The Finder app is here! 🥳

Get your savings sorted.

0% balance transfer and purchase credit cards

Have an existing credit card debt but need to make purchases? Compare 0% balance transfer and 0% purchase rate offers here.

Last updated:

Woman buying TV in electronics store.
The purpose of a 0% balance transfer and 0% purchase rate credit card is to enable you to pay off an existing credit card debt while still being able to make interest-free purchases. When used responsibly, these credit card deals can provide cardholders with relief from interest on their debt. Revert rates apply to any existing debt after the promotional period ends, so it's important to pay off both of the balances in full to avoid interest.

How do 0% balance transfer and 0% purchase rate credit cards work?

These cards charge no interest on both purchases and balance transfers for a promotional period. The interest-free period can be as little as 3 months or up to a year or longer in some cases. You can use one of these cards to save if you want to pay off existing debt and make new purchases without paying interest. At the end of the introductory period, the standard purchase or balance transfer rate will apply to any remaining balances respectively.

The length of the interest-free period may differ between purchases and balance transfers. For example, the card may offer 0% on balance transfers for 12 months and 0% on purchases for 6 months. In this case, any remaining balances from purchases (plus any made in the future) will attract the standard purchase interest rate. The 0% rate will still apply to your balance transfer debt for the next 6 months.

While you're only required to pay the minimum repayment amount each month, it's important to create a budget and repayment plan that will allow you to pay off your balances in full before the promotional period ends.

What happens if I spend with a 0% balance transfer credit card that charges interest on purchases?

When you make a payment with your card, the debt on your credit card that attracts the highest interest rate will be paid off first. If a card charges a purchase rate but no balance transfer rate, your repayments will go towards your purchases first. If this is the case, you need to make sure you're paying off enough to repay your purchases and the balance transfer debt. Otherwise, you'll be wasting your 0% balance transfer offer. Plus, if you attract interest on your purchases, it could quickly outweigh the savings you're getting from the 0% balance transfer.

How to compare 0% balance transfer and 0% purchase rate credit cards

When comparing cards, it's important to select the type of card that is most suited to your circumstances. You can compare some of the different card types and features you should pay attention to below:

  • Length of interest-free offer. The length of the 0% introductory period can range from 3 months to 24 months in some instances, so you want to make sure that it gives you enough time to pay off your purchases and balance transfer in full. If the interest-free offer is longer than 12 months, make sure to calculate any annual fees when deciding
  • Revert interest rates. Even if you aim to pay off your balances before the interest applies, check what interest rates will apply to your purchases or balance transfer after the introductory period.
  • Reduced annual fee. As you might've noticed when browsing some of these cards, they often charge a reduced annual fee for the first year. This can help keep your upfront costs low while you knuckle down to paying off your debt.
  • Reward points. Some of these cards are linked with frequent flyer or rewards programs, allowing you to earn points as you spend. They may not offer as competitive earn rates or bonus points offers as some other rewards cards and balance transfers (or balance transfer repayments) don't usually collect points.
  • Platinum cards. Platinum credit cards are targeted at higher income customers and they often require a shining credit history. In return, you get higher credit limits as well as more valuable extras, which often include complimentary overseas travel insurance.
  • Classic cards. Classic credit cards are a good choice for people on a lower income. They are usually a no-frills option with lower annual fees than platinum cards.
  • Low rate cards. These are a popular offering in the 0% balance transfer and 0% purchase rate scene, as purchases on these cards usually revert to a relatively low interest rate after the introductory offer period is over.

Start comparing 0% balance transfers and 0% purchase rate credit cards

How to use these credit cards wisely

Your 0% balance transfer and 0% purchase rate credit card will be a huge boon during its initial offer period, but only if you make effective use of it. Keep in mind the main dos and don'ts when using this type of card:

The dos

  • Transfer your balance quickly. Many credit cards require you to request the balance transfer at the time of application to take advantage of the 0% offer. While otheres may allow you to request the balance transfer within the first 30 days, it's important to remember that the 0% period applies when the card is approved (not when you transfer the debt across).
  • Pay off your balance in full. If the introductory offer lasts for 6 months, then make sure you are budgeting to ensure that the balance on your 0% balance transfer and 0% purchase rate credit card is paid off in full before the offer period expires. You will be charged the revert interest rate on any unpaid balance, which could be higher than 20%. However, if you find that you won't make it by the cut-off date, it may be worth considering transferring the balance again to another similar card from a different bank.

The don'ts

  • Don't make this a habit. Making one 0% interest balance transfer after another to avoid paying interest will be noted in your credit history. Your credit score may drop due to regular credit applications and the assessors of your credit file may well read into your habits and reject your applications for any more credit.
  • Don't make any cash transactions. Cash transactions (such as ATM withdrawals and gambling transactions) aren’t often included in 0% interest promotional offers, and when they are, they still carry very expensive cash advance fees.
  • Only paying the minimum repayments. Pay your credit card balance in full each month whenever possible. If you can't do that, then make sure you're at least paying the minimum monthly repayment to help you avoid late fees. Calculating your own minimum monthly balance repayment is as simple as looking at what the minimum repayment percentage is (usually 2-3%) and calculating this against your outstanding balance, interest included. You can also use an online credit card repayment calculator to work out what your minimum monthly repayments will be.

Calculating your minimum monthly credit card repayment

Frequently asked questions

Ask an Expert

You are about to post a question on

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Terms of Use, Disclaimer & Privacy Policy and Privacy & Cookies Policy.

