Even during regular days, credit card balance transfer programmes are a good strategy to fall back on if you’re swamped with credit card debts that you can’t repay on time. At interest charges of up to 18% p.a., outstanding balances for credit cards can quickly go out of control.

This is even more so now that many of us face increased difficulty in our repayments following the economic impact of the Covid-19 pandemic and movement control order (MCO).

Balance transfer plans as an alternative

On 25 March 2020, Bank Negara Malaysia (BNM) announced a few monetary measures to provide some relief for those facing financial constraints due to the current economic climate.

As part of this initiative, credit cardholders who are unable to meet the minimum monthly repayment for three consecutive months will have their outstanding credit card balances automatically converted into three-year term loans or financing. However, you’ll be charged an effective interest of 13% p.a. during the tenure of your loan.

While the 13% p.a. interest rate for BNM’s auto balance conversion is lower than the usual 15% to 18% p.a. usually charged on your unpaid credit balances, most balance transfer plans can offer you a much better rate. Like, much better – it is not uncommon for balance transfer packages in the market to entice newcomers with 0%-interest periods and promotional interest rates.

That said, you do need at least two credit cards to be able to do balance transfers.

Best balance transfer promotions in Malaysia

Affin Bank

(0% Balance Transfer)

(Balance Transfer Promotion)

(Balance Transfer & QuickCash Promotion)

Interest Rate	Minimum Transfer	Maximum Transfer	Tenure	Eligibility
4.88% p.a.	RM1,000	RM50,000 or subject to available credit limit	– 12 months – 24 months – 36 months	Existing AmBank principal credit cardholders who apply through AmOnline.

Public Bank

(0% PB Balance Transfer)

(PB Balance Transfer)

(Smart Move Balance Transfer)

Aside from the promotions provided by the banks above, here is also a list of some of the better balance transfer plans that are currently available in the market:

Bank	Interest Rate	Minimum Transfer	Maximum Transfer	Tenure
Alliance Bank (Balance Transfer 9.88 Programme)	– 2.99% p.a. (6 months) – 9.88% p.a. (12, 18, 24, 36, and 48 months)	RM1,000	N/A	– 6 months – 12 to 48 months
CIMB (Balance Transfer Programme)	Plan A – 5.99% p.a. Plan B – 7.99% p.a.	RM1,000	Subject to available credit limit and the bank’s discretion	Plan A – 6 months Plan B – 12 months
Citibank (Balance Transfer Programme)	8.99% p.a.	RM1,000	Subject to available credit limit and the bank’s discretion	12 months
Hong Leong Bank (One-Time Fee Balance Transfer) For both new and existing HLB credit cardholders)	6 months – 3% (one-time fee for 6 months, offline rate) – 0% (online rates) 12 months – 5% (one-time fee for 12 months, offline rate) – 0% (online rates)	RM1,000	90% of available approved credit limit	– 6 months – 12 months
Hong Leong Bank (Balance Transfer Programme) For existing HLB credit cardholders only	6 months – 7.99% p.a. (offline rate) – 6.99% p.a. (online rate) 12 months – 8.99% p.a. (offline rate) – 6.99% p.a. (online rate)	RM1,000	Subject to available credit limit and the bank’s discretion	– 6 months – 12 months
Hong Leong Bank (Lifetime Balance Transfer Programme/Balance Transfer Birthday Offer) For new HLB cardholders During the birthday month of existing HLB cardholders	4.99% p.a. (online and offline rate)	RM1,000	Subject to available credit limit and the bank’s discretion	No fixed repayment period
HSBC (Balance Transfer Programme)	Plan A – 3% (upfront interest) – 0% (6 months) Plan B – 0.58% per month Plan C – 0.42% per month New sign up for HSBC credit card – 1.99% per month	RM1,000 (for all plans)	95% of available approved credit limit	Plan A – 6 months Plan B – 12 months Plan C – 6 months New sign up for HSBC credit card – 6 months
Maybank (Balance Transfer/Balance Transfer-i Plan)	6 months – 1.88% (upfront interest) + 0% p.a. (via Maybank2u only) 9 months – 9% p.a. 12 months – 3% (upfront interest) + 0% p.a. (if maximum transfer is RM50,000) – 12% p.a. (if maximum transfer is 90% of available credit limit) 24 months – 4.5% p.a. 36 months – 4.95% p.a.	6 months – RM1,000 9 months – RM1,000 12 months – RM1,000 24 months – RM1,000 36 months – RM2,000	6 months – RM50,000 9 months – 90% of available credit limit 12 months – RM50,000 – 90% of available credit limit 24 months – 90% of available credit limit 36 months – 90% of available credit limit	– 6 months – 9 months – 12 months – 24 months – 36 months
OCBC (Balance Transfer)	– 2.88% (upfront interest for 6 months) – 4.88% (upfront interest for 12 months)	RM1,000	80% of available approved credit limit	– 6 months – 12 months
Standard Chartered (Balance Transfer Plus)	5.99% p.a.	RM1,000	N/A	– 12 months – 18 months – 24 months – 36 months
UOB (Balance Transfer Reducing Balance Programme)	Plan 25 – 3% (upfront interest) Plan 26 – 4% (upfront interest) Plan 27 – 5% (upfront interest)	RM1,000	Subject to available credit limit and the bank’s discretion	Plan 25 – 6 months Plan 26 – 12 months Plan 27 – 18 months
UOB (Balance Transfer Fixed-Pay Programme)	Plan i6 – 3.3% p.a. Plan i12b – 6% p.a.	RM1,000	Subject to available credit limit and the bank’s discretion	Plan i6 – 6 months Plan i12b – 12 months

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As you tap into the benefits of balance transfer programmes to help you repay your credit card debts, make sure to always exercise some financial responsibility.