Is it possible to do a second balance transfer?

Information verified correct on October 1st, 2016
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Everything you need to know before you apply for a second balance transfer credit card to get your debt in control.

There’s technically no restriction on the number of times you can transfer your credit card balance, but there are conditions you need to be aware of before doing so. For example, each application will be listed on your credit file and you can’t transfer your debt to a credit card within the same financial institution. There are also balance transfer limits you need to consider before doing a second balance transfer. This guide covers the terms and conditions you need to be aware of so that you can get another break on your credit card interest repayments.

How to conduct a second balance transfer

If you have an active balance transfer promotion that is about to finish, you can transfer the balance again to another credit card. Follow these steps to transfer your credit card debt to a second balance transfer credit card.

  1. Make sure you’ve paid off as much as you can before the end of the balance transfer promotional period.
  2. Compare balance transfer credit cards on the market and look at the length of the promotional 0% balance transfer offer and any fees on the card to determine whether it’ll benefit you.
  3. Double check the eligibility requirements by reading our balance transfer credit card review and application pages.
  4. Apply for a balance transfer credit card and enter your current credit card details when prompted by the online application.

Keep in mind that your second balance transfer will be subject to the credit card provider’s lending criteria. This includes a credit check that will show your previous applications and current credit accounts (so they will be able to see when you applied for your first balance transfer card). If your application does not meet a lender’s specific requirements, you won’t be approved.

Jose's second balance transfer

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Jose has been using his credit card for purchases and to pay important bills and now has a debt of $14,000. He applied for and was approved for a balance transfer to a new card at 0% for six months. In the six month promotional period, he paid his debt down to $11,000.

Now that the balance transfer deal is over, the remaining $11,000 will accrue interest at 19% p.a. Instead of paying this high interest rate, Jose decides to apply for a new credit card that also offers 0% for six months on balance transfers.

He’s approved for the new card and spends the next six months throwing all of his extra money onto the debt, eventually getting it down to $6,000.

Remember, the $5,000 Jose has paid on this balance has gone purely towards paying off his debt, so (with the exception of the annual fee) he hasn’t paid any other fees. If he had continued to pay off his balance of $11,000 at 19%, in six months he would’ve paid approximately $900 in interest.

Now, Jose can either apply to move the money to another credit card with a balance transfer promotion, or simply try to pay off extra each month to offset the interest charges that apply once the promotional period is over.

Five factors to consider before applying for a second balance transfer

  1. Is the bank eligible? To be eligible for a balance transfer promotion, you must transfer your debt to a credit card from a different bank. For example, if you have a Westpac Low Rate Credit Card, you can transfer a balance from a Citibank credit card but not another Westpac credit card.
    There are also restrictions if the financial institution is part of a banking group. For example, you’re ineligible to transfer a balance from a BankSA credit card to a St.George credit card because both banks are part of the Westpac Group.
  2. Do you meet the credit card eligibility requirements? Every credit card has a list of application requirements that you need to meet to be eligible to apply. Credit card application requirements include Australian residency, minimum age and minimum income requirements. Generally, if you’re eligible for a credit card, you’re also eligible for a balance transfer to that card. See our guide on how to ensure your balance transfer application is successful for more tips on the information you’ll need to improve your likelihood of approval.
  3. Is there a balance transfer limit? There is a minimum and maximum amount you can balance transfer. The minimum amount is around $500 and the maximum balance transfer amount varies depending on the institution and your financial circumstances. As such, the maximum balance transfer amount is expressed as a percentage of your credit limit, for example, you could be able to use up to 80% of your approved credit limit towards a balance transfer.
    Balance transfer limits are important when you’re looking at a second balance transfer. If you accepted the maximum credit limit available when you applied for your first credit card and your financial situation hasn’t changed, the credit limit on your second credit card could be lower than the first. If that’s the case, you won’t be able to transfer the full amount.
  4. How will this impact your credit rating? Every application for credit is recorded on your credit report. A healthy credit report is key to your chances of getting approved for credit in the future. Too many applications for credit in a short space of time is a red flag to potential lenders. What’s more is that applying for multiple balance transfer offers – sometimes known as “credit card churning” – is frowned upon by most issuers. After all, they are typically looking for customers that will stay with them beyond the honeymoon period.
  5. Are there balance transfer fees? Some financial institutions charge a balance transfer fee for specific credit card offers. This fee could be 1-4% of the total amount you wish to transfer and is deducted from your remaining credit limit. It’s also important to consider other fees such as the annual fee and interest rates. If these costs outweigh the savings you’ll earn from your paying off your debt without interest, you might want to look for a card with lower costs.

