Can addition cards save money?

happywriter

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Apr 25, 2009
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I have been told by a financial advisor that carefully selecting and using credit cards can be a method of 'saving money' - by delaying payments by the agreed time limits, then paying without interest charges.
I would like some other inputs and feedback on that idea.
 

Tony

What Consumer Founder
Apr 7, 2008
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Do you mean cashback and loyaly cards? Yes, I use Tesco and get .5 p in the pound which is worth 2p in clubcard vouchers. As I do most of my shopping at Tesco that gives an additional 1p per pound - so 6% back in vouchers to spend in restaurants, on holidays, attractions etc.
 

happywriter

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Apr 25, 2009
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Tesco, Sainsbury, etc. all save money - if used well.
I am talking about the various credit and debit cards which most financial concerns and banks want to sign up their clients to. Are there practical ways to delay spending money, therefore gaining interest which would otherwise be immediately deducted.
The classic theory may be a series of direct debits :- the Barclaycard gets paid by the Lloyds debits, which then get paid by the Tesco credit card etc. All are paid off inside their limits for commencement of charging interest.
 

Tony

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Apr 7, 2008
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Um, most cerdit cards give you up to 4 to 6 weeks interest free as long as you pay them off in full. A few years ago you could do balance transfers between Credit Cards for free, but now they charge you for this, so it is not possible. Cahoot and Smile used to give you an interest free £250 overdraft - not now : ) Cahoot is now £100 and smile is free but not interest free.
 

happywriter

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Apr 25, 2009
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It is possible to use a Barclaycard to pay off a debt - at no interest if the Barclaycard is paid within the time limit. Some other cards, e.g. Mastercard, are similar.
The concept works of gaining a bit of 'interest free time' on cards and accounts, providing great attention is made to ensure the outstanding amounts are paid before the interest earning time starts. With enough debt and enough accounts it can earn money - without the essential care and attention it would be a disaster!
 

Tony

What Consumer Founder
Apr 7, 2008
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If you withdraw money from a cash machine it is a cash advance, if you use a credit card cheque it is a cash advance, if you do a balance transfer you pay a fee. On cash advances you pay interest immediately - it can't be done

Tony