End to 0% offers.

According to PricewaterhouseCoopers the practice of offering introductory interest free periods on credit cards will be coming to an end as it costs financial institutions too much.

If you've a strong nerve you can make these things work for you, by running up an interest free debt, and putting the money you would have used to pay it off in an interest bearing savings account. It's been well known for some time that people switch from deal to deal to keep their debt interest free, not all with total control of their spending. PwC has come up with a term for these perpetual deal-switchers: "Rate tarts".

PwC claims that the restrictions in 0% introductory rates would be translated into lower rates for the profitable customers who pay their bills on time. As far as I can make out those of us who do that don't pay any interest if they can help it anyway.

The conclusion of the report is a worrying one: that the growth area for credit cards is with the 8million people who are worst at managing their debt.