Sainsbury’s Finance has launched a new promotion which promises to pay customers of its financial products up to five times more Nectar points when they shop in its stores.
Customers taking out one new financial product with Sainsbury’s Finance will receive double Nectar points in-store for two years, while those taking out two products will earn triple points. Taking out three products will earn quadruple points, while customers with four Sainsbury’s Finance products will earn the maximum of five times more points.
Sainsbury’s Best Buys
Sainsbury’s Finance currently offers a variety of financial products which have been named Which? Best Buys, including pet insurance, car insurance for the over-70s and and for those living in a high-risk area. If you’re looking for a credit card with a good 0%-on-purchases deal, the Sainsbury’s card is currently a Best Buy, as are the retailer’s unsecured personal loans and savings account.
If you spend £100 each week on your groceries from Sainsbury’s, holding one new financial product will earn you around 40,000 Nectar points over two years. With four products, you’d earn over 100,000 Nectar points.
Sainsbury’s deal comes with plenty of catches
The new offer from Sainsbury’s Finance comes with a number of conditions that consumers should bear in mind. For example, you will not earn bonus points if:
- You make a claim on your home or pet insurance policy;
- The balance in your Easy Saver savings account drops below £5,000;
- You miss payments on your credit card;
- You reduce your insurance cover. For example, lowering your pet insurance cover from comprehensive to basic;
- You only buy either buildings or contents insurance. These must both be bought to qualify for the extra Nectar points offer; or
- You already hold the relevant financial product with Sainsbury’s Finance – the new offer is only open to new customers.
Other conditions include:
- Nectar points earned through Sainsbury’s Energy do not qualify for extra points;
- There is a monthly maximum of 2,500 Nectar points earned for each financial product held, except for the credit card which has no maximum.
A great way to earn points, if the product itself is competitive
Martyn Saville, Which? senior researcher, commented: ‘If you shop regularly at Sainsbury’s, this could be a great way to earn extra Nectar points. Sainsbury’s Finance is a Which? Best Buy in a host of different categories, so you could get both excellent rates and a welcome fillip with the extra Nectar points.
‘However, the new offer comes with a plethora of terms and conditions which may catch out unsuspecting customers. The most worrying of these is that making a claim on a Sainsbury’s insurance policy cancels the bonus Nectar points deal. Any condition that might put consumers off submitting a valid insurance claim is unfair. The Nectar deal should be fully independent of the claims process.
‘And consumers should still shop around when they’re searching for any new financial product – the lure of extra Nectar points shouldn’t be your only consideration. Extra Nectar points is a bonus, not a core reason to take out a financial product – if you end up paying more interest on your credit card or earning less interest on your savings compared with another Best Buy, the benefit of the extra Nectar points will be wasted.’
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