13 Responses

  1. Default Gravatar
    LynneNovember 29, 2018

    I want to get a 0% balance transfer with a low rate and preferably no annual fee. I am not interested in Citi bank. Can you please help me. I am having trouble finding one on line

    • Avatarfinder Customer Care
      NikkiNovember 29, 2018Staff

      Hi Lynne,

      Thanks for getting in touch! To help you find a credit card with both 0% annual fee and a low rate, feel free to use the table on the page. First you’d need to enter the amount you’re transferring and your current interest rate then press calcuate. The table will automatically compute amount saved. If you want low rates, click the purchase rate 2 or 3 times to adjust the table from lowest to highest or vise versa and it will line up the cards for the lowest interest rates and so on. As a friendly reminder, review the eligibility criteria of the card before applying to increase your chances of approval. Read up on the terms and conditions and product disclosure statement and contact the bank should you need any clarifications about the card. Hope this helps!


  2. Default Gravatar
    SyedAugust 21, 2017

    Hi Good morning
    I currently am a holder of AZN business credit card and seek to do a balance transfer to another bank credit card, as there’s a lot of information has been given, I am unable to decide which bank should I chose? My main concern to transfer from ANZ is their monthly minimum repayments which to me is little over. The limit on the card is A$5000.00. Could you please help?

    • Default Gravatar
      MariaAugust 21, 2017

      Hi Syed,

      Thank you for reaching out to us.

      As finder is a financial comparison website providing general information, we are not permitted to provide our users with personalised financial advice or make product recommendations.

      However, we do help guide you through the process of comparing options.

      This page shows you credit cards that have offers on 0% Balance Transfers as well as 0% Purchase Rates and the table shows you the features of the different lenders that you may choose from and click “Go to site” to be directed to their page.

      You may also find other options on our page that have 0% Balance Transfer Credit Cards. They do not necessarily all have 0% Purchase Rates but have other terms that may suit your preference such as a longer period.

      Useful information that may guide you is also found on the link provided.

      I hope this helps.


  3. Default Gravatar
    BillMarch 13, 2016

    On a transfer of 0% for 9 months and purchases for 9 months with a revert to 19-20%, with a capacity to clear balance in offered time, am I obliged to make purchases other than to balance repayments to arrive at zero balance at the end of 9 months and at that time or beforehand take a no frills credit card with a competitor with a low interest rate? In other words can I use their offer to have 9 months interest free (incurring only the cost of the card).

    • Avatarfinder Customer Care
      JonathanMarch 14, 2016Staff

      Hi Bill, thanks for your inquiry!

      That is correct. With a promotional offer of 0% for 9 months on purchases and balance transfers no interest will be charged. If you have a balance transfer amount and you have made purchases, any repayments to your credit card account will go to your balance transfer amount first. This is because the revert rate is higher than the purchase revert rate.



  4. Default Gravatar
    KristieAugust 31, 2015

    did you have an offer of 0% p.a for 12 months on new purchases on the Westpac 55 Day card on the 20 june 2015?

    • Avatarfinder Customer Care
      JonathanSeptember 1, 2015Staff

      Hi Kristie, thanks for your inquiry!

      The Westpac 55 Day credit card did not have a purchase rate promotion on that specific date.



    • Avatarfinder Customer Care
      JonathanSeptember 1, 2015Staff

      Hi Kristie, thanks for your inquiry!

      The Westpac 55 Day credit card did not have a purchase rate promotion on that specific date.



  5. Default Gravatar
    kevinSeptember 7, 2014

    who has 0% interest for the longest time

    • Avatarfinder Customer Care
      ShirleySeptember 8, 2014Staff

      Hi Kevin,

      Thanks for your question.

      At the time of writing, the longest 0% offer in our comparison is for 13 months. All three cards are currently offered by Bankwest.


  6. Default Gravatar
    VivienMarch 7, 2013

    Can I withdraw a cash amount on existing card then apply for new card with 0% balance transfer

    • Avatarfinder Customer Care
      JacobMarch 8, 2013Staff

      Hi Vivian. Yes, this is possible. The only thing you will want to look out for it that you need to get approved on your new credit card, otherwise you’re going to be stuck with a huge credit card bill. A few things that may result in a declined application: too many enquiries (applications for credit) in a short space of time, defaults on previous credit products and applying for a card that has a high annual income requirement. For more information on why credit card applications get declined, check our article on the topic.

Credit Cards Comparison

Updated April 4th, 2020
Name Product Purchase rate (p.a.) Balance transfer rate Annual fee
Coles No Annual Fee Mastercard
19.99% p.a.
0% p.a. for 18 months with 1.5% balance transfer fee
$0 p.a.
Earn flybuys points for your spending and save with an ongoing $0 annual fee and 0% p.a. on balance transfers for 18 months.
Qantas American Express Ultimate Card
20.74% p.a.
0% p.a. for 12 months with 1% balance transfer fee
$450 p.a.
Get 100,000 bonus Qantas Points, a $450 Qantas Travel Credit and 2 yearly complimentary Qantas Club lounge invitations. Ends 14 Apr 2020.
HSBC Platinum Credit Card - Balance Transfer Offer
19.99% p.a.
0% p.a. for 22 months
$129 p.a.
Enjoy a balance transfer offer, yearly annual fee refund, airport lounge passes and complimentary insurance covers.
Bendigo Bank Low Rate Mastercard
11.99% p.a.
0% p.a. for 18 months with 2% balance transfer fee
$45 p.a.
A no-frills credit card with a competitive annual fee and 0% p.a. interest rate on balance transfers for the first 18 months.

Compare up to 4 providers

* The credit card offers compared on this page are chosen from a range of credit cards has access to track details from and is not representative of all the products available in the market. Products are displayed in no particular order or ranking. The use of terms 'Best' and 'Top' are not product ratings and are subject to our disclaimer. You should consider seeking independent financial advice and consider your own personal financial circumstances when comparing cards.

Ask a question
Go to site