Credit Cards

Data from price comparison site Moneysupermarket has revealed there are now 40 credit cards offering 0% balance transfers of 12 months or longer.

Virgin, Capital One and Barclaycard have long been regarded as the fore-runners in the balance transfer market, according to Steve Willey, head of credit cards at Moneysupermarket, and they are still leading the pack, with 15 and 14 month 0% deals. However, both impose balance transfer fees of around 3%.

Willey continued: Already, this month we have seen Capital One launch a 14 month balance transfer and purchase offer. This week sees Barclaycard launch a 17 month 1.9% balance transfer offer with a slightly lower fee of 2.5%.

All of this is great news for consumers looking for a new credit card to transfer a balance. However, the recent tightening of lending criteria by many lenders means all but those with the most gleaming credit profiles are accepted. As a result, the battle for the best customers means that credit card providers are having to work harder to attract and retain them.