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Combine Credit Cards With A Balance Transfer


Posted September 15th, 2009 and last modified November 26th, 2009

It is often a good idea to combine credit cards into a balance transfer card if you struggle with debt. The market is currently saturated with great cards suitable for people with credit card debt. Offers range from no interest to low interest while also giving you other bonus features to take advantage of.


How to combine credit cards to make the most out of balance transfer offers.


The ideal customer for any type of balance transfer card is a consumer who owns a credit card but is unable to repay its debt within two months with interest charged at more than 10 per cent. If you are in a situation like this you will probably welcome to idea to combine credit cards into a balance transfer card to be able to manage your debt with a little less headache and worry.


The idea of moving your existing debt onto a new card (the balance transfer card) is to allow you to repay your debt faster with better rates and lower fees.


The best feature to look for if you want to combine credit cards into one new one is the no interest offer for a set term. Usually these range from six months upwards. Some credit card providers charge you a low rate p.a. for life and others yet will offer you an even better deal, lasting longer.



Combining credit cards into a balance transfer card is great, but before you do, consider the following:

  • Considering you get offered a 0% p.a. balance transfer rate make sure you understand the legal implications for you when the deal runs out. After the introductory period balance transfer cards usually revert back to a much higher rate, sometimes the cash advance rate which can sting you bad and see you go from debt management into debt hell.
  • Many balance transfer card issuers will require for you to cancel your existing credit cards. Some will do this for you, while others don’t.
  • Some of the qualifying balance transfers could be limited to the new card’s credit limit percentage. Most often this is 95 per cent.
  • If you use your new balance transfer card for purchases, debt repayments usually apply to the debt with the lowest rates, e.g. the balance transfer itself and this could see you losing your interest free days often offered with such a card.
  • When you are ready to combine credit cards also make sure you calculate the total cost of the balance transfer card. This includes all the fees as well as the interest rates applicable.


How to make the most of balance transfer cards:


By using a balance transfer card with a 0% p.a. balance transfer rate for a minimum of six months and then using that card to paying off your debt while avoiding to use it for purchases you’ll make the most of your opportunities. It is possible to save a staggering $500 on interest during the introductory period of six months on a $5,000 debt balance.


Always remember to combine credit cards to the best balance transfer card for your level of debt while keeping your budget in mind.



Related posts:

  1. How to effectively combine your credit cards and save on interest
  2. What Is A Credit Card Balance Transfer?
  3. How Do Life Of Balance Transfer Credit Cards Work?
  4. How Do Balance Transfer For Life Credit Cards Work?
  5. 2 Questions To Ask Before Applying For Balance Transfer Credit Cards



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The ANZ Low Rate MasterCardBest Balance Transfer Credit Card Offer

The Bankwest Lite MasterCard is Australia's cheapest credit card offer, giving you the lowest MasterCard purchase rate of just 9.99% p.a. as well as a long balance transfer offer on your existing credit card balance at 1.99% p.a. for 12 months!


Find out more about the Bankwest Lite MasterCardApply now for a Bankwest Lite Credit Card

Editor's Choice: Our Top Credit Cards


Credit Card Card Details Interest Rate (p.a.) Cash Advance Rate (p.a.) Balance Transfer Rate (p.a.)

Annual fee

Interest free days (up to)

St George Vertigo MasterCard Application
Bankwest Lite MasterCard
Editor's Choice:
Cheapest Credit Card

The lowest stress mastercard, with Australia's lowest MasterCard purchase rate of just 9.99% p.a.
9.99% 20.99% 1.99% for 12 months $59 55 Apply now for the Bankwest Lite MasterCard via the official BankWest website.
More information on the Bankwest website
St George  
Vertigo MasterCard Application
St George Vertigo
Editor's Choice:
Best Bank
Low 2.99% for 6 months (reverts to 11.99%) p.a. interest rate and balance transfer rate, from one of Australia's most respected banks.
2.99% for 6 months (reverts to 11.99%) 20.74% 2.99% for 6 months $55 55
Coles Group Source MasterCard
Coles Group Source MasterCard
The Coles Group Source MasterCard has no annual fee, a 0% p.a. balance transfer offer for 6 months, with a rewards program including savings on fuel and FlyBuys Points19.74%21.99%0% for 6 months$062 Apply Now For The Coles Group Source MasterCard
Read More About The Coles Group Source MasterCard
BankWest Zero Platinum MasterCard
Citi Clear Platinum Visa
Editor's Choice:
Low Interest
An excellent low interest credit card offer with 11.49%interest on purchases and 0.99% for 6 months on balance transfers .
11.49% 20.99% 0.99% for 6 months $49 (First Year, Save $50) 55
BankWest More Platinum MasterCard
Bankwest Zero Platinum MasterCard
Editor's Choice:
No Annual Fee
Excellent introductory offer with a $0 annual fee for the life of the credit card and a 1.99% p.a. for 12 months on balance transfers
15.99% 15.99% 1.99% for 12 months $0 55

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