Low balance transfer fee cards are credit cards which allow you to transfer an existing balance to a new card for a relatively small fee, or no fee at all.
Why get a low transfer fee credit card?
The main benefit of these cards is the low balance transfer fee, which means you pay less to transfer your debt. Customers also tend to receive 0% interest on the balance they have transferred for a given period (depending on personal circumstances), which gives them the opportunity to clear their debts.
Getting the best low transfer fee credit card
There are different factors that can contribute to getting the best low transfer fee card.
The amount of debt being transferred can determine the interest rates charged
Credit ratings have a bearing on the credit available
The time of year individuals opt to apply can also influence the deal they get (recently the best balance transfer credit card deals have been available at the start of the new year)
Compare products thoroughly and don't feel pressured to apply for fear a deal might go. Credit card deals do change from time to time, but normally issuers will highlight the end date for their best deals.
Things to be aware of:
Ensure you try and pay the balance before the 0% offer period ends, as the rates will revert to the standard APR which will cost you a lot more (unless you switch again)
Try to avoid making purchases on the new card as this will only add to your ongoing debt
Make sure that the perks offered will be worth your while - There's no point having services such as travel insurance if you already have it separately, or never leave the UK
Never go beyond the agreed credit limit or considerable fees will be charged, and (perhaps worse) lenders often revert 0% deals back to the standard APR, which will make your debt very expensive
Can having bad credit affect the decision?
Bad credit ratings do restrict applicants from gaining acceptance; this, however, should not necessarily deter applicants, as there are credit cards available that are aimed specifically at people with poor credit (some even offering balance transfers to individuals who have a good recent history with credit).
Alternatives to low transfer credit cards
The UK enjoys one of the most highly competitive and sophisticated credit card markets in the world. As such, there are numerous products available to people looking to access the benefits credit card ownership bestows.
If getting a credit card is not an option, maybe considering a personal loan to help pay off your debts could be a better alternative.