- Interest-free credit card deal offers 28 months on balance transfers
- TSB credit card will refund the fee for moving balances from other cards
TSB has introduced a new fee-free balance transfer credit card for customers who can quickly move existing debt that they want to get paid off interest-free.
The Platinum 28 Month Balance Transfer Credit Card deal has a 0.5 per cent balance transfer fee that will be refunded for transfers made in the first 30 days of the account being opened.
TSB promises to fully refund the transfer fees within 60 days of each transfer made in that first month.
Interest-free balance transfer cards offers a way to spread the cost of paying off debt over a period of time, but borrowers must make sure they stick by the rules and clear the sum before the deal runs out.
Shift to save: Move an existing card balance to the new TSB fee-free deal to save on interest
The account must be opened by 31 January 2018 and the transfer made before 2 March 2018 to get the deal.
After the introductory fee-free balance transfer period of 30 days, the fee will revert to 3 per cent.
No interest is charged on balance transfers for 28 months, or on purchases for three months – the rates revert to 18.9 per cent APR thereafter.
And 1 per cent cashback is given on the first £500 spent on the card if the customer also has a TSB Classic Plus account (until 30 June 2018).
Andrew Hagger of personal finance website Moneycomms.co.uk said: ‘Despite growing concerns of a credit bubble and the level of consumer debt, the 0 per cent balance transfer deals still keep coming.
‘The record-breaking 0 per cent terms of 43 months from MBNA and Halifax seen at the turn of the year have fallen back with these providers now offering a maximum 39 months and 38 months respectively.
TSB’s 28-month 0% balance transfer promotion is just one month short of Halifax’s table-topping deal
‘However, the TSB 28-month deal with no balance transfer fee is very competitive with only Halifax at 29 months offering a longer fee free 0% balance transfer offer.’
He points out you’ll need a spotless credit record to be approved for this card ‘as lenders tighten up their credit scoring policies due to soaring inflation and possible higher interest rates having an impact on borrowers ability to repay’.
But if you use the card wisely, the TSB is ‘a smart way to borrow without it costing you a penny, as long as you switch within the first 30 days and repay in full within 28 months,’ he adds.
‘Just make sure all monthly repayments are made on time otherwise you risk forfeiting the 0 per cent promo rate and will be charge the standard typical APR of 18.9 per cent.’
THIS IS MONEY’S FIVE OF THE BEST CREDIT CARDS