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0% Balance Transfer Wars

During the last few months moneyfacts.co.uk best buy charts have again been dominated by 12 month 0% deals, and as the new year begins, competition for the top spot hots up, with HSBC and Virgin Money increasing their longest 0% deals to 15 and 13 months respectively.

For any credit card providers looking to woo new balance transfer business, the post Christmas spend is an ideal target. With many of us overspending at Christmas, but dreading the January credit card bill hitting the doormat, these new and very competitive deals can save you a packet in interest charges.

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The number of customers able to get their hands on these latest offers may be limited, with many "rate tarts' running out of providers they haven't used recently, and lenders only accepting those consumers with a spotless credit record.

You also need to remember that most 0% deals are only available to new card customers, and in some instances your account would need to be closed for a period of two years before the provider will consider you as a new customer.

If you have credit card debts building up, don't bury your head in the sand, as there are some great deals to be found, but make sure you choose a deal which suits your budget. If you are looking for short term finance, then a 0% deal will offer the best savings, as long as you repay the balance in full within the deal period, or are prepared and able to find another deal at the end of the term.

There are substantial savings to be made, so take time to shop around for a more competitive credit card to manage your Christmas spend. And don't always be put off by the upfront balance transfer fees; often the overall savings can soon outweigh this cost.

Why not check out our credit cards or personal loans best buys for details of all the latest deals available, and save yourself some money - a positive way to start 2007.