Credit card borrowers have been warned to beware of gimmicks after Barclaycard launched a free wine offer.
The plastic card company’s giveaway is aimed at new customers who are accepted for its Platinum 33 and 34 month balance transfer cards. Until 24 October anyone who transfers £2,000 or more to one of the cards will either be sent a case of wine worth around £60 or a £15 gift voucher.
But experts warn that the offer is a gimmick to be avoided. “The balance transfer fee charge would come to at least £55.80, so consumers are definitely not getting something for nothing with the offer,” warned Matt Sanders, Gocompare’s credit card expert.
The 34-month Barclaycard has a variable APR of 18.9 per cent and a transfer fee of 2.99 per cent. The 33-month deal has a smaller balance transfer fee of 2.79 per cent.
“Credit card companies are trying to think outside of the box when it comes to enticing new customers onto their books,” pointed out Mr Sanders.
“The idea of a case of wine will no doubt appeal to some people who are feeling the pinch before Christmas, but it’s important to look beyond introductory offers and consider what’s really important to you in the long term, especially if you may keep the card for the full 33 or 34 months.”
There are many other good deals in the credit card market at the moment. But rather picking one with cashback or ‘free’ wine, it’s essential to decide what you need the credit card for and how long you will take to pay any balance off.
If you can avoid paying on plastic, then whatever you need to buy could work out a lot cheaper.Reuse content