Did you know you can use a Zero % credit card to help you get out of debt?
If you're struggling with credit card debt, you're not alone.
High interest rates can make it feel like you're constantly treading water—paying month after month without seeing your balance go down.
But there’s a smart strategy many Canadians are using to break the cycle: zero percent balance transfer credit cards.
In this post, we’ll walk you through how this works, the benefits, and some of the potential pitfalls to watch out for—so you can make an informed decision about whether this tool is right for you.
💳 What Is a 0% Balance Transfer Credit Card?
Let’s say you’re carrying $5,000 in credit card debt at 19.99% interest. If you only make the minimum payments, it could take years to pay it off—and you’ll end up paying thousands in interest.
With a 0% balance transfer card, you could:
Pay zero interest during the promotional period
Apply your full monthly payment toward the principal
Eliminate your debt faster and cheaper
📌 Step-by-Step: How to Use a 0% Credit Card to Get Out of Debt
1. List All Your Debts
Start by getting a clear picture: balances, interest rates, and minimum payments. Focus on the highest-interest debts first.
2. Research Canadian Balance Transfer Cards
Look for:
A long 0% intro APR (6–12 months is typical in Canada)
Low or no annual fees
Reasonable balance transfer fees (usually 1–3%)
Popular options in Canada include:
MBNA True Line Mastercard: Often offers 0% for 12 months
Scotiabank Value Visa: May offer low promotional rates and flexible transfer options
3. Calculate Your Payoff Plan
Let’s say you transfer $5,000 with a 3% fee:
Fee = $150
Total = $5,150
To pay it off in 10 months = ~$515/month
If you can afford that, it’s a great short-term strategy.
Decide on a repayment strategy:
Debt Avalanche: prioritize debts with highest interest first (saves most interest)
Debt Snowball: pay off smallest balance first for motivation
4. Transfer and Stay Focused
Once approved, complete the balance transfer and continue making payments on your old card until the transfer clears. Then commit to your monthly payoff amount.
5. Don’t Use the Card for New Purchases
New purchases often don’t qualify for the 0% rate and may start accruing interest immediately.
6. Finish Before the Promo Ends
Once the promo expires, any remaining balance may jump to a regular interest rate—often 19.99% or higher.
⚠️ Watch Out for These Pitfalls
Promo expiration: Know when your 0% rate ends.
Balance transfer limits: You may not be approved for the full amount.
High post-promo interest: Any remaining balance after the intro period can become expensive.
Temptation to spend: Don't use the card for new purchases.
🧠 Is This Strategy Right for You?
A 0% balance transfer card is best if:
You have good to excellent credit (typically 660+)
You’re confident you can pay off the balance during the promo period
You’re committed to avoiding further debt
It’s not ideal if:
You tend to overspend
You can’t commit to consistent payments
You’re using it to delay rather than solve your debt problem
💬 Final Thoughts
Used correctly, a 0% balance transfer credit card can be a powerful tool to pay off debt faster and save on interest. But it requires planning, discipline, and a clear strategy.
If you're serious about getting out of debt, this could be your opportunity to reset your finances and move forward with confidence.
Need help reviewing your options or building a payoff plan? Let’s talk. A short conversation could save you thousands and set you on the path to becoming debt-free.
Disclaimer: This post is for informational purposes only and does not constitute financial advice.
Always consult your financial advisor before making credit decisions.
