Car Insurance & Credit Cards

My car insurance runs out in april, and I like to pay it all at once, which I could do at a stretch. Question is does anyone think it's a good idea to take out a credit card and then buy it on that and pay the bal off @ 0% for 8-9 months whilst saving the majority in a savings account as a feeder pot?

any suggestions?

TIA
Nothing's free.....but we'll see what we can do!

Comments

  • Reaper
    Reaper Posts: 7,277
    First Anniversary First Post Photogenic
    Forumite
    Yes, if you are disciplined enough not to touch the money set aside. In fact there is no reason to stop there, all your purchases can be on 0% and you can even take cash off 0% credit cards and put it in savings too (read up on the stoozing articles if you want to take it this far).

    One thing to check is that they will accept credit card payment without charging you any extra. If so then get a Sainsburys credit card - it will give you 0% for 12 months on all purchases interest free. If not get an SBT card such as Egg and transfer cash to your bank account and pay it from that.

    Article on best card for purchases here
    Info on how to get money from credit cards here
  • ukric
    ukric Posts: 139 Forumite
    Thanks, already on with the stoozing. I am quite disciplined when it comes to money so I think i should be ok.

    Thanks for the tip about Sainburys and making sure the insurer accepts ccards shall put that one on my to do list. :)
    Nothing's free.....but we'll see what we can do!
  • ukric wrote:
    My car insurance runs out in april, and I like to pay it all at once, which I could do at a stretch. Question is does anyone think it's a good idea to take out a credit card and then buy it on that and pay the bal off @ 0% for 8-9 months whilst saving the majority in a savings account as a feeder pot?

    any suggestions?

    TIA

    Try Egg - they offer £30 off and 0% for 12 months if you buy their insurance and pay with their card. The website will quote you online. They were competitive for us - last year we paid £405, this year with Egg it looks like £330 and spread over a year as well.

    If you're renewing in April you have time to apply for an Egg card if you've not got one. The offer is open to existing customers if you have.
  • I can't afford to pay mine in one go but use this method to pay for my car insurance slowly at a rate of 0%
    2p off is still 2p off!
  • ukric
    ukric Posts: 139 Forumite
    Shame sainsburys offer such a paltry rate of cashback, but i suppose for the purpose it's just an extra.
    Nothing's free.....but we'll see what we can do!
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