Banks are still prepared to compete for new customers on the basis of a 0% introductory offer – there are almost 50 cards offering 0% on balance transfers but balance transfers fees are designed to put off rate tarts so it is becoming more difficult to beat the system. There are still some card issuers who do not charge a balance transfer fee such as the Post Office but typically the duration of the 0% introductory offer is shorter than those cards that do charge balance transfer fees.

I have been looking at how you can transfer money from a 0% credit card in to a high interest savings account in order to save the interest accumulated.

However, it appears that all credit card companies seem to charge a handling fee of 2.5%. So it seems to me that over the course of 6/9/12 months the interest you make on the money you have borrowed/transferred is not aneough to cover the handling fee and so you sometimes end up in negative.

Am I understanding this correctly? Have banks got wise to rate tarts and now slapping on handling fees to stop people moving money around and creaming off the interest?