People are changing the way they use their credit cards. Previously considered a way of tiding you over from month to the next and enabling people to buy now and pay a little later. However times have changed and people are looking for ways to borrow cheaply over the longer term. Traditional loans which would used to fill this space, no longer do so due to their high interest rates. Credit cards on the other hand have been offering very low rates in recent months which are enticing people to use them as a longer term loan option.

A competitive market in the credit card sector has meant that companies are enticing new customers with zero interest deals which can last as long as a year. Consumers have been snapping these deals up with 35 percent of new credit cards being used for borrowing which extends over the zero interest periods. While this may provide a solution in the shorter term, borrowing large amounts of money over the longer term on a credit card can work out very expensive. But as long as you change deals when the zero interest rate runs out, you could still stand to save money.