At a glance
You won't be able to shift all your debt to a balance transfer card if the transfer limit is lower than what you owe
Any balance left behind will still build up interest
It's usually a good idea to pay off higher-interest debts first, avoid adding new spending and always make at least the minimum payment
Use an eligibility checker to see what credit limit you could get on a balance transfer credit card before you apply. balance transfer credit card
What happens if my balance transfer limit is lower than my total debt?
When you take out a balance transfer credit card, the amount you can transfer (the transfer limit) might be lower than the overall credit limit. For example, you might only be able to transfer 95% of the card’s overall credit limit.
If your outstanding debt is higher than the transfer limit:
You’ll still owe the remaining debt on your original card(s)
The amount left behind will usually build up interest at your old lender’s standard rate once the 0% period has ended.
Our handy guide goes into more detail about what happens to your old card after a balance transfer.
How does a lender decide my credit limit?
The limit a lender will offer you on a credit card depends on many things, including your:
Income
Existing debt
Available credit limits elsewhere
Track record of repaying debt.
Learn more about credit limits and how they work.
Can I transfer my full debt if the approved credit limit is lower than expected?
It depends how much you were expecting: you can only transfer the full debt if it’s within the transfer limit of your new card.
Most lenders will only let you transfer up to a certain amount of your credit limit – often around 90-95%. And keep in mind that there’s normally a minimum transfer amount of around £100, too.
Bear in mind...
While there’s a monetary limit on balance transfers, there's often no restriction on the number of transfers you can do.
Just keep in mind that:
- You normally need to make transfers within 60 or 90 days of opening the card to benefit from a 0% interest deal (always check the T&Cs)
- Any balances transferred outside this timeframe will usually build up interest
- You’ll be charged a fee (normally 2-4%) on each transfer.
What can I do if I only get a partial transfer amount?
If you’re left with some debt on the original card after transferring as much as possible:
Continue making your monthly payments
It’s important to make sure you’re still paying at least the minimum amount on your old card so you avoid late payment fees (often £12 each) and harm to your credit score.
Focus on clearing down the debt
Assuming you’re paying a higher rate of interest on the old card, prioritise paying that off first before paying down the new balance transfer card (but always make at least the minimum payments on both).
If you’re struggling, look at your budget and see if you can cancel any unused subscriptions or switch any bills up for renewal to help save money.
Avoid further borrowing on the old card
Any new spending could rack up interest quickly and increase your debt, meaning it will take even longer to pay off.
Keep a regular eye on the account
Sign up for online banking and download the lender’s app if available, so you can easily check your statement and make payments.
If you have balances on both the old and new card, keeping an eye on them both can help you stay on top of what you owe.
Think about using savings to clear the balance
If you’re paying a high rate of interest and you’re worried about the debt spiraling, you could use savings to clear the balance. But think about whether:
The saving you’ll make in credit card interest payments will outweigh the interest you’re earning on your savings
You’re comfortable eating into any emergency savings you’ve built up
What can I do if I have multiple high-interest cards but limited transfer capacity?
The right strategy for you when it comes to clearing down multiple high-interest cards depends on your financial circumstances.
One approach you could consider is the ‘debt avalanche’ method:
List your debts by interest rate (highest first) Write down all your credit card balances and their interest rates. Focus on the card charging the highest rate as this is where your money works hardest to reduce interest costs.
Use your transfer card to shift the largest possible chunk Once you've been approved for your balance transfer card, move as much credit card debt as you can (up to the limit) onto it. Move the debts from your highest-interest card(s) first, taking into account any balance transfer fees and existing promotional rates on your other cards.
Continue paying down your balances, putting extra towards the highest-interest card Make sure you pay at least the minimum on all remaining cards. If you've got any extra available funds, put these towards the card with the highest rate of interest.
Roll over those extra funds to the next highest-interest card Once you’ve cleared the highest-interest card, you can then take the amount you were paying and use it to pay off the next highest-interest card.
Try to avoid building up new debt This applies to both your old and new cards. It can be tempting to spend more, especially if your new card also comes with 0% interest on spending. But doing so simply adds to your existing debt.
A few things to do before applying for a balance transfer card
Use an eligibility checker A credit card eligibility checker will tell you which cards you might be accepted for and what credit limit you could be offered, without harming your credit score.
Check the lender’s transfer limits Confirm what percentage of the credit limit can be used for a balance transfer, so you can work out whether you'll have leftover debt on the old card.
Know what fees you’ll pay There’s usually a balance transfer fee of around 2-4% that gets added to the transferred balance, so factor that in.
Looking for something else?
Allie has spent her career helping people quickly understand complicated topics, to help them save money and focus on what matters. With almost 10 years’ experience writing, leading and managing content, she is an expert in personal finance and insurance products.
Ele Clark is an award-winning editor who has held leadership roles at Which? and news-stand publications in London and Dubai. She’s appeared across the press and media, including BBC’s Panorama. With almost 20 years’ experience in personal finance, insurance and consumer journalism, she leads a talented team at Compare the Market, creating insightful, accessible content to help people make informed financial decisions.
Sajni is passionate about finding money products to help you make great financial decisions. She keeps track of the latest trends and evolving markets to find new ways to help you save money.
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What our expert says...
"When a balance transfer limit comes in lower than expected, the challenge becomes less about finding a single fix and more about managing what can be moved first. That kind of situation often calls for a clearer repayment order, because partial breathing space can still be useful if it’s handled with purpose."