TSB has launched a new fee-free balance transfer credit card for customers who wish to move existing debt that they want to get paid off interest-free.
The new ‘Platinum 28 Month Balance Transfer Credit Card’ has a 0.5 per cent balance transfer fee.
However, TSB has promised that the fee will be refunded for transfers made in the first 30 days of the account being opened. The refund will be made within 60 days of each qualifying transfer made within the first 30 days of the account.
The new TSB credit card account must be opened by 31 January 2018 and the transfer made before 2 March 2018 to get the fee-free deal.
No interest will be charged on balance transfers in the first 28 months of the card, or on purchases for the first 3 months. Interest rates will revert to 18.9 per cent APR after these deadlines.
Furthermore, if the customer also has or opens a TSB Classic Plus current account, they can also benefit from one per cent cashback on the first ?500 spent on the credit card until 30 June 2018.
The new TSB fee-free balance transfer credit card is not the only one available on the market however. Halifax already offers a 29-month interest free balance transfer credit card with no transfer fee, trumping the new TSB offering by a month.
It is fair to say that you will need a very clean credit record to be able to take advantage of either fee-free balance transfer credit card offer, as lenders tighten up their credit scoring policies due to soaring inflation and possible higher interest rates having an impact on borrowers? ability to repay debt.
However, if you can qualify for either of the fee-free cards and ensure that you stick to the rules, making payments on time and clearing the outstanding debt within the interest-free period, these cards could be an excellent way to borrow without incurring any costs at all.