An Inside View of UOB Balance Transfer

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Balance transfers are another way of shifting numerous money owed with excessive interest costs from one or extra credit cards to a single account with a decreased interest rate. It is usually much like a brief period loan that has no interest rate usually presented on a credit account. This can really assist you with paying off your debts quicker since your balance may be all combined and the payments will go through the principal balance instead of the interest rate monthly.

UOB Balance transfer is one of the cheapest long term balance transfers across all banks in Singapore. This is said to be great for people who want to repay their debts within the duration of 12 month and for individuals who have numerous debts on their accounts. Not advisable though for people who want a balance transfer that has no interest rate for the 6 month period and for those people who can repay the debt quickly because of a significantly small amount.

Why UOB Balance Transfer?

  1. Offers the most inexpensive balance transfer for a 12 month tenure
  2. Minimum required payment is 2.5% uo to 3% of the outstanding balance
  3. Transfer amount can be from S$500 up to 95% of your credit limit
  4. Offers a promotion of S$160 cashback

 

How does UOB Balance Transfer work?

If you are a UOB card holder, you can transfer all your outstanding credit card balance from any other credit cards and banks to your UOB credit card with the UOB Balance Transfer. You can do the repayments up to 18 months with lower interest rates. You can transfer a minimum amount of S$500 up to 95% of your credit limit on your UOB account.

If you are not yet a UOB card holder, you are still welcome to do balance transfer and you can set up an account. They offer balance transfer to both new and existing customers.

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Who is eligible for the UOB balance transfer?

You are eligible to do UOB balance transfer if you are an existing UOB customer. If you have either a CashPlus or a UOB credit card, you can qualify for a balance transfer. If not, you can always apply for your own account. This balance transfer is for native Singaporeans, Singapore citizens and permanent residents of Singapore. Customers should be 21 years old up to 65 years old with a minimum income of S$30,000 yearly.

I am an existing UOB credit card holder. Can I apply for this balance transfer?

Definitely! You are more than welcome to apply for the balance transfer that is being offered for as long as you qualify for the other criteria. The balance transfer is being offered for existing and new customers.

Fees and Charges:

0% InterestProcessing feeEIR with UOB Credit CardsEIR with UOB CashPlus
6 months2.5%5.34%5.27%
12 months4.28%4.95%4.82%

UOB gives a competitive prevailing interest rate after the free interest rate duration of 19.98% for CashPlus and 25.9% with credit card holders. It is strongly advised that borrowers repay their balance within the duration of the free interest rate to be able to make their balance transfer as cheap as it can be. UOB also has a wide range of suitable fund transfer principals.

The minimum transfer of S$500 is less than the minimum of any other money lenders, at the same time , the maximum transfer rate of 95% of the total credit limit of the borrower is among the maximum available.

Also note that borrowers that especially are looking for a balance transfer with a 6 month free interest rate period will guarantee that UOB’s competitors provide extra competitive prices for this tenure. However, given its aggressive charges and more accomodating terms, UOB is a wonderful preference for most individuals searching for balance transfer loans.

Additionally to its processing charge, UOB requires a fund transfer cancellation price but the bank does not specify details concerning this rate on their website. We strongly propose that borrowers avoid late payments to their lender as it may significantly boom the fee of their balance transfer.

Emergency fund AT ALL COSTS

Is there an option of minimum monthly repayments?

If you are unable to pay the full monthly repayments, you can opt to pay the minimum monthly repayment required which is 2.5% -3% of your outstanding balance. It is always advisable to pay the full monthly repayment for you to pay your debts faster and more efficiently.

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What if I fail to repay within the repayment period?

If ever you fail to make payment on the scheduled time or due date, you will be subject to an interest rate that is the highest that your credit card has. So, make sure that you are aware of the date of your payment so that you will not get into trouble.

Do I need to pay extra charges on early settlement?

If ever you would want to terminate or cancel your balance transfer, you may incur an early settlement charge for this. Contact UOB for full details on the termination of your balance transfer transactions.

