Credit cards with promotional 0% balance transfers allow you to transfer a debt to your credit card and avoid paying interest. Normally the interest free period is around 12 months although competition among credit card issuers means that Virgin Money is now offering a card with 15 months 0% balance transfer.

When making a balance transfer there are three things to be aware of:

1. Never spend and BT on the same card - you will be charged interest on your spend which cannot be repaid until the 0% balance transfer sum is clear. This still applies if there is a (shorter) 0% purchases offer on the card.

2. Be aware of the ‘Handling fee’ which is a percentage of the total balance transferred levied by the issuer. This is added by credit card issuers to discourage ‘rate-tarts’. For larger transfers this can be a significant sum.
3. Pay or transfer your balance again by the end of the 0% period, otherwise you will pay interest at the standard rate - usually around 15% APR. This can easily reduce the money saved in the 0% period.

Follow these rules and you will be able to take a well earned break for paying interest by using balance transfer credit cards such as those on Credit Card Today.co.uk.