0% Credit Cards in the UK

Benefits of 0% Credit Cards

Credit cards are very useful as it lends money to the consumer without having to remove the amount from the account. As such many people tend to use the credit card unwisely so that in a short span of time gets into debt. What one need to do is to better pay off the balance monthly which will certainly help you prevent interest expenses. But for those who have to carry the balances on the credit cards, it’s very difficult to save. As such some of the major credit card companies like Visa, MasterCard, Amex and Discover offers the 0% credit cards.

0% credit cards are actually a special introductory annual percentage rate. These cards offer a 0% interest rate for a brief period and usually, say after six months raises the APR. This low 0% introductory offer is very helpful for some credit owners as it gives the chance to save. To understand how this 0% works, lets estimate it with a 20% fixed interest rate card that allows six months at a 0% rate, which will increase to 25% later on. For calculations let’s take $1000 balance for a year too. Say your expenditure is $200 on a 20% fixed interest rate; thus $1000 multiplied by .20 is $200. Also a card with a higher normal rate but with a lower introductory APR, it will be $250 for a year with a fixed APR of 25%. However if for the first six months, its 0%, then lets divide that by 2; we get $125. Thus, able to save $75. The above estimates shows that with a 0% APR, these credit cards are able to save a lot of money eventually. Every major credit card company’s offers of 0% credit cards varies and the one suitable for you may not be so for some others. Therefore before applying for these low rate cards, it would be a good idea to consult a financial advisor to choose the credit card company offering the 0% rate that will suit you best. Some of the 0% are for six, some for twelve months, fifteen months and so on with various benefits offers.

Eligibility for offers for 0% credit cards usually (but not always) depend on the credit score of the applicant. If you have a high credit rating, you're much more likely to qualify. It's worth applying, though, because usually they'll offer you a low-interest credit card even if you don't apply for the zero-interest offer.

Some of the top no interest credit cards offered in the UK include Citi Platinum Select Card, which offers 0% APR on balance transfers and purchases for a period of 12 months. They offer ?0 liability on unauthorized purchases and do not charge any annual fee. The 0% card has a regular APR of 10.74%. Chase Platinum Credit Card, too, offers 0% credit cards for 12 months or for 3 months, depending on the credit history of the applicant.

Blue from American Express features a 0% introductory APR up to 15 months and charges no yearly fee. The card's regular APR is about 11.74% and applicants do not have to have an exceptional credit record in order to get this credit offer.

There is also Blue Cash from American Express, which offers 5% cash back on all qualified purchases. This offer for their 0% credit cards is for six months and they do not charge an annual fee.

With Value Miles Platinum Visa Card, (a frequent flier credit card), the card holder can earn one value mile for every dollar spent. With 24,000 miles you earn can get an airline ticket for any nearby destination. They also do not charge yearly fees and the 0% interest applies to the first 12 months.

HSBC Platinum Master Card offers 12 months of 0% APR and it benefits include unlimited purchase protection and insurance for travel accidents. Their regular APR is 10.74%.

Citi Diamond Preferred Rewards Card offers a ?50 gift card and for every ?1 spent on purchases in drugstores, supermarkets and gas stations can card holders get 5 reward points and 1 point for every other purchase. Of a similar type is the GM Flexible Earnings Card, which offers 0% introductory APR for a year which presents a full one-percent cash back choice, otherwise the cardholder can choose a one-percent earnings towards any new GM vehicle.

Other companies that offer 0% credit cards also include Starbucks Duetto Visa for six months and Northwest Airlines- WorldPerks Visa Platinum Card, which has a credit line up to ?7,500 and a 15,000 miles annual WorldPerks travel reduction. The Northwest card does charge an annual fee of ?55, though.