BMO Cuts Balance Transfer Promo to 9 Months, Customer Says

Bank of Montreal shortened its 0% balance transfer credit card offer from 18 months to 9 months, according to a customer who applied just before the previous deal expired. The customer, posting on RedFlagDeals, said BMO asked for pay stubs after the application and then pitched alternative cards with annual fees and a line of credit. The original card was never approved, the customer said, despite good credit history.

The 18-month promotion had been marketed as a low-cost debt consolidation tool. The new 9-month term still carries no interest on transferred balances for that period. The shorter window reduces the bank's exposure to prolonged low-rate borrowing, a risk that grows when consumers carry large balances for more than a year.

The customer's experience suggests the promotion also serves as a lead-generation funnel. BMO's call center mentioned an auto-approval for a different card with an annual fee and discussed personal lines of credit, the customer said. That pattern – a teaser rate used to collect applicants who then get steered toward higher-margin products – is common in consumer banking. The customer said they felt the 18-month card was more a commercial for the bank than a genuine offer.

BMO did not immediately respond to a request for comment. The bank's website now lists the 9-month 0% balance transfer offer as its standard promotion.

The change comes as Canadian consumer credit conditions shift. Household debt-to-income ratios remain elevated, and the Bank of Canada's rate path has made short-term borrowing more expensive for lenders. A shorter balance transfer window limits the period during which the bank earns no interest on the transferred amount, improving the economics of the product for BMO. Competitors offering similar 0% balance transfer deals – including RBC, TD, and Scotiabank – may adjust their own terms if BMO's move signals a broader pullback in promotional credit. None of those banks have announced changes as of this writing.

For consumers, the shorter term means less time to pay down transferred debt without interest. A $10,000 balance at 0% over 18 months requires monthly payments of about $556 to clear the balance before interest kicks in. Over 9 months, that monthly payment jumps to $1,111. The higher payment requirement could push some borrowers toward other debt options, including lines of credit or personal loans, which carry interest but offer longer repayment periods.

The customer who reported the experience said their credit score was dinged by the hard inquiry and the eventual denial, with no benefit from the application. "I get the impression the 18 month promo card was more of a commercial for the bank," they wrote. "Could it be the deal was in transition and I am an unfortunate one who had my credit dinged for no reason?"