M&S boosts 0% periods on credit card
Longer 0% offers on both purchases and balance transfers.
M&S Bank has increased the 0% periods on the M&S credit card.
The card now comes with 19 months interest-free on purchases, up from 15 months, plus 15 months 0% on balance transfers, up from 12 months. There's a 2.9% fee if you transfer a balance.
The loyalty points on offer with the M&S credit card remain the same. You can earn one point for every £1 spent at M&S or one point for every £2 spent elsewhere.
But the representative APR has shifted, from 16.9% to 18.9%, meaning it’s more expensive for cardholders once the 0% introductory offers end should you fail to clear your balance.
That said the APR is still competitive and is now in line with the average other credit card providers are charging already.
How it compares
The 0% changes have vastly improved the position of the M&S credit card when it comes to the top 0% purchase cards.
M&S now joins Tesco Bank, Lloyds, Bank of Scotland, Clydesdale Bank, and Yorkshire Bank in offering the second longest lasting deal on the market.
The Halifax credit card offers the market leading 0% period on purchases, giving cardholders 20 months to spend without attracting any interest.
The cards are closely matched on 0% purchases but when considering the 0% balance transfers also available, the M&S card really stands out from the crowd.
The table below sets out how the leading 0% purchase cards stack up along with their 0% balance transfer offers.
|
Credit card |
0% purchases |
0% balance transfers |
Balance transfer fee |
Cost of transferring £2,000 |
Other perks |
APR |
|
Halifax Credit Card |
20 months |
6 months |
1% |
£20 |
- |
18.9% |
|
19 months |
15 months |
2.9% |
£58 |
Loyalty points on M&S Reward scheme |
18.9% |
|
|
19 months |
12 months |
3% |
£60 |
- |
18.9% |
|
|
19 months |
12 months |
3% |
£60 |
- |
18.9% |
|
|
Lloyds 19-Month Platinum Purchase Credit Card |
19 months |
6 months |
1% |
£20 |
- |
18.9% |
|
Bank of Scotland 19-Month Purchase Card |
19 months |
6 months |
1% |
£20 |
- |
18.9% |
|
19 months |
3 months |
2.9% |
£58 |
Loyalty points for Clubcard scheme |
18.9% |
So even though the Halifax card offers a month longer on interest-free purchases the M&S credit card offers a better combined deal for those that also need to take care of existing debt with a 0% balance transfer, with 15 months to freeze it. Even if you don't need a balance transfer, there's the added bonus of loyalty points.
Clydesdale Bank and Yorkshire Bank also stand out in this respect offering 12 months 0% on balnce transfers as well as 19 months 0% on purchases.
If you can live with a month shorter 0% purchase period, the Santander 123 credit card offers up to 3% cashback on selected purchases, although it does come with a £24 annual fee. Its representative APR is 16.5%.
Compare 0% purchase credit cards
If you need more time on balance transfers
If you’re more concerned with clearing your debt than spending any more and have a lot to shift, a longer lasting balance transfer is probably more useful than the best 0% purchase card and their associated balance transfer offer.
Currently the best card on the market is the Barclaycard 34-Month Platinum Visa, which gives you nearly three years to clear your debt.
It comes with a transfer fee of 2.99% but for one month less you can get the Barclaycard 33-Month Platinum Visa and pay a fee of just 2.79%.
Both cards also come with nine months interest-free on purchases if you do end up spending.
More on banking and borrowing:
Lloyds Bank launches new credit builder card
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