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By John Fitzsimons
I'm finally getting my act together with credit cards. Like an ostrich, up to now I've been only too happy to keep my head in the sand, paying off a set amount each month and pretending not to notice my debts rack up. But no longer! My finances are getting a well-deserved spring clean thanks to the Halifax All in One Mastercard. And I'm not the only one who could benefit from this nifty bit of plastic. Big purchases? Covered! If, like me, you have the prospect of a few large purchases rearing their heads ominously over the horizon - a nice summer holiday, for example - then a card like this might just be a God-send. The Halifax card offers 0% interest on all purchases made on the card for a whopping nine months - more than enough time to get yourself organised, and pay off that debt without getting whacked with some unpleasant interest charges. Balance transfers? Sorted! On the other hand, you might be the sort of person that has already had that big spend, and is now stuck paying interest on a sizeable debt on your existing credit card . I know I am. Again, the Halifax All in One Mastercard might have the answer. With this card, you get nine months of 0% interest on any balance transfers made within the first 90 days. So if the money you currently pay each month is really just covering your interest payments, and making little or no dent in your debt, then what are you waiting for? As always, remember that any transfer will incur a 3% fee. Annoying, I know, but any cards that offer balance transfers at a slightly smaller rate inevitably offer a much smaller 0% interest rate period - typically just three months. That's two-thirds less than this credit card. The sum of a credit card's parts Now, the eagle-eyed among you may be asking what the big deal is. After all, if you're only interested in purchases, there are marginally better options out there. A great example is the M&S Money credit card which offers 10 months of interest-free purchasing credit. Equally, if you only have a stack of debt you want to pay off, then the much-heralded Virgin credit card is superior, offering 0% on balance transfers for a massive 16 months. Indeed, if you're only interested in either purchases or balance transfers, the Halifax deal is probably not for you. But if you need a card to cover a few purchases over the next few months, and also need to pay off existing debt, I reckon you will have a tough job beating this bit of plastic. Of course, you could have separate credit cards for your purchases and balance withdrawals, but to be honest, this card is just far more convenient. A way around a nasty credit card trick Another great thing about this card is that you avoid falling foul of everybody's favourite credit card con, negative payment hierarchy . If you're a regular lovemoney.com reader, you'll probably know all about this sneaky trick. But if the phrase has left you a bit blank, here's what you need to know. The vast majority of credit cards operate a system which means you pay off the cheapest debts first and the most expensive last. So let's pretend I have a card that still has time to run on its interest-free balance transfer period, but any purchases will incur 16.9% interest. Thanks to the negative payment hierarchy, the money I pay each month will go towards my cheapest debt first - i.e. my interest-free balance transfer - before any more money goes towards my purchases, leaving me racking up interest. With the Halifax All in One Mastercard , because the interest-free period for both purchases and balance transfers is identical, your debts are treated exactly the same - so there will be no nasty surprises. Top of the class If you're looking for an all round great credit card, the Halifax All in One Mastercard is, in my opinion, the best around. After all, if you're trying to get your finances into shape for summer, like me, but don't want to overload yourself with a different card for each day of the week, it's absolutely perfect! More from lovemoney.com Useful links: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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