Millions planning to transfer balances
More than three million consumers plan to begin the year by transferring their outstanding credit card balances to new cards, according to the results of a survey.
Research commissioned by Abbey discovered that seven per cent of the UK's cardholders intend to take advantage of balance transfer deals in the first quarter of 2008, which could mean that almost £9 billion of debt is moved between cards.
Roger Lovering of Abbey Credit Cards said he was pleased to see so many people making an effort to bring their finances under control.
He added: "January credit card bills can often catch people by surprise, so we would encourage people to … plan ahead to ensure they aren't paying over the odds for their plastic."
A recent report by price comparison service uSwitch.com suggested that many people who hope to obtain a zero per cent balance transfer deal may end up disappointed, as most lenders have tightened their lending criteria.
It recommended that anyone who finds themselves unable to find a low-interest credit card deal should consider transferring their outstanding balances to a debt consolidation loan.
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