Any balance transfer restrictions?

BDeluxe

I have a Halifax card that was originally a 0% card but the offer period is over so currently around 22% and I have a large balance on there, I also have a NatWest card with a similar rate with no balance.

Halifax are always offering balance transfer deals at very low rates but I have very little credit left on that card.

What's to stop me transferring everything from the Halifax card onto the NatWest card and then back to Halifax and taking advantage of the good deals they offer?

It seems too obvious to me, there must be a catch right?

MorningcoffeeIV

Wrong.                

You just need to pay any applicable fees.

serpico100

As previously mentioned there is no catch, but you will have to pay balance transfer fees which are likely to be around 3% which will be £30 for every £1000 transferred. Bear in mind that you will be charged this by Nat West and then again by Halifax when you transfer it back to their card.

Whether it is worth doing that depends on the percentage charged on balance transfers and for how long a period

molerat

Most of my cards are offering 0% with a fee or x% with no fee so paying interest for a week or so wouldn't be a deal breaker.

MalMonroe

Hi, as MorningcoffeeIV said, it's just the fees. 

I hate paying fees! So it'd go through me having to pay them. 

But apart from that, I see no catch.   

msallen

Depending on how Halifax view your credit worthiness, they could (how likely depends on your history I guess) reduce your credit limit as soon as you transfer the balance to NatWest such that you can't transfer it back again.

Marchitiello

One more aspects about doing what the OP suggested and based on some of the responses:

whilst it is true that generally BT fees are around 3% I have noticed and read on here that Lloyds/Halifax/MBNA BT fee for existing customers have been at around 5% lately, so in the scenario of the OP they are likely to pay the equivalent of 8% APR for the first year and than depend on how long the BT transfer offer is for (some time existing customers get shorter deals). 8% is better than 22% but I would always first look to apply for a brand new card that has 0% fee to start with and if the limit is not enough for the full balance, then persons do what the OP wanted to do but only on the remaining balance that could not be transferred at 0% fee 

Alex9384

NatWest has a no fee BT card.  Santander as well but 0% interest only for 12 months.

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