Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
POSB Balance Transfer Review
A loan with flexible repayments and no interest for up to 12 months.
The POSB Balance Transfer loan comes with flexible repayment schemes, a DBS debit card for consolidated expenditure and no interest rates for up to 12 months. This review will explore the benefits of and drawbacks of POSB’s Balance Transfer loan, including its features and potential costs.
Pros and cons
- Interest savings. Enjoy 0% interest rates for a limited time period
- Easy and flexible repayments. Pay as little as $50 or 2.5% of your statement
- Promotions and deals. Enjoy lower fees and costs when you sign up online
- Administrative fees may get costly. 2.5% of your statement could add up
- Interest charges may add up. After the limited free interest charges, interest rates may go up to 5.06% or more
Main points to consider with the POSB Balance Transfer
A POSB Balance Transfer loan is best suited for individuals looking for flexible repayments, centralised expenditure and best for those with a 12-month borrowing period. In spite of its 12-month 0% interest offer, its subsequent interest rates may be costly depending on your financial needs. However, if you’re internet savvy and interested in online sign-ups, you may be able to snag a good deal and get more bang for your buck.
Features of the POSB Balance Transfer
- Low initial interest rates. Enjoy 0% interest rate for up to 12 months.
- Flexible repayment options. Pay either $50 or 2.5% of your statement balance, whichever is higher.
- Centralised expenditure. Consolidate all your credit card balances into a DBS Credit Card.
Fees and charges to look out for
Although the ultimate cost of depends on your financial situation, you may expect the following interest charges and fees:
- Processing fee. There’ll be a one-time fee charged upon the approval of your balance transfer. The processing fees are 2.5% and 4.5% for 6-months and 12-months balance transfers respectively.
- Minimum monthly payment. You’ll need to pay at least 2.5% of the statement balance for DBS Cashline / 3% of the statement balance for DBS/POSB Credit Card, or $50, whichever is greater.
- Finance charge. Prevailing interest rates of 20.5% to 29.8% p.a will apply on the outstanding DBS Cashline balance transfers amount, and 26.8% p.a. on the outstanding DBS/POSB Credit Card balance transfer amount.
- Late repayment fee. You’ll incur a $100 late payment fee for Credit Card or $120 for Cashline if you miss the monthly loan repayment date.
How to apply for the POSB Balance Transfer
POSB Balance Transfer loans are only available to existing POSB customers. Customers with a credit card or Cashline account may simply apply through their iBanking apps or with their card details on the POSB website. You may apply for a minimum balance transfer of $500.
More guides on Finder
Standard Chartered Bonus Saver Review
Earn boosted interest rates on the first S$80,000 of your Standard Chartered Bonus$aver account balance when you engage in any one (or more) of the five eligible categories.
UOB Stash Account Review
Benefit from higher interest rates as you maintain or grow your monthly balance with UOB Stash Account.
YouTrip vs Credit Card
Both prepaid cards and credit cards give you the option to shop with ease – here’s how they compare.
Best student debit cards
Enjoy convenient payments and a wide range of benefits with debit cards options that match the fast-paced lifestyles of students and young adults.
How to buy stocks online
Learn how to buy stocks online by following our 7 step guide for Singaporeans.
Benefit from zero trade commission on selected accounts, low spreads and a host of advanced trading tools with Exness online brokerage.
DBS Personal Loan Review
Repay your personal loan over a period of up to five years with DBS.
Education Loans in Singapore (2021)
Find out the options you have to help meet the cost of your higher education.
Credit cards for foreigners in Singapore
Compare credit cards for foreigners living in Singapore and learn what details you need to provide for your application.
Best credit cards for online shopping
Whether you’re looking to save on interest costs, earn reward points or need peace of mind that purchases are secure, we’re here to help you compare the best credit cards for online shopping.