Instant Approval Balance Transfer Credit Cards
Compare Instant Approval Balance Transfer Credit Cards
Instant Approval Balance Transfer credit cards generally provide a decision on your application within 60 seconds of you submitting your on line application.
This immediacy should mean that you will commence saving on interest charges in the very near future, by transferring your balance to an Instant Approval Balance Transfer credit cards. Use our calculator below to work out the interest savings you could make by switching to one of the balance transfer credit cards listed in the table, simply enter the balance you wish to transfer and the interest rate you are currently paying, the interest savings available are then shown for each card.
Guide to Instant Approval Balance Transfer Credit Cards
Balance Transfer Credit Cards provide the opportunity to consolidate debts that you may have accrued on one or more credit cards, onto a single card, which applies a low, or 0% rate of interest, for a fixed balance transfer period, to the debt transferred.
1. The Balance Transfer Period
The Balance Transfer Period is for a fixed time, usually between 6 and 24 months, once this period ends any outstanding amount from the original balance transferred will revert to a higher interest rate, which will generally be the cards purchase or cash advance rate. When selecting your preferred balance transfer period the objective should be to select a period that is going to long enough for you to pay down the full amount of the balance to be transferred. It is tempting to sway towards the longer balance transfer periods to make the monthly repayments as small as possible, this is certainly a positive though it maybe more prudent to focus on clearing the debt as quickly as you are able just in case circumstances change
2. Balance Transfer Fees
The fees associated with securing a Balance Transfer Card are either a fixed amount, or a % of the balance that is to be transferred, with the % rate being in the 1-3% range. These fees are added to your transfer amount on the day the transfer is made. Increasingly Card providers are offering Balance Transfer cards with no set up fees so keep an eye out for this introductory offers.
3. Getting approved for Instant Approval Balance Transfer Credit Card
Balance Transfer credit cards are one of the credit card providers most effective means of recruiting new credit card customers from their competitors. As part of this recruitment approach the credit card providers are extremely selective about whom they approve, as they are looking to recruit customers with blemish free credit reports who they are confident will manage their credit card debt responsibly and repay any funds owed. As a consequence when applying for an Instant Approval Balance Transfer card be sure that your credit report is free of any issues before you submit your application.
4. You must transfer your Balance to a new provider
The Balance Transfer Credit Cards of each credit card provider are not available to customers who already hold a credit card, from that provider, as the providers do not want to encourage their own customers to switch to cards from whish they potentially will earn no interest charges during any balance transfer period
The terms and conditions of Instant Approval Balance Transfer Credit Cards clearly state that balance cannot be transferred to a balance transfer card issued by the provider with whom you have your existing card/cards. Step one of your search for an instant approval balance transfer card should therefore be to exclude all the cards from your current card provider.
5. Low Balance Transfer Rates should not detract you from paying down the debt
Many Instant Approval Balance Transfer cards offer 0% balance transfer rates for a fixed period, so very quickly, once you have made your transfer, you move from a situation where you were paying significant monthly interest charges to paying $0 interest each month. This can lead to a false sense of security, which will end very soon if you do not stick to the schedule of repaying the balance transferred in accordance with at least the minimum monthly repayments.
6. Always make the balance transfer monthly repayments in full and on time
Missing monthly payments on your balance transfer card will soon wipe out the savings you are making from the 0% interest rate, as late payments attract heavy penalties and in some cases even can result in the 0% interest rate reverting back to the cards standard purchase rate.
To ensure you do not miss these critical monthly repayments take the strain out of the process and set up a monthly direct debit to repay at least the minimum payment each month. This payment will be published on your statement and so long as you do not use your card for any further purchases should remain fixed for the term of the balance transfer period.
7. Do not use your Balance Transfer Card to make purchases or withdraw cash
Balance transfer cards generally offer 0% interest on balances moved onto the card from another credit source, so any other transactions (purchases or cash) you make with the card are subject to the higher purchase and cash advance interest rates.
If you use your balance transfer card to make purchases, and carry some of the value of these purchases forward from the month within which you made the purchases, you will end up paying interest on the purchase amount. If your credit contract for the balance transfer card was established on or after 1 July 2012, your credit card provider will apply your payments to the parts of your credit card balance with the highest interest rate first, so any new purchases which don’t fall within the 0% balance transfer value. So in essence your repayments may not be paying of your balance transfer.
If your credit contract was established before 1 July 2012 and you haven't asked your provider to change the order in which they apply payments on your account, they will potentially apply your payments to the parts of your credit card balance with the lowest interest rate first.
This causes two problems. Firstly, the purchase rate on balance transfer cards tends to be high, so if you are not paying back enough each month to cover your spending, you could quickly start to accumulate interest charges. Secondly, it will take you longer to clear the debt on the card which will mean you may not pay it all off before the 0% period comes to an end.
8. Commit to paying off the Balance Transfer amount and stick to the commitment
All balance transfer cards include a balance transfer period that is the period of time over which the no or low % rate is applied to your balance transfer amount. At the end of this period the interest rate applied to any outstanding amount on the balance transfer will revert to the ongoing purchase or cash advance rate and so very quickly this remaining debt will begin to incur interest charges.
To avoid paying any interest charges on the balance transferred focus on clearing all the debt on the card before the balance transfer period comes to an end. If you still have some debt remaining on the card you could look to transfer this debt to another balance transfer card, to provide a further period across which you can focus on clearing the remaining debt, whilst not incurring large interest charges
When following this latter course of action allow 6 weeks for any application to be processed by your preferred new provider, so apply in good time prior to the end date of your current balance transfer period.
Compare 0% Balance Transfer Credit Cards - Offering the ultimate in interest rate savings these Balance Transfer Cards offer 0% on Balance Transfers for a variety of periods ranging from 6 to 24 months Read more
Compare No Annual Fee Balance Transfer Credit Cards - The combination of no annual card fee and a Balance Transfer Offer makes these cards high on the short list when looking for a low cost Blanace Transfer deal, as many of these cards also offer a balance transfer rate of 0% p.a. Read more
How to Select the Best Balance Transfer Card for your circumstances - What are the card details you should be accessing when selecting a Balance Transfer Credit Card? How to manage a Balance Transfer Card so you extract the maximum Interest Saving. Read more
Instant Approval Balance Transfer Credit Cards - Frequently Asked Questions
The accepted you receive within 60 seconds is essentially a conditional acceptance, whereby you will need to visit a branch of the card provider to validate some of the information provided in your applocation (e.g. residential address, monthly income or visa status) before the acceptance becomes formalised. Once it is formalised you can expect to receive your card with 5 working days, with your PIN arriving in a separate mail, again within 5 working days.
A balance transfer credit card is one that lets you transfer your balances (or the money you owe) on other credit cards to it, where you would then make monthly payments on the debt. While the total amount owed would be the same, you stand to save a lot on interest costs because balance transfer cards charge low interest rates - some even as low as 0% - for a fixed period of time. Once that time is up, you'll have to pay higher interest on any remaining debt until the balance is fully paid.
Although different credit cards have varying balance transfer offers, the main feature of a balance transfer card is that the initial reduced or zero interest rate is applicable only to debt transferred from other credit cards. Balance transfer credit cards can also be used for regular purchases, and there are even some cards that extend the low interest to these new purchases for a limited period. Some credit card providers, while offering interest-free balance transfers, may charge a handling or processing fee for the transfer, usually about 3 to 5 per cent of the balance transferred.