The best balance transfer credit cards in Canada for 2024

Balance transfer credit cards are credit cards that come with extremely low promotional interest rate offers (sometimes as low as 0% - 0.99%) to entice people with credit card debt to move their balances from one card to another. These offers are usually only available for a limited period of time (e.g. 180 days, 10 months, 1 year, etc.) and can help you pay off debts you've racked up on a previous credit card (or cards) sooner with little to no interest.

When used responsibly, a balance transfer credit card can save you money and help get you out of consumer debt sooner. Before transferring your debt from one card to another, though, you should consider the applicable balance transfer fees, interest rates for new purchases on the card and the standard interest rate when the promotional period ends.

Credit card issuers usually charge a balance transfer fee, which can range from 1.00-5.00% of the amount you transfer over (e.g. if you are transferring a balance of $10,000 and the transfer fee is 3%, you’ll be charged $300 for the switch). Depending on the interest rate being offered with the new card, the balance transfer fee may not be worth the move.

Interest rates can also end up costing you more in the long run, if you haven’t paid off your debt by the end of the promotional period, or if you’ve missed any payments when the promotional period ends and the standard interest rate applies.

A final factor to consider is that if you use your balance transfer credit card for new purchases before you pay off the original amount you transferred over, you’ll be charged the standard interest rate (which is often 19.99% or more) and any payments you make will be applied to the balance transfer amount first; that means you’ll continue to accrue interest on any purchases you make on the card, after conducting the balance transfer, until the amount you originally transferred is 100% paid off.