Credit cards can be the cheapest way to borrow money if done in the right way. At the moment you can get a 0% interest on certain credit cards for a term of up to 18 months.
In order to benefit from these new long term 0% interest credit card deals, there are certain clauses that have to be met. These clauses vary depending on which credit card provider you choose. The main two conditions that will be looked at are:
- Credit Rating (Generally you won’t get anywhere with a bad credit rating)
- Minimum Income (Some deals are based on monthly payments, some yearly)
- There may also be additional conditions for certain cards which will require that you have a current account with the credit card provider.
If you are planning on going ahead and getting a credit card, one of the key things you need to think about beforehand is, are you financially disciplined? Or can you be financially disciplined? If not, then it’s definitely not advisable, as you can run up some pretty substantial debts. Another thing you need to plan is your income for the period of time that the credit card lasts. Because there is a minimum amount you must deposit into the account each month or year, you need to plan ahead and ensure that you don’t suddenly find yourself without income then otherwise you could find yourself in a situation where debt just keeps piling on.
Some of the Longest 0% credit card deals at current include:
Nationwide
Nationwide Select Card (Credit Card) Terms & Conditions:
- Spending Length: 18 Months at 0%
- Rep. Variable APR: 12.9%
- Card Type: Visa
- Must be a new or existing FlexAccount current account customer that pays in a minimum of £750 per month (£9800 per year).
- Minimum Repayment: Greater than 1% of the balance plus interest or £25
Tesco
Tesco Clubcard Credit Card Terms & Conditions:
- Spending Length: 15 Months at 0%
- Rep. Variable APR: 16.9%
- Card Type: MasterCard
- Minimum Income: Must be earning £5000 or more in order to apply.
- Minimum Repayment: Greater than 1% of the balance plus interest or £25
Marks & Spencer’s (M&S)
Marks & Spencer’s Terms & Conditions
- Spending Length: 15 Months at 0%
- Rep. Variable APR: 15.9%
- Card Type: MasterCard
- Minimum Income: N/A
- Minimum Repayment: Greater than 1% of the balance plus interest, 2.5% or £5
