Soaring energy bills and rising food prices have driven inflation over 5% in the month of September, causing more misery for savers. The retail price index (RPI) has risen to a 20-year high. So, what now for savers who are set to lose out considerably in real terms?

It has been estimated that savers at the basic level of tax would need to be investing at a rate of at least 6.5% to avoid losing out in real terms, and greater still for higher rate taxpayers. However, the low base rate set by the Monetary Policy Committee to aid growth is leaving very few products available at a percentage that can offset the high inflation rate.

What are the options?

[Find out at Which4U]

Over the last few years we have seen the number of 0% balance transfer credit cards rise, which has caused an increase in competition. However, last year the market leader of Balance Transfers – Virgin Money, reduced its interest free period from 16 months down to 14,marking the start of a BT freeze which continued through most of the year.

However, later in the year things began to improve and by the end of 2010, Barclaycard took control of the situation by stealing the spot light with an 18 month 0% deal.

It wasn’t long before some of the other big credit card providers realised that in order to stay in the game, they too would need to boost their deals.

However, the day that two of the other big credit card provides attempted to follow in the leaders footsteps by also offering 18 months 0% – Virgin Money & MBNA, Barclaycard stole the show again by announcing it had increased its 0% duration to an unheard-of 20 months! (more…)

Barclaycard has increased it’s 0% balance transfer offer by another month, marking another record for interest free transfer periods.

The credit card provider only recently boosted its 0% period from 16 months to 17 months which was the longest ever 0% period offered.

But Barclaycard has once again stepped up the competetion by offering an impressive 18 months 0% on balance transfers.

The deal also included a £20 discount on the 2.9% transfer fee, which has been extended until the end of February for those that transfer at least £3,000 onto the card.

This offer is available on transfers made within 60 days of opening the account. The amount transferred must not exceed 90% of the available credit on the account.

The balance transfer feature is perfect for anyone that currently pays interest on their debts. Card holders should ideally transfer their balances across and set up a repayment plan by breaking the total amount owed by the number of interest free months.

For example, if you currently owe £1,500 on a credit card and pay interest for the service, you could transfer the balance for a 2.9% fee (£43.50) which would be added to your balance, then divide the total by 18 months – allowing you to pay off £85.75 each month and be debt free before the interest free period is over.

The Barclaycard Platinum also comes with interest free purchases for 3 months, which means you can get up to 3 months to pay back any purchases made from the account opening date.

Credit cards have long been associated with debt, providing ‘vulnerable consumers’ with a tool that can potentially fuel debt. However, things have changed, and nowadays credit cards actually offer the means to clear your debts efficiently without fuelling it further through high interest rates.

Almost all credit cards come with special features these days with specific consumer groups in mind, from airmiles or cashback to offer long 0% purchases durations and indeed 0% balance transfer periods.

Your financial situation will influence the type of credit card that is most suited to you, for example, you wouldn’t go for a credit card awarding airmiles if you were looking to transfer a balance simply to clear your debts. (more…)

Virgin Money Credit Card

Virgin are now offering a fantastic 16 months interest free on balance transfers. This has increased from it’s previous period of 15 months, stepping it up to the longest period available on the credit card market.

This card is recommended for those that wish to transfer a balance over to pay it off, rather than a card to make purchases with, so if the Virgin money credit card sounds right you you, come and apply at Which4U

Please note: If you have one of Virgin’s sister credit card with MBNA, you are unlikely to be accepted.