With a Balance Transfer (BT) Programme, you can enjoy great savings at low interest rates. Managing multiple credit card debts can be a daunting task. You can transfer all your outstanding credit debt into one card and enjoy low-interest rates with balance transfer credit cards.
A Balance Transfer programme allows you to enjoy low interest rates by providing you the flexibility to transfer the outstanding balance from one bank’s credit card to another bank’s card. This will help lessen the burden of paying off credit card interests charges considerably. Usually, the BT programme has different plans for you to choose as per your needs. Most banks use BT plans in order to compete with other banks and attract more customers.
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|Bank Name||Tenure (in months)||Interest Rate||Minimum Transfer Amount|
|AEON Balance Transfer||6||0%||RM1000|
|Affin Bank Balance Transfer||6,12,18,24,36||2% to 7% (One-time Upfront Interest Rate)||RM1000|
|Alliance Bank Balance Transfer||12,18,24||6.99% - 7.99% p.a.||RM1000|
|AmBank Balance Transfer||6,12,24||4.99% - 8.99% p.a.||RM1000|
|Bank Rakyat Balance Transfer||No pre-requisite period||0.25% per month or 3% p.a. for first 3 months and 13.5% p.a. from the fourth month onwards||NA|
|BSN Balance Transfer||3,6,9,12,24,36||0.30% per month to 0.375% per month||RM500|
|CIMB Balance Transfer||6,12||5.99% p.a.- 7.99% p.a.||RM1,000|
|Citibank Balance Transfer||6,9,12,18,24,30,36||5.32% - 5.81% p.a. (EIR - 9.9%p.a.)||RM1,000|
|Hong Leong Balance Transfer||
Lifetime (No fixed repayment period)
6 or 12 months
6 or 12 months(6.99%p.a.)
|HSBC Balance Transfer||6,12||0.42% per month to 1.99% p.a.||RM1000|
|Maybank Balance Transfer||6,9,12,24,36||0% - 0.75% p.m.||RM1000|
|OCBC Balance Transfer||6,12||2% - 4%||RM1000|
|Public Bank Balance Transfer||6,12,24,36||0% - 7%||RM500|
|Standard Chartered Balance Transfer||12,18,24,36||5.99% p.a.||RM1000|
|RHB Balance Transfer||Up to 24 months||
4.00% - 10.99%(One time charge)
7.30% - 10.22% p.a.(Effective Rate)
|UOB Balance Transfer||
Reducing Plan(12 Months)
Fixed Pay Plan(6,12 Months)
Reducing Plan(4% Upfront Interest)
Fixed Pay Plan(3.3% for 6 Months & 6.0% for 12 Months)
Fixed balance transfer: In fixed BT, there is a tenure and the equated monthly instalment needs to be repaid over the agreed period. It limits the customer from having any flexibility when it comes to making payments outside the repayment schedule.
Flexible balance transfer: Unlike the fixed BT, a flexible BT allows you to pre-pay the amount in part or in full depending on the cash flow. This reduces the interest to be paid over a longer tenure. While the interest rate can be higher in flexible BT as compared to a fixed BT, you can save on the overall interest to be paid if repay what you owe over a shorter tenure.
The fixed BT scheme is advisable for salaried personnel who have a fixed monthly income. The flexible BT scheme, on the other hand, is best-suited for those who have variable income like business owners.
Balance transfer credit cards can be extremely useful if you are struggling to pay off credit card debts. However, choosing a balance transfer card can be a bit tricky if you are unaware of the nitty-gritties of the Terms and Conditions associated with it. Here’s what you need in order to choose the best balance transfer plan:
Before applying for a balance transfer plan, keep the following facts in mind:
Q. Can a supplementary cardholder apply for a BT programme?
A. Some banks like the BSN bank allow a supplementary cardholder to apply for a BT programme. However, you will first have to seek permission from the primary cardholder. Both the primary and supplementary cardholders must sign the application form. On the other hand, Maybank and RHB Bank do not allow supplementary cardholders to apply for BT plans. Hence, it is advisable to check the individual bank’s website to know your eligibility. You can then take your decision accordingly.
Q. Is there any exit fee for early settlement?
A. Most banks do not charge any exit fee for early settlement of the BT programme. You can check the bank’s website to know more about such additional charges.
Q. Is there any way to know the current status of my application?
A. Yes. You will get a notification about the outcome of the application status for the BT programme. If it is approved, then payment to other banks will take place usually within 10 business days, starting from the approval date.
Q. What is my monthly repayment quantum available?
A. Your monthly repayment quantum depends on the bank’s policies. Generally, it ranges from 6 months to 36 months (6, 12, 18, 24, 30, 36 equal monthly instalments).
Q. How long does it take for the balance transfer plan to activate?
A. Generally, it takes around 10 to 15 working days for the BT plan to activate and pay off the outstanding dues.
If used wisely, a BT credit card scheme can help you save on interest charges. It can be a huge benefit for you if you are burdened by credit card debt. But, you must always ensure that you understand the exact cost and other details while being ready to pay your debt within the stipulated time period.
Q. Is it possible to apply for a card just for balance transfer?
A. Yes, it is possible. However, it is recommended not to make this a practice. Some banks do not take it in a good way if they find out an individual is applying for credit cards solely to transfer money.
Q. What are the basic things I should know while applying for a balance transfer card?
A. You should make sure that:
Q. Is it possible to transfer outstanding balance from more than one credit card?
A. Yes, if you have sufficient credit limit to transfer the amount, you can.
Updated on 4th September 2018
Check out BBazaar’s recommendation for best balance transfer credit cards in Malaysia. These credit cards are picked based on the popularity, benefits and privileges offered by card issuers.
|Card Name||Balance Transfer Interest Rate||Minimum Balance Transfer Amount||Tenure|
|HSBC Visa Signature Credit Card||From 0% p.a. to 8.99% p.a.||RM1,000.||6 or 12 months.|
|AmBank Visa Infinite Credit Card||From 0% p.a. to 4.88% p.a.||
RM4,000 for the 0% p.a. plan.
RM1,000 for the 4.88 p.a. plan.
|12, 24, or 36 months.|
|Alliance Classic Card||From 0% p.a. to 7.99% p.a.||
RM3,000 for the 0% p.a. plan.
RM1,000 for all other plans.
|12, 18, or 24 months.|
|Hong Leong Essential Credit Card||From 4.99% p.a. to 6.99% p.a.||RM1,000.||6 or 12 months; lifetime repayment option available.|
|Maybank Visa Platinum Credit Card||From 0% p.a. to 9% p.a.||
RM2,000 for the 4.95% p.a. and the 4.50% p.a. plans.
RM1,000 for all other plans.
|6, 9, 12, 24, and 36 months.|
|UOB Visa Infinite Card||From 3% p.a. to 6% p.a.||RM1,000.||6, 12, or 18 months.|
|AEON Big Visa Gold Card||0% p.a.||RM1,000.||6 months.|
|BSN Platinum Mastercard||From 0% p.m. to 0.375% p.m.||
RM500 for the 3 months plan.
RM2,000 for the 36 months plan.
RM1,000 for all other plans.
|3, 6, 9, 12, 24, and 36 months.|