February’s best balance transfer credit card offers

Posted: 8 February 2021 6:14 pm
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With 0% interest on balance transfers for up to 30 months, one of these credit card offers could be the key to ditching your debt for good.

Recent research from Finder has shown 65% of people with credit cards are still paying off Christmas debt. While 37% of people expect to clear their balances in the next 1-5 months, 17% will take 6 months or more. And 11% of people expect to take over a year.

If you have any credit card debt – whether it's from Christmas or earlier – moving it to a card with a 0% balance transfer offer saves you interest and can help you pay off the debt faster. Here's our pick of the credit card offers you can get right now.

How did we pick this month's line-up?

We selected February'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 February 2021.

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 balance transfer offer from your current credit card issuer or bank.)

Best long-term balance transfer offer

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Citi Rewards

  • 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, up to a maximum of 80% of your approved credit limit.

If you're dealing with a hefty debt, this Citi Rewards balance transfer offer gives you 0% p.a. for 30 months with no balance transfer fee when you apply by 30 June 2021 and request a balance transfer as part of the application. That means you'd pay no interest until August 2023 if you transferred your balance to this card right now.

Unlike most providers, Citi accepts debt from personal loans as well as credit cards and store cards, so you could use this offer to consolidate a mix of debts. But when the 0% p.a. period ends, any remaining balance transfer debt will attract the card's cash advance rate, currently 22.24% p.a., which is on the higher end of the scale. If you want to avoid interest charges, work out how much you'd need to pay each month to clear your existing debt during the introductory period (it takes a couple of minutes to do this with a repayment calculator).

The Citi Rewards card also offers a reduced $49 annual fee in the first year, which goes to $149 from the second year onwards. You can also earn points per $1 spent on eligible purchases, but won't get interest-free days for your spending while you're paying off a balance transfer.

Best 0% p.a. balance transfer and $0 annual fee offer

Bankwest Breeze Mastercard

  • Balance transfer offer: 0% p.a. for 26 months with a 2% balance transfer fee.
  • Revert rate: 10.99% p.a.
  • Annual fee: $0 in the first year, then $49.
  • Purchase rate: 10.99% p.a.
  • Eligible debts: You can transfer a minimum of $500 from credit cards not issued by Bankwest, with a maximum amount of up to 95% of your approved credit limit.

The Bankwest Breeze Mastercard currently offers 0% p.a. on balance transfers for 26 months with a 2% balance transfer fee. To put that in perspective, transferring $3,000 would mean a $60 balance transfer fee. It also offers a $0 annual fee in the first year, so that could help offset the cost of the balance transfer fee (which is only charged once). After the first year, this card has a relatively low $49 annual fee.

The Bankwest Breeze Mastercard also has a competitive purchase rate of 10.99% p.a. and offers interest-free days on purchases even when you have a balance transfer. But you should avoid making purchases while you're paying off debt to get the most of the 0% balance transfer period because after 26 months, the standard balance transfer rate applies (currently 10.99% p.a.).

If you want to get this offer for your existing debt, you need to apply for the Bankwest Breeze Mastercard as a new customer during the promotional period. And, while there's no end-date listed, Bankwest may withdraw the offer at any time.

Best 0% balance transfer and 0% purchase rate offer

coles no annual fee

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.

This Coles No Annual Fee credit card offer gives you 0% p.a. interest for 12 months on both your balance transfer and new purchases. This gives you a year to pay off existing debt, with some wiggle room if you need to pay for anything with plastic in the next 12 months. But after the introductory period, a 19.99% p.a. variable interest rate will apply to any remaining balance transfer debt or purchase debt – so aim to get it all paid off before then.

As you would have picked up from the name, the Coles No Annual Fee could help keep your credit card costs down with a $0 annual fee for life. It's also linked to your Flybuys account and earns 1 point per $2 spent on eligible purchases made anywhere the card is accepted.

There is no balance transfer fee with this current offer, which is available when you apply for the Coles No Annual Fee card by 31 March 2021.

Compare these balance transfer offers side by side

Data updated regularly
$
% p.a.
Name Product Balance transfer rate Purchase rate Annual fee Amount saved
Citi Rewards Card - Balance Transfer Offer
0% p.a. for 30 months
21.49% p.a.
$49 annual fee for the first year ($149 p.a. thereafter)
Save on interest with 0% p.a. on balance transfers for 30 months with no balance transfer fee. Plus, a $49 first-year annual fee.
Bankwest Breeze Classic Mastercard
0% p.a. for 26 months with 2% balance transfer fee
10.99% p.a.
$0 annual fee for the first year ($49 p.a. thereafter)
Save with 0% p.a. on balance transfers for 26 months (with a 2% BT fee) and $0 first-year annual fee. Plus, a 10.99% p.a. purchase interest rate.
Coles No Annual Fee Mastercard
0% p.a. for 12 months
0% p.a. for 12 months, reverts to 19.99% p.a.
$0
Save on new and existing interest charges with 0% p.a. on balance transfers and purchases for 12 months.
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Compare up to 4 providers

Remember: this is a selection of credit cards with competitive balance transfer offers available right now on Finder. You can compare other balance transfer offers here. Looking for a new credit card but don't need a balance transfer? Check out a wider range of credit card offers here.

Image: Getty Images

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