Andrew Hagger of Moneycomms.co.uk looks at how the market has evolved for credit cards offering introductory interest free deals on purchase transactions.
Anyone looking for a credit card is set to benefit from greater competition in the market with the length of promotional rates on balance transfers and purchases at an all time high, according to analysis by MoneySupermarket.com.
Early Christmas sales at major retailers brought on by the freezing weather coupled with the VAT rise on 4 January makes the pre-New Year period the perfect time to buy, according to AA Financial Services.
Tesco Clubcard Credit Card has introduced a new 0% offer on all purchases for 13 months for new customers. This is the longest introductory 0% purchase offer currently available in the UK credit card market. The credit card also offers an introductory rate of 0% on balance transfers for nine months (2.9% fee applies).
Virgin Money is further strengthening its market-leading credit card range with the launch of a card offering 0% for 12 months on card purchases and balance transfers (2.98% fee applies to balance transfers).
362 days in recession have left millions of people starting the new year reliant on credit for day-to-day living costs, according to the third annual Post Office Consumer Credit Report.
This Christmas, it would appear that people intend to spend less on their festive shopping than they did last year. With only a week to go to Christmas, new research from Sainsbury’s Credit Cards indicates that the nation intends to spend some £9.15 billion during the last week before Christmas - £446.6 million less than the bank’s research identified this time last year.