Consumer wasting money by failing to switch credit cards

It has been reported that many consumers in the UK are simply wasting their money and paying far more than they need to on their borrowing, simply because they haven’t taken the time or made the effort to switch their credit card to a more suitable and affordable one.

Whilst some people may have tried to switch and found that they could not due to tighter credit conditions amongst card providers, many others have simply not even tried to switch to another deal that could save them a fortune in interest, according to a recent report.

It is thought that many people are still trying to repay their credit card debt from the Christmas and New Year period, and for those that have been unable to pay the balance off in one go the interest rates may be sky high, which means that they are paying a fortune for the money that they borrowed over the festive season.

However, this could be a totally unnecessary situation, as many of these people may be able to get away with paying far less interest or even no interest at all if they switched to a low interest or interest free balance transfer card.

One industry expert recently stated: “There are some fantastic 0% deals out there at the moment, for example the Virgin credit card offering 0% on balance transfers for 15 months as well as 0% on purchases for six months and special Virgin discounts. However, while 0% deals give you breathing space from interest charges, you should always try to make more than the minimum repayments in order to make progress on paying off your debt. If you don’t think you will have cleared your debt by the end of the 0% deal, you might be better off looking at lifetime balance transfer cards.”