Buying a car and stoozing the cash

rickdews

Over the last few months I've saved a cash lump sum to buy a car. However, I plan to buy the motor with a zero per cent credit card and either save or invest the cash for a year or two. My concern is whether to put the money into a savings account or to put into the market through a fund supermarket. But is this too risky? Are there any mediums between the two where I could make a better return on the money than with a savings account?

I also have the dilemma of whether to buy a cheaper car or a more expensive car with the the full cash amount. Any ideas?

Tixy

Where will you be buying the car from? Many car dealers charge a fee to pay by credit card, which might cancel out interest you would make from stoozing. So I would check that out before you decide.

rickdews

I'll probably buy from a trader. One garage I went to said there's a £40 charge to pay by credit card.

izools

You aren't likely to get more than 12 months interest free on purchases with any card.

Tesco card for example offers this. You can expect around a 4% return on your investment via risk free term bonds or the like so as long as the #40 fee works out to less than 4% of the amount saved for 12 months you'll end up in profit.

Happy times

PNPSUKNET

A lot look at this one, been blunt it never works as the fees outway the savings. Where you been izools?

izools

PNPSUKNET wrote: »

A lot look at this one, been blunt it never works as the fees outway the savings. Where you been izools?

I decided to take some time off after the biblical multi-page row with *ahem* on the Sub Prime Thread.

Cooled off now :beer: