# Balance transfer card vs money transfer card — what's the difference?

> Compare · Last reviewed 26 May 2026

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## Quick answer

A balance transfer card moves debt from another credit card to a new 0% card. A money transfer card sends cash from a credit card into your bank account at 0% — useful for clearing an overdraft or a non-card debt.

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Both are 0% promotional credit cards. Both charge a one-off transfer fee. The difference is what type of debt they can move and which fee tier they sit on.

## Balance transfer card vs Money transfer card

| Criterion | Balance transfer card | Money transfer card |
| --- | --- | --- |
| What it transfers | Existing credit-card balances | Cash into your bank account |
| Typical fee | 2–4% of the amount transferred | 3–5% of the amount transferred |
| Typical 0% term | Up to ~30 months on best deals | Up to ~18 months on best deals |
| Use to clear | Another credit card | Overdraft, personal loan, family debt, etc. |
| Counts towards credit limit | Yes | Yes |
| Credit-file impact | New account / hard search on application | New account / hard search on application |

## When Balance transfer card suits

- You have existing credit card debt at a high interest rate
- You can pay it off (or most of it) within the 0% period
- You won't make purchases on the new card
- You want to consolidate multiple credit cards onto one

## When Money transfer card suits

- You have non-card debt (overdraft, doorstep loan, family loan) you want to clear or restructure
- You can pay it off within the 0% period
- You've checked the fee makes it cheaper than current borrowing
- You won't keep dipping back into the original facility

## Frequently asked questions

### Can I do both with one card?

Some cards offer 0% on both balance and money transfers but with different rates, terms and fees for each — read the table carefully.

### What happens at the end of the 0% period?

Any remaining balance reverts to the card's standard purchase or cash APR (often 20%+). Either clear it by then or move it again.

### Will applying hurt my credit score?

Each application triggers a hard search. Many lenders offer pre-approval / eligibility checks that use soft searches first — use those before applying.

## Sources

- [MoneyHelper — Credit cards](https://www.gov.uk/consumer-protection-rights/credit-cards)
- [MoneyHelper — Credit cards](https://www.moneyhelper.org.uk/en/everyday-money/credit/credit-cards)

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Independent UK money guidance from [Money Guide](https://moneyguide.org.uk). Money Guide is not a financial adviser and does not currently earn commission on credit cards. This guide is educational information only — always check the issuer's own terms, eligibility checkers and fees before applying. 18+, subject to status. Credit is a commitment: only borrow what you can repay in full each month, because interest charges erase every reward on this page.