All the best credit cards in the market offer you a facility to transfer your balance. This can help you pay one card’s dues on time and repay it via the other at your own pace. While this can be an affordable way to manage your dues, the actual charges depend on the card you are transferring the balance to. It is smart to do thorough research before you opt for it.
Guide to Credit Card Balance Transfers
Cards from banks and issuers like SBI, Axis Bank, and more provide you this facility. What does it mean? Consider this example:
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Say you owe some balance on your existing card (Card A)
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You transfer the amount to a different credit card (Card B)
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This allows you to repay the bills due Card A on time
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Opt for this only if Card B charges a lower interest, which will make it easier for you to pay it back.
List Of Top 5 Credit Cards For Balance Transfer
To help you narrow your search, here is a list of banks and issuers that have balance transfer facilities:
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SBI
State Bank of India’s credit card balance transfer service is very easy to opt for. You can initiate it by logging into your credit card account or sending the bank a specific SMS.
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The repayment tenure can be 2 to 6 months long
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An interest rate of 1.7% per month will be levied only if the tenure is 180 days
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If you repay within 60 days, you do not have to pay any interest
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You need to pay a processing fee up to 2% of the amount transferred
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One Credit Card
The One Credit Card also allows you to transfer the balance from other cards and repay with ease. It allows you to convert the balance into easy EMIs.
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If you have an outstanding balance of less than ₹5,000, the EMI facility is not available
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If your balance is between ₹5,000 and ₹15,000, you can convert it into a three-month EMI plan
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If your outstanding amount is more than ₹15,000, you can convert it into a six-month EMI plan
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Kotak Mahindra Bank
Credit cards from Kotak Mahindra Bank also offer balance transfer services. You can easily apply for it by calling them, sending them a message or using mobile or net baking services.
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They allow a minimum transfer of ₹2,500
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There is no maximum amount as long as it does not exceed 75% of your credit card’s limit
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You will have to pay a processing fee, which will be ₹349 for every ₹10,000
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Repay within 90 days to pay no interest on the purchases you make using your Kotak Bank credit card
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HSBC
You can transfer outstanding amounts from non-HSBC credit cards to an HSBC credit card. This will allow you to settle the amount in monthly instalments with a low interest rate.
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You can choose from tenures of 3, 6, 9, 12, 18, and 24 months
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Keep in mind that the interest rates range from 10.99% to 15.99% p.a.
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A processing fee of up to 1.5% of the transferred amount is applicable
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You can opt for the ‘Perpetual balance transfer’ facility for more flexibility
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Axis Bank
Axis Banks offers a wide range of credit cards with a balance transfer facility.
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Interest applies on the date you transfer the balance
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The interest goes up to 52.86% per annum based on the card
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The finance fees will accrue until you clear the outstanding amount, even if you close the card account
Benefits Of Credit Card Balance Transfer
Take a look at some of the most notable perks of credit card balance transfers:
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You get a buffer to pay your outstanding balance
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Based on the duration of repayment and the credit card company’s policies, the rate of interest may start at zero and go up
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It helps you save on the additional interest amount that you end up paying off as a result of accumulated and pending credit card bills
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In comparison to other methods of repaying any outstanding balances, this is a more convenient option
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Quick processing for balance transfers makes it easy for you to opt for this facility
To ensure that you do not overspend or forget your bill’s due date, the One Credit Card can be a great choice. Its full-stack mobile app sends alerts and notifies you whenever you are nearing your budget and payment due date.
The One Credit Card is also a lifetime-free card, so there aren’t any joining fees, annual fees or hidden charges. You can also enjoy more than 80 offers on shopping, dining, entertainment and travel. Earn up to 5X rewards on the top two spending categories every month and you don’t have to pay any fee to redeem your offers. You can also discover great offline offers on the app. Apply now for this instant credit card and discover a world of benefits at your fingertips.
