What happens when the 0% interest period ends?

How can I plan to pay off a big purchase using a 0% card before standard rates kick in?

Using a 0% interest credit card can be a useful way to spread the cost of a large purchase.

But promotional rates are temporary and interest reverts to the lender’s standard rate after that. Here are some steps to help you plan effectively for clearing your balance before this happens:

1. Work out what to pay each month Add up your total balance (including any transfer fee) and divide it by the number of months left in your 0% period. This gives you the amount you’ll need to pay monthly to clear the balance before interest applies, if you want to spread the cost evenly over the promo period.

2. Track your progress Sign up for online banking and download your lender’s app. This can help you stay in control and be confident that your balance is going down as planned.

3. Avoid new debt Try not to spend any more on the card or this will bump your balance back up. If spending is unavoidable, go back to step one and recalculate your monthly payments based on the new balance.

What if I can’t clear my balance in time?

If your credit card still has a balance after the promotional period ends, you’ll have a few paths to take:

• See if you can transfer your balance to another 0% interest deal, which usually comes with a transfer fee of around 2-4% 

• Look into other credit options such as a personal loan, which involves fixed payments over a set time. While you’ll pay interest, it’s often less than a standard credit card rate 

• Continue to pay the balance on your existing card at the higher rate of interest. Costs can mount quickly, so you’ll want to do this as soon as possible. 

You can see whether you're eligible for a balance transfer card here:

Find a card

Compare the Market Limited acts as a credit broker, not a lender. To apply you must be a UK resident and aged 18 or over. Credit is subject to status and eligibility.

What do I do if I can’t find another card due to poor credit?

If your credit situation stops you from qualifying for another credit card and you’re facing the end of your existing 0% deal, consider the following:

Increase your repayments

Look at your budget and work out if you can put more funds towards clearing your balance.

Cancel subscriptions you no longer need and compare quotes when renewing your bills to see if you could save by switching providers.

See if you can pay off the debt with a bad credit loan

Although you’ll still pay interest on a loan, this may be a lower amount than a standard credit card rate.

You can use an eligibility checker to see which loans you’re most likely to be accepted for without harming your score.

Speak to your card provider about hardship options

It may offer arrangements such as a payment holiday or an agreement to pay off your outstanding balance.

What our expert says...

"When a 0% period ends, the real cost of carrying a balance can change very quickly, especially if the standard rate is a high APR. That’s why these deals tend to work best when they’re treated as a time-limited window to clear as much debt as possible, rather than extra room to delay repayments. Keeping track of the end date and reviewing the balance early can make that shift feel more manageable."

Sajni Shah, Personal finance expert

How does credit card interest work when the introductory 0% APR is over?

Once your 0% interest offer ends, your credit card moves to the lender’s standard rate. You can find this rate (also known as the revert rate) on your credit card statement.

The exact rate varies between lenders but can be around 35% APR on average. APR is the annual cost of borrowing, including interest and any other standard fees and charges.

Here’s how credit card interest works:

1. Your lender uses your card’s APR to work out a daily rate 

2. This daily interest is applied to your outstanding balance 

3. The total interest is added up monthly and applied to your next statement, along with any fees, giving you your new balance