As Virgin Money readies itself to switch to a positive payment hierarchy from September, the provider is further improving its credit card range to enable customers to pay off their most expensive debt first.
As a result of this change, repayments will be allocated to clearing debt charged at the highest interest rate before debts at lower rates.
According to the credit card provider, this means the vast majority of customers who do not pay off their balance in full each month will pay less interest.
Virgin estimates that the change should save around £70 annually for customers transferring a £3,000 balance to a Virgin Money card at a zero per cent promotional rate and then spending £1,000 at higher standard rate on the card over a year.
Grant Bather, spokesman at Virgin Money, observed: "Changing the order of payments is the next logical step in the enhancement of our credit card range.
"Our aim is to make everyone who is a Virgin Money credit card customer better off and we hope this change goes some way to achieving that."
Founded in March 1995, Virgin Money is a UK-based financial services company owned by the Virgin Group, which was created by Sir Richard Branson.
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Virgin Money improves credit card range
Thu, 01 Jul 2010
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