Comparison of balance transfer credit cards

Rates last updated October 1st, 2016.

St.George Vertigo Platinum

Balance transfer period changed from 20 to 18 months and is valid until 4 January 2017.

September 30th, 2016

St.George Vertigo Visa

Balance transfer and purchase offer have been extended until 4 January 2017.

September 30th, 2016

Bank of Melbourne Vertigo Visa Credit Card

Intro APR of 1% for 12 months and BT offer of 0% for 18 months extended until 4 January 2017.

September 30th, 2016

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Balance transfer rate (p.a.) Purchase rate (p.a.) Annual fee Interest Saved
Virgin Australia Velocity Flyer Card - Balance Transfer Offer
Offers 0% p.a. interest rate on balance transfers for 18 months to help you manage your existing credit card balance with a reduced annual fee in the first year.
0% p.a. for 18 months 20.74% p.a. $64 p.a. annual fee for the first year ($129 p.a. thereafter) Go to site More info
Westpac 55 Day credit card
Enjoy a balance transfer offer of 0% p.a. for 16 months, an introductory purchase rate of 1% p.a. for up to 12 months, plus a waived annual fee for the first year if applied by 11 October 2016.
0% p.a. for 16 months 1% p.a. for 12 months (reverts to 19.84% p.a.) $0 p.a. annual fee for the first year ($30 p.a. thereafter) Go to site More info
HSBC Platinum Credit Card
Receive a full annual fee refund and save $149 if you meet the $6,000 spend requirement. Enjoy a balance transfer offer and platinum card benefits such as complimentary insurances and concierge services.
0% p.a. for 15 months 19.99% p.a. $149 p.a. Go to site More info
NAB Low Rate Credit Card
The NAB Low Rate Card offers 0% p.a. on purchases and balance transfers for 15 months. This card also comes with a low annual fee.
0% p.a. for 15 months with a one off 2% balance transfer fee 0% p.a. for 15 months (reverts to 13.99% p.a.) $59 p.a. Go to site More info
ANZ First Visa Credit Card - Exclusive Offer
Take advantage of this exclusive offer and enjoy 0% p.a. for the first 12 months on balance transfers and 0% p.a. for the first 3 months on purchases.
0% p.a. for 12 months 0% p.a. for 3 months (reverts to 19.74% p.a.) $30 p.a. Go to site More info
NAB Low Fee Card
Enjoy a low introductory rate of 0% p.a. on balance transfers and purchases for 15 months.
0% p.a. for 15 months with a one off 2% balance transfer fee 0% p.a. for 15 months (reverts to 19.74% p.a.) $30 p.a. Go to site More info
Westpac Low Rate Card
A no frills credit card with an introductory rate of 0% p.a. for 18 months on balance transfers and 1% p.a. for 12 months on purchases.
0% p.a. for 18 months 1% p.a. for 12 months (reverts to 13.49% p.a.) $59 p.a. Go to site More info
St.George Vertigo Visa
Introductory offer of 0% p.a. for 18 months on balance transfers and 1% p.a. for 12 months on purchases, plus a low annual fee.
0% p.a. for 18 months 1% p.a. for 12 months (reverts to 13.24% p.a.) $55 p.a. Go to site More info
St.George Vertigo Platinum
A platinum card with a balance transfer offer of 0% p.a. for 18 months and an introductory purchase offer of 1% p.a. for 12 months with an annual fee waiver for the first year.
0% p.a. for 18 months 1% p.a. for 12 months (reverts to 12.74% p.a.) $99 p.a. Go to site More info
Virgin No Annual Fee Credit Card
Enjoy a long term balance transfer plus a $100 cashback offer (spend criteria applies) and never pay an annual fee for this card.
0% p.a. for 18 months with 2% balance transfer fee 18.99% p.a. $0 p.a. Go to site More info
Bank of Melbourne Vertigo Visa Credit Card
Enjoy a low annual fee combined with 0% p.a. balance transfer offer for 18 months and 1% p.a. for up to 12 months on purchases.
0% p.a. for 18 months 1% p.a. for 12 months (reverts to 13.24% p.a.) $55 p.a. Go to site More info
Bank of Melbourne Vertigo Platinum
A platinum card with a low balance transfer offer of 0% p.a. interest for 18 months and 1% p.a. for 12 months on purchases combined with complimentary insurance covers.
0% p.a. for 18 months 1% p.a. for 12 months (reverts to 12.74% p.a.) $99 p.a. Go to site More info
American Express Essential Credit Card
Receive a $50 credit on eligible spend and get Smartphone screen insurance combined with a no annual fee for life card. Also enjoy a 0% p.a. balance transfer rate for 12 months.
0% p.a. for 12 months with 1% balance transfer fee 14.99% p.a. $0 p.a. Go to site More info
Citi Rewards Credit Card - Platinum Card
A long term balance transfer offer with the Citi Rewards Platinum Card. Earn extra points on overseas spend and includes travel insurance.
0% p.a. for 24 months with 1.5% balance transfer fee 20.99% p.a. $199 p.a. annual fee for the first year ($249 p.a. thereafter) Go to site More info
American Express Explorer Credit Card
Receive 100,000 Membership Rewards Bonus Points on eligible spend within the first 2 months of Card Membership. Also enjoy a $400 travel voucher and two complimentary airline passes per year.
0% p.a. for 12 months with 1% balance transfer fee 20.74% p.a. $395 p.a. Go to site More info

