Virgin Money launches top balance transfer card – and everyone accepted gets 29 months 0% interest

VIRGIN Money has rolled out a top balance transfer card, and if you’re accepted you’ll get an interest-free period of 29 months. The launch means it’s a joint best buy with Halifax, MBNA and Sainsbury’s Bank, which also offer a 0 per cent period of the same length. All cards apart from the MBNA account […]

VIRGIN Money has rolled out a top balance transfer card, and if you’re accepted you’ll get an interest-free period of 29 months.

The launch means it’s a joint best buy with Halifax, MBNA and Sainsbury’s Bank, which also offer a 0 per cent period of the same length.

Reuters

All cards apart from the MBNA account come with a 3 per cent transfer fee, while the latter charges customers between 2.75 and 3.49 per cent but it hasn’t yet told us what customer pay which fee.

After the interest-free period is over, the Virgin Money card increases to a typical annual percentage rate (APR) of 21.9 per cent, while the other three rise to a slightly lower rate of 19.9 per cent.

On the other hand, these cards state that you could get “up to 29 months” interest-free so you could be accepted and then be given a shorter period.

While Virgin Money told the Sun it doesn’t “down sell”, meaning if you pass its requirements you’ll get the full 29 months or if you don’t, you’ll have to find another product.

Either way, it’s always important to clear the debt in full beforehand.

If you’re unable to pay it all off on time, you could shift it to another 0 per cent balance transfer card beforehand – you can find the best cards of this kind here.

Or if you you don’t need that much time to pay off your debt, you may want to go for Natwest’s fee-free balance transfer card which offers 26 months interest-free.

This is only available to existing customers who hold a current account, savings account, credit card or mortgage with the bank.

If you’re not a customer already, you can easily become one by opening a savings account with just £1.

But be warned – lenders only have to offer the marketed deals to 51 per cent of applicants by law meaning only those with the very best credit ratings will get them.

So even if you apply and are accepted, you could be offered a smaller 0 per cent period instead and be charged a higher interest rate.

Applying for multiple credit cards will also hurt your credit score – use an eligibility checker such as one from MoneySavingExpert to see what deals you’re likely to be accepted for beforehand.

To get the Virgin Money card, you’ll need to earn at least £7,000 per year, be at least 18 years old and have a good credit rating.

Interested? First check your chances of getting accepted here. You can then apply for it online.

Rachel Springall, finance expert at comparison site Moneyfacts, told The Sun: “While the 0 per cent interest free-offer of 29 months is joint market-leading in terms of the length, consumers will find MBNA charging a slightly lower balance transfer fee.

“There are many more interest-free balance transfer offers around with lower fees, so the most competitive credit card will depend on how quickly a consumer can repay their debts and how much they are prepared to pay upfront to move their debt.

“As an example, Barclaycard have a 0 per cent for 28-months balance transfer offer and charges a 1.75 per cent fee.

“Elsewhere, NatWest has a 23-month 0 per cent balance transfer offer and charge no fee.”

Last month, Barclaycard launched a top 0 per cent credit card for debt shifting and spending.

If you’re considering applying for a personal loan or balance transfer credit card, here’s the best option for you.

You can also save £300 off your store card balance by transferring the debt to a 0 per cent credit card.

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