Lloyds has launched its longest-ever 0% balance transfer credit card. But how does it compare?
Lloyds Bank has launched a new balance transfer credit card, offering a whopping 32 months of 0% interest on balance transfers.
The Lloyds Bank 32-Month Balance Transfer Card charges a 3.5% transfer fee when you move a balance onto the card, and also includes a six-month 0% period on purchases. After the 0% deals finish the APR reverts to 18.9%.
Making the most of a 0% balance transfer deal
A 0% balance transfer credit card is a great way to clear your existing card debt. If you have, say, £5,000 on a credit card that you can’t clear in one go, paying it off in stages will see a fair chunk of your monthly repayments going towards interest charges rather than reducing the size of your debt. As a result, it takes longer and costs you more.
[SPOTLIGHT]A 0% balance transfer credit card won’t charge you any interest on your balance for a set period, 32 months in the case of this Lloyds card. And you know you can pay that debt off in chunks every month, with every single penny you pay going towards eliminating your debt.
Just try to clear your balance before the 0% period comes to an end, otherwise you will start being charged interest on your remaining balance. And while you may be able to move the debt to another 0% card, there’s no guarantee that the cards on offer will be as generous as they are currently.
Compare 0% balance transfer credit cards
How it compares
Let’s take a look at the longest 0% balance transfer credit cards currently available to see how this new Lloyds card compares.
|
Credit card |
0% period on balance transfers |
Balance transfer fee |
Representative APR |
|
33 months |
2.99% |
18.9% |
|
|
32 months |
2.89% |
18.9% |
|
|
32 months |
3% |
18.9% |
|
|
32 months |
3.5% |
18.9% |
|
|
31 months |
2.88% |
18.9% |
|
|
31 months |
2.89% |
18.9% |
|
|
30 months |
2.89% |
18.9% |
|
|
30 months |
2.5% |
18.9% |
|
|
30 months |
2.9% |
18.9% |
So while Lloyds Bank’s card is a strong contender, it can be beaten. If you want the very longest 0% period around, then Barclaycard’s 33-Month Platinum is the card to go for. It has a smaller transfer fee than the Lloyds card too.
If you can’t go for a Barclaycard credit card, perhaps because you already have one, then Halifax’s 32-Month card is a good option too, as it has a transfer fee of just 3%, compared to 3.5% with the Lloyds card. Indeed, the Lloyds card has the highest balance transfer fee of any of the cards in the table above. So if you can afford to clear your balance a little quicker, you’d save money going with one of those rather than the Lloyds card.
Compare 0% balance transfer credit cards
More on credit cards:
The best low-fee 0% balance transfer credit cards
The best 0% balance transfer credit cards
The best 0% purchase credit cards