12 month 0% credit cards re-emerge

By MoneyhighStreet Staff. Published on September 3, 2008 This post currently has no comments.

There are now more credit cards offering zero per cent interest on balance transfers for 12 months or more compared to a year ago, according to Moneyfacts.co.uk.

Nearly half of all credit cards (47.7 per cent) on the market at the moment offer zero per cent on balance transfers for 12 months - compared to only 36.3 per cent in August 2007.

However, the number of credit cards offering zero per cent balance transfers has been reduced in the nine to 11 months and six to eight month brackets by around eight per cent and four per cent respectively.

According to Michelle Slade, analyst at Moneyfacts.co.uk, this means that consumers will generally be able to choose to pay off their debt over a longer period.

She noted: "This is great news for consumers as they can have longer to reduce their debt and as a result less marks on their credit file as they wont need to switch as frequently.

"Balance transfer deals are a fantastic way to reduce outgoings as well as reducing the overall interest paid and cutting the time it takes to repay the debt."