Virgin Money has increased its 0 per cent balance transfer credit card from 12 to 15 months in a bid to be the market leading 0 per cent balance transfer credit card.
The credit card also offers an interest rate of 0 per cent on purchases made in the first three months the credit card is active.
Many credit card companies in the UK use 0 per cent offers to attract new customers and there are hundreds of cards to choose from. However, borrowers need to be aware of the range of charges that are applied to credit cards, particularly ones with offers which look so compeititive.
Chiltern’s Simon Duffy says: “While it’s good to see competitive balance transfer and purchase rates from providers like Virgin Money, customers need to be aware of the balance transfer handling fees, in this case 2.98 per cent of the balance transferred.
“Customers also need to ensure they can meet the monthly repayments required and do not fall into bad credit or debt. The lure of 0 per cent spending can be the starting point of credit card debt problems for many customers.”
According to Moneyexpert.com and Defaqto almost 5 million UK credit card customers were charged for late payments and exceeding credit limits in 2006.
The national money education charity Credit Action says that in 2006 only 58 per cent of credit card customers managed to repay their credit card debt in full every month.
If you’re struggling with any debt including credit card debts, Chiltern can help you take control today. Call us FREE now on 0800 043 2332.
