Balance transfer card vs money transfer card — what's the difference?
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In short. 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.
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.
Last reviewed:
Side by side
What it transfers
Balance transfer card
Existing credit-card balances
Money transfer card
Cash into your bank account
Typical fee
Balance transfer card
2–4% of the amount transferred
Money transfer card
3–5% of the amount transferred
Typical 0% term
Balance transfer card
Up to ~30 months on best deals
Money transfer card
Up to ~18 months on best deals
Use to clear
Balance transfer card
Another credit card
Money transfer card
Overdraft, personal loan, family debt, etc.
Counts towards credit limit
Balance transfer card
Yes
Money transfer card
Yes
Credit-file impact
Balance transfer card
New account / hard search on application
Money transfer card
New account / hard search on application
When Balance transfer card usually wins
- 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 usually wins
- 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
FAQ
- 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.