Every major bank and building society is vying for your custom when it comes to credit cards, savings and current accounts . Deals are getting better and now is the time for householders to become winners in the personal finance stakes.
Rob Kenley, head of credit cards at moneysupermarket.com, said, "Using a credit card with a zero per cent purchase offer and investing the equivalent amount of money in a savings or current account is an extreme case of banks paying us for our business . The process of getting your hands on some of that £7.2 billion is simple.
"The average UK household spends £5,790 per quarter on goods and services, such as transport, recreation, culture, food, drink and clothing . My advice is to spend £1,930 for three months on goods and services with your card; invest £1,930 in a savings or current account at the end of each of those three months; always pay the minimum monthly balance; and clear the card balance at the end of the offer.
"In the case of a household with a 12-month card with a three per cent minimum monthly repayment and a savings account paying 6.3 per cent, you will make a £280 profit . If the UK's 25.7 million households were smart enough to do this, we would have an extra £7.2 billion to spend thanks to changing our spending habits for only three months."
The best credit card deals available at the moment are zero per cent interest credit cards. The reason is because the interest-free period is much longer, 12 months or more. There are four providers who offer this, whereas a year ago it was only six months.
News Side
Savvy credit card spending can have real benefits
Mon, 24 Sep 2007
Recommended links
Find and compare competitive credit card dealsChoose from today's top credit card providers
Credit card search tool
Find the best 0% credit card deals
Credit card tips
Best way to pay off monthly balance
Record debt and credit card spending reported
Credit cards different for all users, expert says
news content
Search
