Christmas credit card debt? 5 balance transfer cards to get you back on track

Christmas credit card debt? 5 balance transfer cards to get you back on track

It’s time to admit it to ourselves – 2017 is here and the Christmas fun is over. The tinsel’s been packed away, the wrapping paper’s in the recycling bin, and the leftovers are all eaten. But there’s one more thing to be taken care of.

If you’re like a lot of Aussies, you probably racked up a substantial balance on your credit card throughout the festive season and now it’s time to do something about it.

And to make it easier on you, we’ve rounded up five balance transfer offers with generous interest free periods that will help you clear away your Xmas debt.

1. NAB Premium Card – Online Only Offer

nab-plat

Key features:

  • 0% balance transfer offer for 24 months (3% handling fee)
  • $90 annual fee
  • Complimentary features like travel insurance, extended warranty and purchase protection

With a whole two years to pay off your balance, you can manage the average credit card debt of $4,299 by paying off just $180 a month (plus the annual fee.) Doesn’t sound hard, does it? This deal is exclusive to Mozo, so if it sounds like the right choice for you, snap it up here!

2. Citibank Platinum

citiKey features:

  • 0% balance transfer offer for 24 months (1.5% handling fee)
  • $199 annual fee for the first year ($249 after)
  • Premium features including 24/7 concierge, Citi World Privileges discounts and 1.25 rewards points per $1 on Visa

Once you’ve paid off your debt, you’ll be able to have tonnes of spending fun with this card, thanks to the generous rewards program and luxe features on offer. Just remember to keep up that good habit and pay off your bill each month on time and in full so the costs don’t outweigh the benefits.

3. Westpac Low Rate – Exclusive Offer

westpac-bt

Key features:

  • 0% balance transfer offer for 24 months (2% handling fee)
  • Low annual fee of $59
  • Affordable 13.49% ongoing interest rate

With a low annual fee, low interest rate and lengthy interest free period, not only is this card a surefire way to manage debt, but it’s also a good allrounder piece of plastic. This is another exclusive Mozo deal, so click here to make it yours.

4. Bankwest Breeze MasterCard

bankwest-breeze

Key features:

  • 0% balance transfer offer for 21 months (2% handling fee)
  • Budget friendly $59 annual fee
  • Super low ongoing interest rate of 12.99%

This card has a slightly shorter 0% interest period, but if you do wind up with a lingering balance afterwards or if you want a card you can keep after paying down your debt, the low interest rate and annual fee make this a good choice.

5. BankSA No Annual Fee Card

bank-sa

Key features:

  • 0% balance transfer offer for 18 months (no handling fee)
  • No annual fee at all
  • Up to 55 interest free days each month

With no annual fee and no balance transfer fee this is a budget friendly way to blast debt. Just make sure you clear any lingering balance within the 18 month interest free timeslot to avoid the pinch of 20.49% interest.

Tips for smashing debt with a balance transfer

Ok, so you’ve got the BT card – now what do you do with it!? Here are some of our top tips for effectively wiping out debt with a balance transfer offer.

  • Check for balance transfer fees. When you transfer a balance over to a new card, there may be a handling fee involved, usually of around 2-3% of your balance. You’ll have to pay this upfront, so make sure you factor it into your budget.
  • Set up a repayment plan. This is crucial – before you even apply for a balance transfer card sit down and hammer out a plan for how you’re going to clear away your balance within the 0% interest period. Check out our debt payments calculator to work out how much you’ll have to repay each month to meet the BT deadline.
  • Set up automatic payments to match your repayment plan. That way, you’ll stay on track without even having to think about it. This is a great strategy, since missing even one month of repayments can throw your whole plan out of whack, and you’ll wind up with a lingering balance.
  • DO NOT spend any more money on your new BT card. If you put a new purchase on your new plastic, you’ll have to pay it off before you can start chipping away at your debt. So resist all those tempting post-Xmas sales and stick to your repayment plan. You can reward yourself with a shopping trip once you’re debt free.

Ready to send your Christmas credit card debt packing? To get started, take our balance transfer comparison tool for a whirl and find a deal that will suit your needs.

Christmas credit card debt? 5 balance transfer cards to get you back on track was last modified: January 11, 2017 by Kelly Emmerton

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3 Comments - Write a Comment

  1. 22,500 is my credit card limit, 18,000 is in minus. I want to apply for zero percent interest free balance transfer. Can any bank lend me 18,000 to pay off. My credit record is good I have full time job. and I am Australian permanent resident.

    Reply
    1. Mozo

      Hi Chandra,

      Thanks for your comment 🙂 Here at Mozo we aren’t licensed to provide financial advice, so you’ll need to speak to the banks directly as to whether they’ll approve you to move your balance across.

      We do have a balance transfer comparison section on our site, that shows you the banks currently offering low rate balance transfer deals: https://mozo.com.au/credit-cards/balance-transfer

      We hope that helps,

      Mozo Team

      Reply

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