I've seen a few of these (season ticket loans) offered with decent jobs but have been unable to find out what they are and can be used for when Googling. Any ideas?
Do you know what, I actually don't know! I've seen these with jobs too though. I suspect they are the employer offering interest-free loans for a fixed period, or maybe a loan where you don't have to start repayments for a given amount of time?
Yep, it's a way for people to get an annual travelcard with the company paying up front, then i guess deducting a twelfth off your wages each month...
(e.g. instead of paying £18.50 pre week * 52 = £962 per year for a zone 1, the company pays the £740 up front and you pay them £14.23 per week out of your wages)
I have the option of one. My season ticket (London zones 1-4) costs a bit over £1100, and I used to take the loan because I did not have the cashflow to pay for an annual ticket, but wanted the benefits (better value for money, free built-in Network Railcard etc).
A couple of years ago I saved for the following year's ticket while still paying the instalments on the loan, and bought my next annual ticket outright. But since discovering this website I've decided that this July, when I next renew, I'm going to take the loan again just so as to earn a few quid in interest by having my cash in my account for an extra year!
I take the loan, stick it in high interest savings account, and buy my season ticket on a 0% credit card deal. So the loan remains in my savings account for a whole year!
My company allows you to get a season ticket loan and pay it back over 6 or 10 months. This works out nicely for me as it means for November and December I have an extra 300 a month that can pay for christmas!
Some companies, however, mine included, insist on purchasing the ticket for you so that you cant get a 0% loan from them and then stash it in the bank.
Bank Charges Claimed: 180
Debenhams card: 600 now paid
Littlewoods: 100 now paid
Some companies, however, mine included, insist on purchasing the ticket for you so that you cant get a 0% loan from them and then stash it in the bank.
My company insists that a photocopy of the season ticket is submitted to them within x number of days of the loan being issued. It's the same thing. But you can still gain financially from it by earning interest for the rest of the year on the cash you would have spent on the ticket if the loan was not available.
An ex-colleague got the sack over misappropriation of her season ticket loan - that is, she spent it on something else!
Replies
:beer:
(e.g. instead of paying £18.50 pre week * 52 = £962 per year for a zone 1, the company pays the £740 up front and you pay them £14.23 per week out of your wages)
Thanks!
Some people use them for annual rail tickets and others for car park contracts.
Interest free and pay it back out of your wage each month over 12 months
Ben
& Choo Choo for trains!!
A couple of years ago I saved for the following year's ticket while still paying the instalments on the loan, and bought my next annual ticket outright. But since discovering this website I've decided that this July, when I next renew, I'm going to take the loan again just so as to earn a few quid in interest by having my cash in my account for an extra year!
Some companies, however, mine included, insist on purchasing the ticket for you so that you cant get a 0% loan from them and then stash it in the bank.
Debenhams card: 600 now paid
Littlewoods: 100 now paid
My company insists that a photocopy of the season ticket is submitted to them within x number of days of the loan being issued. It's the same thing. But you can still gain financially from it by earning interest for the rest of the year on the cash you would have spent on the ticket if the loan was not available.
An ex-colleague got the sack over misappropriation of her season ticket loan - that is, she spent it on something else!
Not any more
http://www.inlandrevenue.gov.uk/pdfs/ir176.htm
The new Travel Plan is designed to encourage transport, other than by car, to & from work and for business travel.