The age of the rate tart is numbered
Published On 11 October 2006
New research has shown the days of the rate tart – people who move their balance from one credit card provider to another fee free – may be numbered.A study by industry comparison site Moneyfacts has discovered that many credit card companies are keen to stamp out the remaining perpetrators.
Michelle Slade, Moneyfacts personal finance analyst, said: "Long gone are the days when rate tarts could jump from one credit card provider to another without incurring fees, on a zero per cent balance transfer deal.
"In the two years since Barclaycard started the trend of balance transfer fees, almost all providers now charge an upfront fee for their zero per cent balance transfer deals."
The research shows that only three credit cards remain without fees for a balance transfer – Sainsbury's Bank Advantage Visa, Britannia BS Classic Intro Visa and Britannia BS Platinum Intro Visa.
Ms Slade concluded: "If the consumer can afford to repay the debt within a short period of time, say six months, then they could be better off choosing one of the zero per cent deals without a fee.
"But should the debt continue for a longer period, a fee deal may be preferential or even a low rate lifetime deal."
