Barclaycard has reduced the transfer fee on its leading balance transfer cards in response to competition from rival lenders.
The lender has cut the fee on its 33-month 0% Platinum Balance Transfer card from 2.99% to 2.89%.
Customers switching their existing credit card balance could now save an extra pound for every £1,000 they transfer to this card.
Barclaycard applies an initial 3.50% fee before applying a partial refund to those who carry out the transfer within 60 days of opening the card.
The lender’s ‘silver’ product, the 32-month balance transfer card, sees a reduction in the transfer fee to 2.64%.
The move comes amid rising competition in the credit card market, with consumers able to benefit from cards with a shorter 0% balance transfer duration and a lower fee.
MBNA recently took the fight to Barclaycard by increasing its longest 0% balance transfer and money transfer period to 32 months whilst reducing its balance transfer fee to 2.69%.
Halifax, the Bank of Scotland, Lloyds Bank and Tesco Bank are also breathing down the neck of Barclaycard, with long 0% offers.
But the competition is proving effective for consumers, with applicants for Barclaycard’s 32-month and 33-month cards now facing a lower fee to transfer their cash.
For more about the benefits of balance transfer cards, check out our video guide below.