Top balance transfer credit cards to take control of debt this financial new year

couple sitting on bed looking at finances stressed about credit card debt researching balance transfer

New financial year, new financial you! The beginning of the new financial year is the ideal time to make positive moves towards your money goals.

One considerable step you can take towards banishing debt is utilising a balance transfer to lower the interest rate you’re paying on your credit card debt.

What is a balance transfer?

A balance transfer is when you transfer your debt from one credit card to another card with a much lower interest rate (or balance transfer rate), often even 0% for a limited period.

Without the large interest rates building up over time, you have the ability to chip away at the balance of your debt faster, instead of racking up hefty additional charges each month.

A balance transfer can be a simple way to help clear credit card debt, but before jumping in head first, there are some things to keep in mind.

What do I need to know?

Balance transfer rate offers are always for a limited time, so you should go into it with a financial plan. You need to know how you are going to pay off your debt within the terms of the limited-time rate. Check out Mozo's credit card debt calculator to get you started.

Additionally, it is best not to buy anything else on the credit card until you have cleared the balance off completely, as most cards will not give you any interest free days until you have paid off your original balance transfer.

Check out some top balance transfer credit cards:

Compare balance transfer credit cards:

Kogan Money Black Credit Card
  • 0% p.a. balance transfer rate for 12 months (then 21.74% p.a.)
  • 55 Interest free days
  • No annual fee

The Kogan Money Black Card has a 0% p.a. balance transfer rate for the first 12 months (then 21.74% p.a.), so customers who choose a balance transfer should try to pay off their debt within the 12 month window to avoid hefty interest. Additionally, you can earn up to $400 in Kogan.com credit ($50 Credit on eligible spend within 30 days of approval and $350 Credit when you spend $1,500 on eligible purchases within 90 days of approval). The offer is only available on applications until August 2, 2021, and terms and conditions apply. Applicants should also keep in mind that the card does have a 20.99% p.a. purchase rate, but it comes with 55 interest free days on purchases.

Bendigo Bank Low Rate Credit Card
  • 0% p.a. balance transfer offer for 12 months (2% balance transfer fee applies)
  • 0% p.a. purchase rate for first 12 months (low 11.99% p.a. after)
  • Low $45 annual fee

Bendigo Bank's Low Rate Credit Card offers an introductory 0% p.a. purchase rate for the first year, before reverting to 11.99% p.a. After making your purchases, you can enjoy 55 interest-free days.  The low rate card also offers 0% p.a. on balance transfers for 12 months, with a 2% balance transfer fee. The balance transfer rate reverts to 11.99% p.a. after the 12 month period. Keep in mind, the Bendigo Bank Low Rate Credit Card comes with a low $45 annual fee.

Westpac Low Rate Credit Card
  • 0% p.a. balance transfer rate for the first 28 months (1% balance transfer fee applies)
  • $0 annual fee for the first year (then $59)
  • 13.74% p.a. ongoing purchase rate

Westpac Low Rate Credit Card has a  purchase rate of 13.74% p.a and 55 interest-free days on purchases. The card also offers a 0% p.a. balance transfer rate (with a 1% transfer fee) for the first 28 months, but reverts to a 21.49% p.a. rate after the 28 month period. You can enjoy no annual fee for the first 12 months, then a fairly low $59 per year after that.

Bankwest Zero Platinum Mastercard
  • 0% p.a. on balance transfers for 26 months (2% balance transfer fee applies)
  • 14.99% p.a. purchase rate
  • No annual fee

The Bankwest Zero Platinum Mastercard has a low 14.99% p.a. purchase rate and offers 55 interest-free days on your purchases. You can enjoy an introductory 0% p.a balance transfer rate offer for 26 months, which then reverts to 14.99% p.a. thereafter (2% balance transfer  fee applies), which could make this a fitting choice if you’re looking to transfer debt. This card also boasts no annual fee and the option to pay with the Bankwest Halo payment ring.

^See information about the Mozo Experts Choice Credit Card Awards

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.