Balance transfer war hots up
Published On 4 January 2007
As the new year gets in to full swing, many banks are looking to entice customers with promises of zero per cent balance transfers.While the past year has seen many such offers disappear, it is thought that increasing competition among firms is set to see deals return to the high street.
Michelle Slade, personal finance analyst from Moneyfacts.co.uk, states that declining revenues and rising instances of bad debts have seen nought per cent deals become a rare breed in the past year.
However, she claims that recent months have seen a slight turnaround with a number of 12 month, nought per cent deals again being offered and asserts that January is again set to be a good time for consumers.
"For any credit card provider looking to woo new balance transfer business, the post Christmas spend is an ideal target," Ms Slade comments.
"With many of us over overspending at Christmas, but dreading the January credit card bill hitting the doormat, these new and very competitive deals can save you a packet in interest charges."
Shopping around for a good deal is important and it is vital that consumers look beyond the headline balance transfer rates to see if they will still be saving money in a year's time.
