BMO Preferred Rate Mastercard Review: 0.99% Balance Transfer (2026)

The BMO Preferred Rate Mastercard is the middle-of-the-road option among Canada's serious balance transfer cards: 0.99% for 9 months, 2% transfer fee, $20 annual fee. None of the dimensions are extreme, which makes it the sensible default for buyers who don't want to optimize aggressively and don't have a specific payoff window in mind. This review covers when it's the right tradeoff and when one of the more specialized cards wins.

The headline numbers

Promotional rate: 0.99% on balance transfers for 9 months
Transfer fee: 2% of the transferred amount (min $5)
Go-to rate after promo: 12.99% on purchases and balance transfers
Annual fee: $20
Purchase APR: 12.99%
Issuer: BMO Bank of Montreal

Where it sits in the lineup

On every dimension, BMO Preferred Rate is between Scotia Value Visa (shorter promo, lower fee, higher annual fee) and MBNA True Line (longer promo, higher fee, no annual fee):

Promo: 9 months (Scotia: 6, BMO: 9, MBNA: 12)
Transfer fee: 2% (Scotia: 1%, BMO: 2%, MBNA: 3%)
Annual fee: $20 (Scotia: $29, BMO: $20, MBNA: $0)
Go-to rate: 12.99% (Scotia: 13.99%, BMO: 12.99%, MBNA: 12.99%)

The math on $5,000

Assume a $5,000 balance transfer, paid off in equal monthly installments over the full promo window:

BMO total cost: $100 transfer fee + ~$22 promo interest + $20 annual fee = $142
Scotia total cost: $50 + $14 + $29 = $93 (if paid off in 6 months at ~$833/month)
MBNA total cost: $150 + $0 + $0 = $150 (if paid off in 12 months at ~$417/month)

BMO sits in the middle on cost as well as everything else. The 9-month window requires roughly $555/month to clear $5,000 — meaningfully easier than Scotia's $833 but more demanding than MBNA's $417.

What BMO does well

9 months is the sweet spot for many households. Long enough that the required monthly payment is realistic, short enough that the math doesn't get expensive. Roughly half of consolidations would fit this window comfortably.
$20 annual fee is the lowest of the fee-charging options. Cheaper than Scotia ($29) and CIBC ($29).
12.99% go-to rate matches MBNA as the lowest standard rate among the four. Cliff cost is contained if the promo runs out.
BMO ecosystem. If you already bank with BMO, the card integrates cleanly with BMO Online Banking and BMO Mobile.

What BMO doesn't do

Doesn't excel at any single dimension. Scotia is cheaper for short payoffs, MBNA gives longer runway. BMO doesn't win either comparison.
No rewards. Like all dedicated balance transfer cards.
No purchase promo. New purchases accrue at 12.99% from day one.
$20 annual fee still real money. Doesn't matter much on a $5,000 balance but adds up if you carry the card without paying off.

Who this card is for

Someone with $3,000–10,000 in credit card debt who can pay roughly $400–700/month toward it. The 9-month window is realistic for that payment range, the 2% fee is moderate, and the $20 annual fee is the cheapest of the fee-charging options.

If your payoff plan is tighter than 6 months and you have higher monthly capacity, Scotia Value Visa beats it on cost. If you need more than 10 months, MBNA True Line beats it on runway. BMO Preferred Rate is the right answer when neither extreme fits.

FAQ

Nine months from the date the transferred balance posts to your account. After that, the remaining balance jumps to 12.99% APR. The clock runs from posting, not from card approval, so factor in 5–10 business days of processing if you're cutting the timing close.

No — BMO treats this as a same-issuer transfer and won't process it. Cross-issuer transfers from RBC, TD, Scotia, CIBC, MBNA, American Express, Capital One, etc. are the standard path.

Periodically, yes — BMO runs promotional offers waiving the first-year annual fee for new accounts. These are advertised on the application page or through targeted offers to existing BMO customers. The promotional terms change frequently; check at the time of application.

Determined by BMO underwriting based on your credit profile and income. Typical limits range from $1,000–25,000. For balance transfer purposes, the limit needs to be at least equal to the amount you want to transfer plus headroom — BMO usually only allows transfers up to about 90% of the credit limit.

No. The 0.99% promotional rate is for balance transfers only. New purchases accrue at the standard 12.99% APR from the date of purchase. Worse, payments are applied to the lower-rate balance first, meaning new-purchase debt sticks around at 12.99% until the transferred balance is fully paid off.

BMO Preferred Rate Mastercard: 0.99% Balance Transfer Review