Recent research suggests that over 60 percent of individuals who obtained one of the 0 balance transfer credit cards out there to help with their credit card debt ended up spending on it and running up large interest bills. Many of these people have admitted to spending on the cards they obtained to take advantage of the 0% on the transfer and on doing so end up paying interest at a much higher rate. What is even more alarming is that when asked a third of these people never intended to buy anything with the card in the first place they just got it to transfer the balnce of a previous card.

In nearly all cases with 0 balance transfer credit cards the repayments made on them are used to service the cheapest debt initially and that causes the interest to build much higher than the customer realises. Basically the credit card company will pay down the low-rate debt from the original balance transfer and after that is completed then look at any additional debt.

Trying to change ones spending habits for the most part is a difficult thing to do, sometimes when personal finances are tight, over-borrowing can be a hard temptation to resist. If it is handled properly moving credit card debt on to these 0 balance transfer credit cards can be a very wise move and a very useful tool.As a lot of people do find a struggle, changing old habits of spending can be very hard. It is very important that you manage your money properly when you have a 0% rate. The temptation can be to use your older card or much worse start making purchases with the new one and leave you spiralling in debt.

In the UK from the beginning of 2011, customers repayments have to go toward the most expensive debt first, but until then many credit card companies will be continue to make more money through interest charges buy paying down the cheaper debt first.

Lots of people are continuing to make this mistake of spending on a credit card that should only be used for a balance transfer despite the huge publicity surrounding the issue. The problem can also be compounded by some of these cards being touted as zero percent of purchases as well as balance transfers, albeit on a much shorter term deal for most cards. When this term ends the high interest debt is subsequently blocked in until the 0% transfer balance has gone pushing the debt up even further. The simplest way to steer clear of this gaffe would be to use a different card for purchases and another for a balance transfer. These days, where credit has been much harder to obtain this is not always easy to do. Just try to stay disciplined and to keep within your limits and you can benefit from 0 balance transfer credit cards.