Once the intro period ends, any unpaid balance will accrue the standard purchase rate – which could be as high as 19.99%. Sign-up Successful! Janette Scott, a retired accountant living in Florida, had been planning on using balance transfers to pay down her daughter's school debt. From a bank’s perspective, balance transfer facilities offer a two-pronged advantage. Earn 2% cash back on everyday purchases in up to three categories of your choice. For example, when applying for a new balance transfer credit card with a low interest rate, you’ll receive an inquiry on your credit report – like you would when you apply for any new credit card. The BDO Balance Transfer Promotion (“Promo”) is open to Principal Credit Cardholders of Mastercard, Visa, UnionPay1, Diners Club, JCB, and American Express®Credit Card issued by BDO (“Cardholder”), who are not prohibited by applicable laws, regulations and policies from participating in and/or qualifying for this Promo, on his/her own Non-BDO Credit Card Balances. Balance transfer offers, which typically entice borrowers to move their debt to a new lender in exchange for a temporary 0% interest rate, have been sharply reduced at banks including JPMorgan Chase, Citigroup, Bank of America, Barclays and Capital One, according to people with knowledge of the matter at each firm. However, not all products we list are tied to compensation for us. A balance transfer is what it sounds like: it’s the transfer of a balance from one credit card to another. But banks were burned in the 2008 recession when users of balance transfers defaulted at among the highest rates in the industry, according to the sources. For this reason, it’s a good idea to avoid charging new purchases to your credit card while you’re paying off your transferred balance. * The effective interest rate is calculated taking into consideration the administration fee and based on the assumption of a minimum monthly payment of: 2.5% for Cashline / 3% for DBS/POSB Credit Card(s) of the outstanding and full payment in the final month of the tenure. For example: The monthly repayment for a Balance Transfer Plus amount of RM1,000 with a tenure of 36 months and an interest rate of 5.99% p.a. Promo period is from January 15, 2020 until June 5, 2020. For example, if you make a new purchase on the BMO Preferred Rate Mastercard, that purchase will be subject to the card’s regular interest rate of 12.99%, not its promotional rate of 3.99%. Scotiabank Value Visa Card. Can’t choose? Below, you can find in-depth descriptions of our top picks for Canada’s best balance transfer credit cards for 2021. Banks made money from transfer fees, typically around 3%, and begin to earn interest on debt after the promotional period, usually lasting six months to as long as two years, ended. Further to this point, any payments you make towards your credit card bill will go towards paying off your transferred balance first and not new purchases. Genius Rating: … Balance Transfer Offer: 0% Intro APR on balance transfers for 18 months from the date of the first transfer. Promotions. TFSA contributions, withdrawals, transfers, Can’t choose? While this card doesn’t have a minimum annual income requirement, if you earn at least $60,000 or $80,000, you could quality for the higher tier PC Financial Mastercards and earn even more points on your everyday spending. These cards come with special promotions that let you pay an ultra-low interest rate (sometimes as low as 0%) for a limited period of time (usually around six to ten months). Posted in Borrow. Whether it's opening your son's first savings account or helping you save up for your dream vacation, we're here to help you reach and celebrate your financial milestones! So, until you’ve wiped out your old debts, you’ll want to tread carefully and avoid using credit to make new purchases. Second, while some rewards credit cards come with balance transfer offers, their interest rates will increase sharply to 19.99% after the promotional period ends. Balance transfer rate offer: 0.97% for the first 6 months; after that, the balance transfer rate increases to 22.97% Interest rate: 20.97% on purchases, and 22.97% on cash advances