Credit Card Balance Transfer: Comparison of Credit Card Balance Transfer by Top Banks

Balance Transfer Credit Cards

What Is Credit Card Balance Transfer?

Balance transfer is a facility provided by many banks that allows you to transfer your outstanding balance on a credit card to a different credit card. Banks charge hefty interest rates on your outstanding credit card balance. To avoid paying large interest amounts, people can transfer their outstanding balance to a low interest card.

Comparison Of Balance Transfer Offered By Indian Banks

Name Of Bank Processing Fee Rate Of Interest Per Month Low Interest Period

(View All SBI Credit Card Offers)

2% Of Transfer Amount Or Rs.199, Whichever Is Higher If Period Is 60 Days.

0 If Period Is Six Months

0-1.7% 60 Days – 6 Months

(View All Axis Bank Credit Offers)

1% Of Transfer Amount Or Rs.199, Whichever Is Higher 0% 3 Months
Standard Chartered

(View All Standard Chartered Credit Card Offers)

Na 0.99% 6 Months
Kotak Mahindra Rs.349 Per Rs.10,000 0% Na
HSBC (Convert Due Payment To EMI)

(View All HSBC Credit Card Offers)

1% Or Rs.149, Whichever Is Higher 0.99% For 3-12 Months

1.25% For 18-24 Months


3,6,9 &12 Months
Punjab National Bank Rs.172 Or More Depending On Transfer Amount 0.99% 6 Months

How Does Credit Card Balance Transfer Work?

When you initiate a balance transfer the following steps are initiated.

  • You Apply For A Balance Transfer
  • New Bank Issues A Demand Draft To Old Bank
  • Old Bank Receives Payment And Balance Is Paid
  • Now You Owe The Transferred Amount To The New Bank

Important Things To Know When Transferring Balance

  • It only makes sense to initiate balance transfer if the new bank/card has a lower interest than your old bank/card
  • Balance transfer cards have a lower fee only for a limited time, post which standard interest rates apply
  • You cannot transfer more than your credit limit. So, if your credit limit is Rs.50,000 and your outstanding balance is Rs.75,000, then you can only transfer Rs.50,000
  • Balance transfer reduces your credit limit in the same proportion. So, If your credit limit is Rs.75,000 and you transfer Rs.50,000, then you have only Rs.25,000 credit available to you
  • Low interest rate on your balance transfer card is not applicable on new purchases
  • Do not transfer balance frequently. It affects your credit score negatively

Benefits Of Credit Card Balance Transfer

  • You can avoid paying higher interest rate on your outstanding balance
  • It is a convenient way to get rid of your debt
  • It is a quick way to pay off your due credit
  • You get a buffer time to pay your outstanding balance at low or nil interest
  • It consolidates all your outstanding payment. So, you can worry about paying off just one credit card bill instead of keeping track of several cards

Top Credit Cards information:

Other Credit Card Offers:


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