If a balance transfer promotional period is finished and you still have debt to pay off, you may want to transfer the balance again to avoid interest charges. As there are some risks with doing a second balance transfer. make sure you weigh up all of the factors above. Remember that any balance transfer card you apply for will be subject to approval and recorded on your credit file, so it’ll pay to do your research first.

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4 Responses to Is it possible to do a second balance transfer?

  1. Default Gravatar
    Pam | July 17, 2013

    I have an equity account owing $30,000. If I transferred $9,000 to my credit card then transferred to 0% transfer x 3 transfers would that work?

    • Staff
      Jacob | July 17, 2013

      Hi Pam. Probably not. There are a couple of reasons why. At the time of writing, with the exception of Citibank and Virgin, all other credit card issuers allow you to transfer from a credit card, store card or charge card only. Citibank and Virgin do allow you to transfer from a line of credit or a personal loan – you will have to double check with them first as to whether they will accept a balance transfer from an equity account. Furthermore, most card issuers (but not all) will only allow you to transfer at the promotional rate of interest if you apply for the transfer at the time of applying for the card. I hope this has helped, let us know if you have any more questions on balance transfers. Jacob.

  2. Default Gravatar
    Dianne | March 20, 2013

    I have just been informed that Citibank Australia is not accepting any balance transfers from other banks. Why is this?

    • Staff
      Jacob | March 21, 2013

      Hi Dianne. This is news to us. Can you tell us exactly what the Citibank representative told you? We have double checked with Citibank and this is not the case. Thanks.

Credit Cards Comparison

Rates last updated October 1st, 2016
Purchase rate (p.a.) Balance transfer rate (p.a.) Annual fee
Virgin Australia Velocity Flyer Card - Balance Transfer Offer
Enjoy a 0% p.a. balance transfer offer for 18 months and also earn 2 bonus Velocity Points in the first 3 months on everyday spend.
20.74% p.a. 0% p.a. for 18 months $64 p.a. annual fee for the first year ($129 p.a. thereafter) Go to site More info
ME Bank frank Credit Card
Enjoy a low and consistent interest rate on purchases and cash advances, combined with no annual fee.
11.99% p.a. $0 p.a. Go to site More info
St.George Vertigo Visa
Introductory offer of 0% p.a. for 18 months on balance transfers and 1% p.a. for 12 months on purchases, plus a low annual fee.
1% p.a. for 12 months (reverts to 13.24% p.a.) 0% p.a. for 18 months $55 p.a. Go to site More info
HSBC Platinum Credit Card
Receive a full annual fee refund and save $149 if you meet the $6,000 spend requirement. Enjoy a balance transfer offer and platinum card benefits such as complimentary insurances and concierge services.
19.99% p.a. 0% p.a. for 15 months $149 p.a. Go to site More info

* The credit card offers compared on this page are chosen from a range of credit cards CreditCardFinder.com.au has access to track details from and is not representative of all the products available in the market. Products are displayed in no particular order or ranking. The use of terms 'Best' and 'Top' are not product ratings and are subject to our disclaimer. You should consider seeking independent financial advice and consider your own personal financial circumstances when comparing cards.

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