Considering the current economic climate, everyone is looking for a good deal. With this in mind, those in debt could benefit from a balance transfer card.
Debt is becoming a serious problem for families and individuals across the nation as high inflation, pushed up by higher utility bills, combined with high unemployment ultimately leads to unprecedented amounts of debt.
Credit Action, the financial charity, recently released the October debt statistics which suggest the average UK adult has a cumulative debt of £29,546. The average household debt is a staggering £55,822.
The Institute of Fiscal Studies recently announced that UK families are experiencing the biggest fall in living standards for 30 years. In addition to this, another study recently revealed how the UK has the worst quality of life across the entire European continent. This particular study looked at everything from the number of paid holiday received at work to the cost of fuel and food.
The outlook is bleak for many in the UK as the cost of living soars. While credit card debt continues to mount though, there is a way of making life a little easier.
By choosing a suitable balance transfer credit card for your circumstances, you could reduce your debt.
While you downgrade your debt by choosing a suitable BT credit card, the market heats up, offering more and more tempting deals to consumers. If anything, now is the time to consider a balance transfer credit card.
A number of new deals have been cropping up recently and it comes as no surprise that they are a popular method of managing personal finances.
Letís face it, times are tough and there is little sign of things getting any better in the immediate future. As a result there are some pretty temping deals available. While many may be drawn in by the ëtoo good to be trueí rates, itís important to look beyond the introductory period.
Compare balance transfer credit cards with Money Expert
Chasing low interest rates after the introductory offer expires could reflect badly on your credit rating. However, if you are looking for a one time solution to your balance transfer woes, itís vital that you shop around and find the cheapest deal available. The majority of lenders charge between 2% and 3% for transferring. However, they often come with more goodies; letís take a look at the best deals around.
Lloyds TSB Platinum Credit Card Account
Lloyds TSB have recently introduced their latest MasterCard credit card with a 50% balance transfer fee refund offer. This means that there is 0% interest for 15 months and the rate thereafter is 3%. However, they will refund you half of the 3% fee so the balance transfer is the equivalent to 1.5%. For example, if you transfer £1,500 (the minimum you can transfer is £100) the 3% fee would usually be 1.5 %. However, with a 50% discount you only have to pay £22.50. One of the many benefits is that if you have a large amount to transfer, you will have a higher refund. Balances must be transferred within 90 days of opening the account.
The credit card also offers 0% on all purchase for 3 months and has a representative 17.9% APR.
Play.com Credit Card
Another lender to stir up the balance transfer competition is Pay.com. They have introduced a credit card with a balance transfer fee of 1.5%, after a 6 month period of 0%. Customers on this card can also enjoy the reward scheme of earning two Play Points for every £1 spent at Play.com.
The card has a representative 16.9% APR and 0% on purchases for 9 months. There is a credit limit of £1200.
Barclaycard Balance Transfer with Low Handling Fee
Barclaycard have a few Platinum balance transfer cards on the market, all offering specific criteria for specific needs. Barclaycard have a lengthy 0% balance transfer deal on the market at the moment which spans 22 months. Similar to Lloyds TSB, they also have a refund offer. As the fee stands at 3.2%, Barclaycard will refund against the balance transfer to the equivalent of 2.9%. The card has representative 17.5% APR.
However, if you are not looking for such a long balance transfer period and a reduced fee, the Barclaycard Platinum Balance Transfer Card with a low handling fee should be considered.
The card offers 0% balance transfers for 16 months and a refund offer that reduces the handling fee to 1.6%. The card has a representative 18.9% APR.