Egg Card Offer 14 Month Balance Transfers

We're able to let you know that EggCard is launching a new offer from November: 0% on Balance Transfers for up to 14 months.

Please find the full details below:

PROPOSITION

• Balance Transfers*: 0% until 1 January 2009
• Purchases: 0% until 1 February 2008
• APR: 16.9% APR typical variable
• 0% anniversary offer for up to five months on balance transfers (plus fee**) made in November 2009 and November 2010
• See your various online accounts in one place for free with Egg Money Manager
• Great offers with our selected online retailers

*On all introductory balance transfers there is a 3.0% handling fee.

** On all balance transfers made in anniversary periods there is a 2.5% handling fee.

Barclaycard Breathe Credit Card

We've received notice from our partner networks that Barclays are to replace their charity credit card with a new card entitled the Breathe Card. The Barclaycard newsroom describes this new product as such:

Barclaycard has announced plans to launch the first UK credit card that donates 50 per cent of its profits to give people across the country a greener card option. The Barclaycard Breathe credit card will see Barclaycard:

- Donate 50 per cent of Barclaycard Breathe profits to environmental projects dedicated to reducing carbon emissions around the world.

- Offer cardholders discounts and lower rate borrowing on green products and services.

- Take a greener approach to account management including online statements and recycling of card plastics.

Barclaycard Breathe states that it is donate a minimum of £1 million to environmental projects in its first year. The company will then donate 50 per cent of profits from the card in following years.

Barclaycard Breathe aims to help consumers make greener choices by offering discounts and lower rates on green products, for example energy saving products and greener transport options.

The card itself offers a greener customer experience with no paper statements - though note that the egg card has operated this way for several years. Marketing will be directed online and the cards themselves are made from PETg - a more environmentally friendly alternative to current PVC cards. A recycling scheme for old cards will be available when new cards are issued.

We're expecting to offer the card soon. When it's available you'll find it on our dedicated breathe card page.

Re: Eggcard - Sad News

Further to my last post about the eggcard there has been some sad news.

Richard Duvall, the Egg Bank co-founder and launch director has died at the age 44. Duvall was paid a compliment by Bill Gates, who called him "one of the most dynamic people I have ever met".

Duvall developed the Egg brand and business plan and secured £50m for its launch and helped to turn the public on to internet-only banking.

Duvall subsequently left Egg to set-up a new, money lending exchange business Zopa.

The EggCard Is Showing Cracks

A report over at the BBC informs that internet bank egg is not in the black when it comes to making a profit. Apparently consumers are borrowing less on their credit cards and more people are defaulting on their loans, many by using the ever-more popular IVA (individual voluntary arrangement).

We've promoted the eggcard on cardtart.com for what must be getting on for 3 years now and have enjoyed some success with the product. If my memory serves me well, I seem to recall that egg were one of the first credit card providers to offer 0% balance transfers. Egg were certainly pioneers of online banking - you don't even receive a paper statement in the post, rather you just receive an email informing you that your current statement is now available to view online.

I suspect that reports of a downturn in credit card borrowing will be on the increase. To some degree the market has itself to "blame". Card borrowing exploded when the 0% deals were easily had but now to curb the demand, transfer fees are applied to balance transfers by a majority of the card issuers. Perhaps at some later date the market will relax the criteria again?