Capital One Balance Transfer Credit Card review
- Representative example:
- Representative 34.9% APR variable. Based on assumed borrowing of £1,200. Rate of interest 34.94% p.a. (variable).
- 0% interest on balance transfers
- 18 months
- Account fee
- £0
- 0% interest on purchases
- 3 months
Our verdict
Capital One's credit card for applicants with lower credit scores.Capital One is known for providing credit cards for bad credit, and this card is no exception, offering a competitive balance transfer deal for those with lower credit scores.
However, it comes with a maximum credit limit of £1,500, and the 0% interest period is only 6 months, which is reasonable for a card geared towards those with bad credit, but might not suit those struggling to pay off a large existing balance.
It's also worth noting that the balance transfer facility comes with a 3% fee attached, and that after the 0% introductory period any outstanding balance will start to accrue debt at the card's standard purchases rate (see table below).
Pros
- Customers report excellent customer service when dealing with Capital One
- Over a year of 0% interest to focus on reducing existing card debt
- Three months to spread the cost of purchases
- Earn points on day-to-day spending
- No annual fee
Cons
- A relatively high interest rate on purchases
- Applicants with low credit scores are unlikely to be eligible
- Don't forget that balance transfer fee! If cutting the interest on existing card debt is your main reason for considering this card, check out no-fee deals first
Details
Product overview
| Issuer | Capital One |
| Network | Mastercard |
| Annual/monthly fees | £0 |
| Balance transfers | 34.94% |
| Balance transfer fee | 3% |
| Purchases | 0% for 3 months |
| Purchases interest-free period | Up to 56 days |
| Cash advances | 34.94% |
| Minimum credit limit | £500 |
| Maximum credit limit | Subject to status: £8,000 |
| Additional cards available | 3 |
| Potential costs | 6.4Standard |
| Extras | 6.4Standard |
| Overall Finder Score | 6.5Standard |
Fees and charges
| Minimum monthly payment | Greater of: 2% of the underlying balance plus the month's interest and any applicable fees and charges; £5; or the outstanding balance. |
| Annual/monthly fees | £0 |
| Balance transfer fee | 3% |
| Money transfer fee | 0% |
| Foreign usage charge (EU) | 2.75% |
| Foreign usage charge | 2.75% |
| Cash advance fee | 3% |
| Late payment fee | £12 |
| Duplicate statement fee | £0 |
| Exceeding limit fee | £12 |
| Additional card fee | £0 |
| Dormancy fee | £0 |
Application requirements
| Minimum Age | 18 |
| Availability | Available to new customers |
How does this card compare with other similar cards on the market?
Finder Score for credit cards
To make comparing even easier we came up with the Finder Score. Costs, perks and suitability across 120+ cards are all weighted and scaled to produce a score out of 10. The higher the score the better the card – simple.
Read the full methodologyApproval for any credit card depends on your status. The representative APRs shown represent the interest rate offered to most successful applicants. Depending on your personal circumstances, the APR you're offered may be higher, or you may not be offered credit at all. Fees and rates are subject to change without notice. It's always wise to check the terms of any deal before you borrow. Most of the data in Finder's comparison tables is provided by Defaqto.
Repayment options
You can make manual repayments through Capital One's app by logging in to your online banking or over the phone (03444 812 812). Alternatively, you may wish to set up a direct debit.
A direct debit protects you from forgetting to make a repayment and losing your promotional interest rate as a result (as well as damaging your credit score and incurring the late payment fee of £12). You could use a fixed-amount direct debit to ensure you've cleared your debt before the 0% period expires – simply divide your outstanding balance by 18 to see what you'll need to pay each month (this assumes you don't use the card for additional spending).
You can arrange a direct debit for repayments when you apply for the credit card. The table below shows the options available.
Choose from the following direct debit options for your monthly repayments:
| Minimum amount | |
|---|---|
| Fixed amount | |
| Fixed percentage | |
| Full amount |
How to apply
If you've compared cards and settled on the Capital One Balance Transfer Credit Card, completing the secure online application form takes about 15 minutes. Before you apply, check that you meet the eligibility requirements and have the information and documents you'll need to make the process as straightforward as possible. You can request a balance transfer as part of your application.
Frequently asked questions
What credit limit will I get with the Capital One Balance Transfer Credit Card?
If Capital One offers you this deal, it will specify a personalised credit limit based on Capital One's assessment of your situation. The minimum limit offered on the card is £500, while the maximum is £8,000. Once you've had the card for a while and shown Capital One you're reliable, you may wish to apply for a credit limit increase.
Can I withdraw cash using the Capital One Balance Transfer Credit Card?
Although it's possible, withdrawing cash from a credit card account is generally not a good idea, as "cash-like transactions" (such as withdrawing cash at an ATM, getting cashback at the till, spending at a casino or buying currency) often incur steep fees and/or higher rates of interest.
The interest rate on this part of your balance will be 34.94%. That's chargeable from the day of the transaction – the card's usual "up to 56 days interest-free" grace period won't apply. On £500-worth of cash paid off 2 weeks later, that would mean £5.78 of interest.
How much does it cost to use the Capital One Balance Transfer Credit Card abroad?
Non-sterling transactions are subject to a 2.75% charge (which is very standard). For example, if you spend 200 euros (£166.76), it'll cost you around £4.59 in fees.
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