Balance transfer

What is a balance transfer?

How you can use a credit card to help manage your finances.

A quick summary 

• A balance transfer lets you move a balance from an existing credit card from a different Financial Institution/Bank to another card with INVESTBANK. 
• With all of your borrowing in one card, your balances could be easier to manage. Plus, you receive a promotional interest rate for a set period of time over 13 months or 6 months.
• The minimum balance you can transfer is JOD1000, the maximum is dependent on your credit limit.
• A balance transfer is one of four ways to use a credit card, including purchases, cash withdrawal and money transfers.

Balance transfer basics

A balance transfer is when you move your existing credit card balance(s) to another credit card with a different financial institute/Bank.

• This can help you keep all of your borrowing in one place.
• You could receive an introductory or promotional rate for a set period of time.
• Balance transfers are subject to approval. Balance transfer fees apply.

Why is a balance transfer useful?

• Keep your credit card borrowing in one place
  Moving multiple credit card balances onto a single card can make life easier, with one balance to keep track of and one payment to make each month. A balance transfer can help you do this. 

• You could get an introductory or promotional interest rate
  If you transfer your borrowing to a card with a low promotional/introductory interest rate – sometimes 0% – you could cut your monthly interest payments, so you can pay off what you owe sooner. 

A closer look at balance transfers

You may be charged a balance transfer fee
Your balance transfer fee is usually worked out as a percentage of the balance you’re moving across. If you make multiple balance transfers, you’ll likely be charged for each one.

You’ll also pay interest, depending on your rate
You might get an introductory interest rate for a set period of time. Or, you might pay your standard balance transfer rate. Either way, the sooner you clear your balance, the less interest you’re likely to pay.

You can’t transfer between two cards with the same provider
For example, you can’t transfer your balance from one INVESTBANK credit card to another.

The minimum balance you can transfer is JOD 1000
On the other hand, the maximum varies from person to person depending on your overall credit limit and credit available at the time.

How a balance transfer works in practice

We’ve simplified this example, using a balance transfer credit card with promotional 0% balance transfer rate that lasts for 13 months.

1. You have JOD 2,000 of outstanding balances on your credit cards, with an annual interest rate of 21%. 
2. You have Issue another card with a 0% promotional offer for 13 months and a 6.5% balance transfer fee. 
3. You transfer your balances across to this credit card with a promotional offer. You now owe a total of JOD 2,130 including the fee. 
4. With JOD 213 paid on time each month for 10 months, and no other spending, you can clear your credit balance without paying any interest. 
5. The promotional rate will expire after 13 months. If the balance isn’t fully repaid, any remaining amount will revert to your standard balance transfer rate (1.75%). 

How you can make the most of your balance transfer

First, explore all your options carefully, checking fees, interest rates and terms to make sure a balance transfer is right for you.

• When planning a balance transfer, be realistic about how long it will take to pay off your balance.
• Pay off as much as you can during any promotional periods to pay less interest, as your standard interest rate for balance transfers will be higher.
• If you pay late or miss a payment, you may have to pay fees, lose any promotional offers you have, and it could damage your credit score.
• Remember to keep making all your regular card payments until your balance transfer has been confirmed by both credit card providers. 

How to make a balance transfer with us

• If you’re an existing INVESTBANK Credit Card Holder, simply log in to iBank (Internet Banking or the Mobile Banking app) to see what balance transfer offers are available to you.
• If you’re not an INVESTBANK Credit Card Holder, simply contact us on 065001515 to discuss your balance transfer options.
• Or download iBank mob app and apply for a Credit Card, once approved you can instantly utilize the balance transfer.

You should also make sure that you:

• Have read the terms and conditions and understand your fees and interest rates.
• Know all of the relevant card details, such as credit card numbers.
• Have your phone to hand, as you’ll be required to complete a security check.

Mobile App Steps:

1. Login to iBank
2. Go to Cards> Credit Cards
3. Press more options
4. Select Balance transfer
5. Select (Card, Period, Amount)
6. Confirm Selected (Card, Period, Amount, BT Fee) & Approve T&Cs
7. Funds will be available in your linked settlement account

Internet Banking Steps:

1. Login to iBank
2. On the Home screen under Credit Card list
3. Balance transfer button will be available next to eligible card
4. Select (Card, Period, Amount)
5. Confirm Selected (Card, Period, Amount, BT Fee) & Approve T&Cs
6. Funds will be available in your linked settlement account

If you don’t bank online, please contact us on 065001515 to discuss your options.

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