BT customers urged to "play your cards right"

October 17, 2006

Credit card customers taking out balance transfers (BTs) have been advised by MoneyExpert.com to be aware of all the conditions involved when they move their debt from one card to another.

The site points out that only one in eight credit cards currently cap the fees that they charge BT customers.

Typically, the limit set on these products is between £30 and £50, with the majority of providers now charging unlimited balance transfer fees.

The average charge is 2.1 per cent, with nine cards asking for a three per cent fee on any balance that is transferred.

Sean Gardner, chief executive of MoneyExpert.com, said: "Playing your cards right is becoming more and more difficult as credit card providers raise the stakes on balance transfers.

"The days of easy credit and companies falling over themselves to allow customers to switch between cards are over. Rate tarts are being forced to raise their game as providers take a tougher line."

Mr Gardner said that, in the current market, it could "make sense" for customers to look for a low-rate long-term balance transfer deal rather than continually switching between products.