Latest Breaking News Online News Portal
Martin Lewis has issued an urgent ‘stop’ warning as he urges Brits to make a simple card switch to save £120.
This could lead you to save about £120 interest in a year on a £1,000 debt.
A 0% balance transfer card helps cut costs, as they charge no interest for a set period meaning more of your repayments go towards clearing the debt.
In the set period you’ll usually pay a small transfer fee.
This means you become debt-free quicker, as more of your repayments reduce the debt, rather than pay off interest.
The financial expert advises getting the HSBC card.
It has a definite 36 month 0%, 3.09% fee (24.9% rep APR after 0%) and for anyone who applies by August 10 and transfers over £500 you will get £25 cashback.
Lewis warns that some cards are ‘up to’, which means some get a worse 0% deal.
Another one he recommends is Virgin Money. It also have a definite 36mths 0%, with a 3.1% fee.
He alerts that you can’t transfer a balance between cards from the same bank/group so this will impact who you can chose.
In order to find the best option for you, he says “work out how long you’ll need to clear your debt, and check which card(s) you’re eligible for (as you’ll need to pass a credit check as part of any application).”
He adds that most of the cards are only available to those with good credit scores, however some options are also open for those with a patchy credit past.
You can check his full advice here.
