Those determined to reduce their debts as part of their New Year resolutions could cut the interest payments on their credit card balances until 2018 with the latest offer from Barclaycard.
The iconic credit card provider released a new 35-month balance transfer card just ahead of the New Year.
The move responds to recent challenges from HSBC and Lloyds Banking Group. HSBC initially took the fight to Barclaycard by matching its previous best offer of 34 months at 0% earlier in December.
Lloyds Banking Group, which includes Halifax, has also extended its maximum 0% offer to 34 months.
But pleasingly, the 35-month Platinum Barclaycard Visa also has one of the most competitive transfer fees on the market for a card with this balance transfer duration.
At 2.49%, successful applicants will face a fee of £24.49 for every £1,000 they transfer to the new card, which compares favourably to the average fee for long 0% cards, which is around 3%.
Customers will have 60 days to transfer their balance after opening their account to redeem the full benefit, and must make minimum payments on time to keep the 0% rate for the full duration.
The new Barclaycard also comes with 0% on purchases for 6 months, after which it reverts to the standard APR of 18.9%.
All new purchases made after this point will be subject to this interest rate unless the balance is paid off in full.
Barclaycard’s offer emphasises the strength of the balance transfer market as a route to clearing expensive credit card debts, and it surely won’t be long before a full 3-year offer is on the table.