Martin Lewis has issued a warning to anyone with a credit card in their wallet or purse in the wake of Christmas. Writing in to the 52-year-old Money Saving Expert founder, a reader, named Trevor, shared how a 0% balance transfer card helped him save nearly £1,000 in interest.
By transferring balances from two credit cards costing £76 per month in interest to a 28-month 0% deal, Trevor cleared his debt in just 15 months for only a £164 transfer fee, instead of paying over £1000 in interests, the saver has said.
BBC and ITV star Mr Lewis said: “Even though it may feel hard to face, the sooner you tackle it, the sooner it can be improved. So don’t wait for a statement, each day’s delay just adds more interest, deal with it now.” Barclaycard is the joint longest 0 per cent offer at the moment with up to 31 months 0%.
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MSE says: “Higher fee, but wins if shifting £2,500+ due to £20 cashback, though an ‘up to’ card. Shift over £2,500 within 60 days and you get £20 cashback, which effectively reduces the fee. If you’re pre-approved in our eligibility calc, you’ll get the full 31mths.
“If not, it could be just 15mths. PS: A slightly higher £25 cashback is available if you apply after a comparison at CTM. Tesco Bank Definite offers 29mths and MSE says: “Even lower fee. If you’ve decent acceptance odds for this card, its advantage is everyone accepted will definitely get the full 29mths.
“If you can repay in that time, combined with the lower fee, it’ll beat the cards above for a decent chunk of people.” A 0 per cent balance transfer credit card could help pay off your credit card debt faster, says Compare the Market, a popular comparison website.