Initial teacher education programs regularly engage students in service-learning programs, providing an additional pathway to personal, professional and pedagogical transformation in their learning journey. One of those pathways is through service-learning placements in community arts projects. This paper reports on a study of arts-based service-learning programs at two universities. Eight initial teacher education (ITE) students were interviewed after their placements and a number of key themes emerged. These include the importance of productive discomfort as part of the service-learning experience and transformative pedagogy resulting from the art-based experience. This paper also explores some critiques of traditional service-learning models that have opened spaces for critical service-learning approaches. The analysis of ITE students' narratives led to findings about the path of transformation from traditional to critical service-learning approaches through arts-based projects, an area which has been largely unexplored in previous research. The paper concludes with discussion of future avenues for related research that orientate service-learning in the arts towards social and creative justice.