These credit cards will destroy your debts

These are the best 0% balance transfer credit cards on the market - use them to destroy your debts!

The end of the year is approaching, Christmas is around the corner, and I don't know about you, but it feels like I'm rapidly running out of cash!

Yes, it's an expensive time of year, so if you've already racked up a stack of debt on your credit card and you're now stuck paying a hefty rate of interest, it's time to do something about it.

The best solution for tackling credit card debt and fighting back against high interest rates is to shift that debt onto a 0% balance transfer credit card. That way, you'll be able to enjoy a period of interest-free payments!

But if you're unsure which credit card to pick, the chart below highlights six of the top 0% balance transfer credit cards available on the market:

The top six

Pick of the best

Here at lovemoney.com HQ we've always been pretty big fans of the Virgin Credit Card - and as you can see it's still the market leader, offering an interest-free period for balance transfers for a fabulous 16 months. So this card will give you plenty of breathing space and time to start tackling your debts without worrying about paying interest.

But what makes this card extra special is the fact it allows 'money transfers', which means you can transfer overdraft and personal loan debts onto the card and these will be included in the 16 month interest-free period. Just be warned that you'll need to pay a transfer fee of 4% for the privilege, compared to the 2.98% fee you'll be charged for standard balance transfers.

You should also note that the Virgin card is part of the MBNA 'family', so if you already have an MBNA card, you won't be able to apply for the Virgin card.

A close second

However, if you can't apply for the Virgin card, don't panic! There are plenty of other options. The Santander Credit Card, for example, offers a 0% balance transfer period for 15 months - just one month less than the Virgin card. So this will still give you plenty of time to tackle your debts. In this case, you'll need to pay a slightly higher balance transfer fee of 3%.

Alternatively, if you already have a current account with NatWest, the Royal Bank of Scotland, or HSBC, you can take advantage of their 0% balance transfer credit card offerings - all of which offer an interest-free period for 15 months and come with a 2.9% balance transfer fee.

A word of caution

It's important not to use your balance transfer credit card for spending. If you do, you could get caught out by a nasty trick called negative payment hierarchy, as my colleague John Fitzsimons explains in this video. This means that any payments you make will be allocated towards your cheapest debts first (such as promotional balance transfers), leaving the most expensive debts until last. (Watch the video for a more in-depth explanation.)

The best way to avoid this is to cut up your balance transfer card before you spend on it! However, if you know you'll need your card for spending, a good option is to choose a credit card that has the same promotional period for balance transfers and purchases. For example, the Sainsbury's Finance MasterCard offers 10 months interest-free on both balance transfers and purchases.

Watch out for a hike in the APR!

When you apply for a balance transfer credit card, make a note of the day the 0% period finishes and the APR jumps up. You'll need to pay off the balance before this date. If you don't, you'll be hit with a hefty interest rate, as the chart above highlights.

If you know you won't be able to pay off your balance within that period, you'll need to transfer it over to another 0% balance transfer credit card. And that will mean paying yet another transfer fee.

A balance transfer for life

Sounds like too much hassle? You may be better off with a lifetime balance transfer card instead. This is particularly a good idea if you have a lot of debt to transfer which is likely to take you a long time to pay off, and you don't fancy the idea of continually switching credit cards .

These nifty pieces of plastic offer you an affordable rate of interest that will last until the entire debt has been paid off. So this means you won't need to worry about shifting your debt to a new credit card as soon as your deal expires - because it simply won't expire until you've paid everything off!

The Barclaycard Platinum Simplicity Credit Card, for example, offers an interest rate of just 6.8% on all balance transfers until paid in full. However, this rate is variable so it could change. On the plus side, you won't have to pay a balance transfer fee!

Just bear in mind that to get this low rate, the maximum amount you can usually transfer to this card is £5,000.

Another option is the Egg Money World MasterCard which offers a fixed interest rate of 8.9% for the life of the balance transfer, and again, there's no balance transfer fee. That said, you will have to pay a monthly fee of £1 for this account. And this card offers lots of great rewards for spending, but as I mentioned earlier, if you're transferring a balance, don't be tempted - cut it up!

So if you're looking for a brand new balance transfer deal, hopefully one of the above options will suit your requirements. And don't forget that if you need help paying off your credit card debts, there's lots more tips and advice available right here at lovemoney.com! First, adopt this goal: Pay off your credit card debts. Next, watch this video: The three worst things you can do with your credit card. Finally, why not have a wander over to Q&A and ask other lovemoney.com members for hints and tips about what worked best for them?

Good luck!

More: The best cards for bad credit records | The rise of the credit card annual fee