TSB offer refunds on balance transfer credit card fees

simon chandler
By Simon Chandler

tsb bank branch©iStock.com/whitemay

TSB are offering to refund the balance transfer fee on their Platinum 28 Month Balance Transfer Credit Card, so long as customers open their credit card account before January 31st 2018 and make the relevant balance transfers within 30 days.

The offer grants cardholders a full refund on the 0.5% charge they have to pay when making a balance transfer, with customers being permitted to make balance transfers equal in total to no more than 95% of their credit limit.

Given that the typical credit limit on the Platinum 28 Month Balance Transfer card is £1,200, the offer could save customers around £5.70 on average.

This is hardly a massive amount, although while certain balance transfer cards from other banks waive the transfer fee as standard, customers with an existing TSB Classic Plus current account can also earn 1% in cashback on every £500 they spend every month.

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According to TSB, the offer on their Platinum 28 Month Balance Transfer Credit Card is meant to reward "switchers and spenders", who have in fact been curtailing their spending slightly over the past five months as they struggle with rising costs and slow wages.

In other words, TSB want to not only entice new customers, but to encourage customers to maintain their past spending levels.

Hence the offer on the card, which for those who aren't already aware, comes with the following features:

CardRepresentative APR0% balance transfer periodBalance transfer fee0% purchase periodCash withdrawalsAccount fee
TSB Platinum 28 Month Balance Transfer Credit Card18.9% (variable)28 months (18.94%, 22.94% or 25.95% afterwards)0.5% for first 90 days, 3% after3 months (18.94%, 22.94%
or 25.95% afterwards)
3% (or minimum of £3)£0

One important thing to note here is that the usual balance transfer fee is 0.5% for the first 90 days, but then 3% after this period.

TSB are offering refunds only on the 0.5% fee and only for the first 30 days after the account's opening, and not for the whole 90-day 0.5% period.

As such, customers who do intend to make balance transfers should do so quickly, otherwise they'll miss out on the savings being offered by the bank.

Not only should they make the transfers within 30 days of opening their credit card, but they need to apply before January 31st 2018, otherwise they won't be eligible for any refund.

Refund

As for how the refund offer exactly works, it's applicable to all balance transfers made within the first 30 days of the card's issuing.

So long as the transfers involved are at least £100 in value, it entitles customers to a 0.5% refund.

That said, while customers can theoretically make an indefinite number of transfers on it, the total value of all the transfers they make during the first 30 days cannot exceed 95% of their credit limit. Anything above this will not be eligible for a refund.

Even with this ceiling, TSB claim the refund offer will help those customers looking to preserve their pennies and pounds.

Their head of credit cards Andy Piggott said, "With no balance transfer fee and an interest-free period of 28 months on balance transfers, this new offer is perfect for anyone looking to save money on their credit card balances".

Not only that, but existing holders of a TSB Classic Plus account will receive 1% cashback on monthly spending of up to £500. However, this offer lasts only until June 30th 2018.

Rivals

Of course, while credit card debt is becoming increasingly problematic in the UK, TSB's Platinum 28 Month Balance Transfer Credit Card may not be the best for saving a bit of money, even with its offer.

For example, the cards below all offer no balance transfer fees, rather than refunds:

CardRepresentative APR0% balance transfer periodBalance transfer fee0% purchase periodCash transactionsAccount fee
Halifax No Fee 0% Balance Transfer18.9% (variable)29 months0% (on transfers made within 90 days of account opening)3 months3% (or minimum of £3)£0
Santander All in One Credit Card21.7% (variable)39 months (15.9% p.a. afterwards)0% (3% after 39-month introductory period)6 months (15.9% p.a. afterwards)3% (or minimum of £3) fee, 29.9% p.a. interest rate£3 per month
B Credit Card9.9% (variable)0 months0% (always)0 months3% (or minimum of £3)£0

For up to date card details, please refer to our credit card comparison table

All three of the above cards offer 0% on balance transfers, yet two of them do so only for a limited time, while one of them - Santander's - requires a monthly account fee of £3.

For instance, the Halifax No Fee Balance Transfer card comes with no fees only for the first 90 days of the card's account, while Santander's All in One Credit Card is feeless only for the 39 months of its introductory 0% period.

By contrast, the B Credit Card - which was launched only in June - has a permanent lack of a balance transfer fee.

Added to this, it doesn't provide an introductory interest rate on purchases and balance transfers of 0%, but rather a permanently low rate of 9.9%, when other cards bump holders up to 18.9% APR or even higher after the honeymoon period has ended.

As a result, while TSB's offer of refunding balance transfer fees for a limited time may be generous, customers who want to always be free of such fees, or who want perennially low rates, might want to consider B's offering.


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