In debt? Then this should be of interest...
The interest-free periods being offered on credit cards are expected to get longer in early 2022, according to a survey of banks and building societies.
Long zero-interest periods could be useful for those trying to juggle their finances as living costs increase.
The Bank of England asked lenders between November 22 and December 10 last year about their expectations up to the end of February 2022. The latest survey was carried out before the Bank announced a 0.15% increase to the base rate, taking it to 0.25%, in December.
Lenders said the length of interest-free periods on credit cards for both balance transfers and purchases is expected to increase. They also expect demand for credit card borrowing to increase in the next few months, according to the Bank’s Credit Conditions Survey.
Research from Moneyfacts.co. uk found that improvements to introductory credit card offers mean people can get balance transfer deals lasting 35 months and introductory purchase deals lasting as long as 24 months.