 

How much can I apply?

The approved amount basically includes the processing fee as well as other fees that should not be more than the credit limit of your credit card. The approved balance transfer amount will be decided by the bank and the final decision of the bank will be the final offer that you can take or leave.

What if I have multiple UOB credit cards?

The amount that you can request will be depending on the consolidated credit limit of all the UOB credit cards that you have under your name.

Is it really free interest rate?

The free interest rate is being applied within a certain period of time and if your balance transfer has not been paid within the free interest rate period, chances are, you will be charged an interest rate that is quite a lot more than what you can expect.

Can I transfer funds to other accounts?

If you want to transfer funds to any other third party account, the bank will not approve this request.

 

How long will it take to get approved?

It might take approximately at least five business days to be approved.

0 % interest and UOB balance transfer

 

How to do a balance transfer?

  • Request

The first step of doing a balance transfer is to be in touch with your bank to which you would want to transfer your debts and provide some information to them like the balances you need to flow. Some banks and credit cards have certain rules about what kinds of debt you can transfer.

There are some options to go online to request for a balance transfer. Generally, you will just need to log onto your account and request for a balance transfer. You will just need to fill out your personal information as well as the amount of debt and account information that you want to transfer.

You can also call the bank to request for a balance transfer, just give out the information that will be needed and make sure that all of the information that you provide over the phone is accurate and clear.

  • Wait

It can take weeks or longer for a bank to approve and complete a balance transfer request and that would mean that you may need to make another monthly payment on that original debt that you are seeking to move. With the most banks or issuers, balance transfers are generally achieved all at once.

That method means that the bank that is providing you the balance transfer terms will submit a fee at once to your original account for the amount that is approved. By that time, that fee amount, including a balance transfer fee, which is normally 3% to 5% of the amount transferred, will show up as outstanding balance to the new account.

You will not get a notification when your balance transfer has gone through, so it will be up to you to visit your old account regularly and ensure that each one bills are paid on time.

  • Pay

By the time that your balance has been moved to a new credit card account, you will start paying it down in line with the terms on the brand new card that you have. If the card offers an introductory 0% APR on balance transfers, you will be capable of making interest free payments at some point of the promotional length.

After the promotional length ends, the everyday interest rate will take place but these will apply best to the remaining balance and you will not get hit with retroactive interest charges as you might with a delayed interest offer on a store card.

 

Let’s have a recap:

Balance transfers have 0% interest rate for a certain period of time

Processing fees will apply.

The amount that you will be approved for will include that outstanding balance on the customer’s UOB credit card account as well as amounts transferred, processing fees and the service fees.

If you have an overdue balance transfer amount, this will reflect in your monthly statement that should be paid no matter if your card account is already active or not yet active.

The approved balance transfer amount shall not be credited by the bank to any other third party account or to an account that is denominated in any other currency other than the Singapore dollars.

It might take a minimum of five business days for the bank to do the balance transfer.

Customers will be fully liable for the full amount of the balance transfer upon an early settlement request or cancellation of the account.

The minimum required payment each month is about 3% of the outstanding balance.

If you are looking for assistance with any kind of financial matters, you can surely contact GM Creditz a Licensed Money Lender for further assistance with your need. They have experts that can definitely make your lives easier.

About GM Creditz

GM Creditz is a low-cost and flexible loan provider.

Our aim is to give you the money you want, when it’s needed, whether you have a sudden emergency that has set you back financially or if you want a boost to help kick start your future plans. Put simply, we cater for individuals with different financial situations, whether you have a good credit report or one where other lenders are unwilling to offer you a loan, we want to help.

We have built our business on solid principles by offering a fair and transparent service, and, as a reputable lender, we make sure you can afford your repayments. Depending on the amount, we offer unsecured loans so you don’t need to secure an asset like your house or car against the loan. You don’t need a guarantor either as we work hard to provide you with the money you need at a rate you can afford.

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