ThinkingMoney Claims New MBNA Ireland Credit Card Will Sink Competitor's Pricey Offerings

    MANCHESTER, ENGLAND, April 30, 2010 /24-7PressRelease/ -- Commonplace just a few years ago, zero percent credit card deals were the staple diet of the financial consumer. Almost every lender had a deal going and it was just a case of finding the one that offered the longest interest-free period. The boom in easy, cheap credit even gave rise to a new financial attitude, the credit card floozy, with people switching their debts between providers as soon as 0% periods ran out.

Now though, http://www.ThinkingMoney.org reports, the marketplace is very different, with card interest rates averaging 18.6%, lenders charging more fees and credit hard to come by. It is this backdrop that makes the new MBNA Ireland low APR credit card offering even more of a noteworthy event and indeed, a rare occurrence. It's been a while now since most lenders ditched 0% deals as credit dried up and consumers had fewer choices.

As well as fewer options for borrowers, credit providers also faced a restraint on the amount they could borrow, meaning less was available and demand out-stripped supply. Add to this the reduction in profits from lending and the removal of revenue streams such as payment protection insurance, and credit has become a truly endangered species.

The new card from http://www.mbna.ie takes us back to the glory days of cheap credit, only now it's also responsible credit as well. The Bank of America subsidiary has over 7 million customers across Europe and has been praised for its 'smarter lending' policies. This was no greater illustrated than with the removal of unsolicited credit card cheques before any other lender and even before they were banned by financial authorities.

So then, those seeking credit in the Republic of Ireland now have a chance to obtain the funds they need without obscene amounts of money being charged in interest. Those who will really benefit from the new MBNA Ireland product are those borrowers who have been stuck with an uncompetitive interest rate and outstanding debt. Many were caught with large outstanding balances as the good times ended and the downturn hit. 0% deals dried up and they were left with an average yearly increase in interest rate of 6%. For these individuals, the arrival of the 0% card will be a financial relief.

The latest card from the MBNA Ireland stable is without doubt a unique proposition in a marketplace where credit is a prized item. The question is: will it be the first of a new wave of zero percent deals and if so, who will be next? That situation is doubtful and as long as MBNA Ireland offer the 0% card, every other provider may just see cardholder numbers dropping as 'flooziness' sees a resurgence.

For more information visit http://www.MBNA.ie or contact http://www.thinkingmoney.org.

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