Approval for any credit card will depend on your status. The APR shown represents 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.
Halifax Low Fee 0% Balance Transfer Credit Card review 2020
This lengthy balance transfer card gives you time to pay off a large credit card bill, for a low transfer fee.
Halifax has a wide range of balance transfer deals available, and this one’s somewhere in the middle – with its respectably-lengthy 0% period, a low transfer fee and a 0% period on purchases.
You say: ★★★★★We say: ★★★★★
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In a nutshell:
0% interest on balance transfers
0% interest on purchases
|Issuer||Bank of Scotland|
|Balance transfers||0% for 23 months reverting to 19.95%|
|Balance transfer fee||1.5% for 3 months reverting to 5%|
|Purchases||0% for 9 months reverting to 19.95%|
|Purchases interest-free period||Up to 56 days|
|Min credit limit||£0|
|Max credit limit||Not specified|
|Additional cards available||1|
Chris Lilly is a publisher at finder.com. He's a specialist in credit-based products including business and personal loans, mortgages and credit cards, and is passionate about helping UK consumers make informed decisions about their borrowing. In his spare time Chris likes forcing his kids to exercise more.
The Halifax Low Fee 0% Balance Transfer Mastercard offers a solid balance transfer deal that stands somewhere between the longest available on the market (that tend to have a costly balance transfer fee) and those with a 0% balance transfer fee (that tend to be shorter).
With a 1.5% for 3 months reverting to 5% balance transfer fee and a 23-month-long 0% deal on balance transfers, this card is likely to suit those transferring larger balances that might take a while to pay off, and who might need to use the card for upcoming purchases as well.
Realistically, for most people, there’s probably going to be a slightly more suitable card out there. But for a niche minority, this fine-tuned card will be perfect (and it’s certainly a competitive deal).
As usual, you should aim to clear the balance before the 0% interest period expires, otherwise the outstanding balance will start to accrue interest at a much less competitive rate. Don’t forget to plan in advance and set alarms for it . Since the purchase and the balance transfer deal don’t expire at the same time, you should be careful not to mix up these two different sets of debt and pay off your purchase balance first.
Pros and cons
- Almost two years of 0% interest to focus on reducing existing card debt
- A relatively low balance transfer fee
- No annual fee
- Applicants with low credit scores are unlikely to be eligible
How does it compare?
Other popular balance transfer deals
You can make manual repayments through Halifax's app, by logging in to your online banking or over the phone (0345 944 4555). 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 23 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 want to apply, 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.
Frequently asked questions
Can I withdraw cash using the Halifax Low Fee 0% Balance Transfer Mastercard?
Although it's possible, withdrawing cash from a credit card account is generally not a good idea, as "cash-like transactions" (withdrawing cash at an ATM, getting cashback at the till, spending at a casino, buying currency, etc.) often incur steep fees and/or higher rates of interest.
The cash advance fee on the Halifax Low Fee 0% Balance Transfer Mastercard is 5%.
The interest rate on this part of your balance will be 19.95%, which is the same as the standard purchases rate (chargeable from the day of the transaction – the card's usual "up to 56 days interest-free" grace period won't apply).
What should I do with my old credit card after transferring the balance to the Halifax Low Fee 0% Balance Transfer Mastercard?
Transferring a balance doesn't automatically close your old account. In most cases, you'll want to close the old account(s) straightaway, especially if they have an annual/monthly fee or if you might be tempted to use them in the future. There is an argument that you should keep the old account open to help your credit score. That's because doing so keeps your "credit utilisation ratio" lower (that's a measure of how much credit you're using compared to what's available to you), and helps the average age of your credit accounts. However, unless you're just about to apply for a new mortgage, it's probably fair to say that most people would prefer to have no more bank accounts open than was truly necessary.
How much does it cost to use the Halifax Low Fee 0% Balance Transfer Mastercard abroad?
Non-sterling transactions are subject to a 2.95% charge. For example, if you spend 200 euros (£180.80), it'll cost you around £5.33.
What is the minimum payment on the Halifax Low Fee 0% Balance Transfer Mastercard?
Each month you must pay at least 2.5% of your balance at that point or £5.00 – whichever of the two figures is greater. So if you had, say, £180.00 outstanding, you'd pay £5.00, and if you had £800.00 outstanding, you'd pay £20.00.
Paying only the minimum required amount each month is generally not advisable as it makes it much harder to get debt-free before that introductory 0% period expires.