligible debts: You can transfer a minimum of $500 from credit cards, store cards and personal loans not issued by Citi, with a maximum value up to 80% of your approved credit limit.
The Citi Rewards credit card has one of the longest 0% p.a. balance transfer offers on the market right now, giving you a way to pay off debt with no interest until some time in 2023. For example, if you applied for this card in December and got approved, you'd have until June 2023 before the 0% p.a. balance transfer rate changed to the 22.24% p.a. revert rate.
To take advantage of this offer, you'll need to apply for the Citi Rewards card before 31 March 2021 and include your balance transfer request as part of the application. There is no balance transfer fee for this offer and you can move debt from both cards and personal loan accounts that are not issued by Citi.
In terms of costs, this offer gives you a reduced annual fee of $49 in the first year, then $149 for each year after that. It also has a 21.49% p.a. interest rate for purchases – and no interest-free days while you have a balance transfer. So make sure you factor these costs in and look at the other features to help decide if this card will work for you.
Best 0% p.a. balance transfer and $0 annual fee offer
St.George Vertigo Classic
- Balance transfer offer: 0% p.a. for 24 months with no balance transfer fee.
- Revert rate: 21.49% p.a.
- Annual fee: $0 in the first year, then $55.
- Purchase rate: 13.99% p.a.
- Eligible debts: You can transfer a minimum of $200 from up to 3 credit cards, store cards or charge cards not issued by St.George, Bank of Melbourne or BankSA, with a maximum value up to 80% of your approved credit limit.
This offer on the St.George Vertigo Classic gives you 0% p.a. on balance transfers for 24 months, no balance transfer fee and a $0 annual fee in the first year. From the second year onwards, it has an annual fee of $55, which is still relatively low compared to cards with more bells and whistles.
Another key feature of this card is its low 13.99% p.a. interest rate for purchases. It also offers up to 55 days interest-free on purchases when you pay the "monthly payment balance" by the due date on your statement. As this amount is treated separately to your balance transfer debt, it means you still have a way to get interest-free days when you're paying off your balance transfer.
To take advantage of the current offer, you'll need to apply by 30 March 2021 and include your balance transfer request as part of the application.
Best 0% balance transfer and 0% purchase rate offer
Coles No Annual Fee
- Balance transfer offer: 0% p.a. for 12 months with no balance transfer fee.
- Revert rate: 19.99% p.a.
- Annual fee: $0
- Purchase rate: 0% p.a. for the first 12 months, then 19.99% p.a. variable.
- Eligible debts: You can transfer a minimum of $500 from credit cards, store cards, personal loans or lines of credit that are not issued by Citigroup, with a maximum value up to 80% of your approved credit limit.
If you want to save on your existing debt but still have some Christmas shopping to do, the Coles No Annual Fee credit card offers 0% p.a. on both balance transfers and purchases for the first 12 months when you apply by 31 January 2021. At the end of the introductory period both rates revert to a higher 19.99% p.a. So, if you can, aim to pay off what you owe on the card in that first 12 months.
This card also earns 1 Flybuys point per $2 on eligible purchases and has your Flybuys barcode printed on it. While this card has no annual fee ever, you'll need to think about the potential cost of interest once the 0% p.a. introductory period ends to decide if it fits your goals.