Boost The Family Budget When You Work Your Money Harder
CHESTER, England, January 29, 2013 /PRNewswire/ –
- Maximising savings, current account rates and cash back cards combined could add almost GBP900* to your household budget
With petrol prices predicted to rise this week, and energy bills starting to land,
MoneySupermarket.com [http://www.moneysupermarket.com/savings ] shows how households can
give themselves a welcome boost to the household budget by making three simple switches,
according to new analysis. Consumers could earn an additional GBP884* in a year – GBP74
extra a month – by making the three switches across their savings account, current
accounts and credit cards.
Someone with GBP5,000 sitting in a low paying savings account with an average Bank of
England interest rate of 0.26 per cent would only see a return of GBP13 in a year.
However, savers could achieve more than nine times this amount, by simply making the most
of their tax-free allowance in an ISA. Each tax year, savers can put up to GBP5,640 into
cash ISA account and won’t be charged tax on the interest earned. Households could make
their savings work harder by using a top-paying cash ISA with First Trust Bank at 2.5 per
cent, and gain GBP125.
Taking advantage of cashback on offer from current account providers could also earn
households extra money. The Halifax Reward current account pays GBP100 cashback when you
switch and join**, plus GBP5 cashback each month. This simple move would bring in an extra
GBP160 over a year.
Consumers who use their credit card to pay for everyday expenditure and clear the
balance in full each month could boost their money by a staggering 2,300 per cent. By
switching to a market leading cashback card such as the American Express Platinum Cashback
card, which offers five per cent on up to GBP2,500 in the first three months and 1.25 per
cent thereafter, the total interest for a credit card user spending GBP1,000 or more a
month across groceries and petrol in a year would be GBP600.
Kevin Mountford, head of banking atMoneySupermarket.com
[http://www.moneysupermarket.com/current-accounts ], said: “It can be very hard to make
ends meet while the cost of everyday living is still high and the latest suggestion that
the cost of fuel will rise will add further pressure to stretched budgets. Consumers need
to make the most of any available returns they can make to their income, and they can take
action to help boost the family coffers by taking advantage of a range of offers currently
“Using a cash back reward card, a high interest savings account and a market leading
current account is a clever way to make your money do the overtime so you don’t have to.
However, I would advise anyone thinking of doing this to ensure they are aware of the full
terms and conditions of any products they apply for. For example, not paying in the
minimum amount to a current account or making a late or missing a payment on a credit card
balance would lead to interest being charged, effectively cancelling out any cash back
benefit you have earned.”
Notes to Editors:
*MoneySupermarket.com calculated the interest based on the following:
- GBP5,000 in a First Trust Bank Cash ISA 2.5%= GBP125
- American Express Platinum Cashback card over a year [five per cent on up to GBP2,500 in the first three months and 1.25 per cent thereafter when spending GBP1,000]= GBP624.10 - minus GBP25 annual fee = TOTAL GBP599.10
- Extra savings when opening Halifax Reward current account (GBP100 on opening and GBP5 monthly cashback) = GBP160
Total savings: GBP884.10
**Until 3rd March 2013
MoneySupermarket.com compares (at 27th Dec 2012)
- 134 car insurance brands and 97 home insurance brands - 9 broadband providers and 20 energy providers - 31 unsecured loan and 5 secured loan providers - 62 mortgage lenders and 26 credit card providers - 63 savings providers and 38 current account providers. - Over 650,000 mobile phone deals
We help our customers to save money on all of their household bills by providing a
free, easy to use online service so they can compare a wide range of products in one place
and find the product most suited to their needs. Our size means we are able to offer our
customers exclusive, market-leading deals, including some they can’t even get direct from
By having considerable volumes of informed customers actively looking for products and
ready to purchase, we offer our providers an efficient and cost effective customer
acquisition solution across all of our channels. This enables our providers to target
their marketing spend in an effective and completely measurable way.
Our revenue comes predominantly from fees paid to us by product providers when a
customer clicks through to their website and actually applies for or purchases a product.
It is a success based marketing fee.
Our customer commitment
- We make it easy to find the brands you expect to see - We strive to ensure a product cannot be found cheaper by going direct - We let you remain in control of your personal data - We are independent and impartial - We make it easy to switch and save - We strive to always show the most competitive product available
For further information contact: Nicki Parry MoneySupermarket.com +44-(0)1244-370-318 email@example.com