Pay zero interest on a new TV for the World CupRepay over a year with a 0%-purchases credit card
01 June 2010
With just two weeks to go until the World Cup kickoff, you could save £170 over a year by paying for your new television with a Best Rate 0%-on-purchases credit card.
Spread the cost and pay zero interest for a year
The best 0% deals on purchases offer 12 months interest-free, so long as you make at least the minimum payment each month. Spending £2,000 on a Best Buy Samsung UE55B7020 television would cost you around £170 in interest on an average credit card charging 16.9%, assuming you repaid the balance in 12 monthly payments. The same purchase on a Best Rate 0% purchases card from Barclaycard, Sainsbury’s or Tesco would cost you no interest at all.
Even a cheaper Best Buy television, such as the Panasonic Viera TX-L32X10 costing £385 would cost you around £35 more using an average credit card charging 16.9%, compared with a 0%-on-purchases card, which would cost you no interest at all.
If you repay your credit card bill in full every month
If you pay off your credit card in full every month and therefore don't pay interest anyway, you could be £100 better off using a Best Rate cashback credit card. These cards pay you a percentage of your spending as cash rewards. The most generous cashback deal on the market, from American Express, pays 5% cashback on spending in the first three months, up to a maximum of £100. So the same £2,000 spent on your Amex cashback credit card would earn you £100 in cashback.
Extra section 75 credit card protection
Paying for your new TV with a credit card comes with an extra benefit – items costing over £100 and up to £30,000 come with section 75 protection under the Consumer Credit Act. This means that if there is a problem with your new television set or the retailer goes bust before the TV is delivered, you can put in a claim to your credit card provider. And you get the full section 75 protection even if you only pay a deposit on the card. Plus, section 75 cover doesn’t affect your existing consumer rights, for example under the Sale of Goods Act.
Which? Best Buy credit cards and televisions
If you need advice to help you choose the best credit card for your needs, read the free Which? guide to choosing a credit card.
Once you know the best type of card for you, check out Which? Best Rate credit cards to find the most competitive deal available today, whether it's a cashback card, a card offering 0% on purchases or the longest 0% deal on balance transfers.
And if you need help choosing the best television to watch the World Cup on, check out our reviews of LCD and plasma TVs. Which? has been testing TVs for 50 years - to take a trip down memory lane and find out the Best Buy televisions from 1966's World Cup, Maradona's 'Hand of God' in 1986 and Gazza's tears in 1990, read our news story Which? celebrates 50 years of TV testing.
Which? Money when you need it
You can follow @WhichMoney on Twitter to keep up-to-date with our Best Rates and Recommended Provider product and service reviews.
Sign up for the latest money news, best rates and recommended providers in your newsletter every Friday.
Or for money-saving tips, and news of how what's going on in the world of finance affects you, join Melanie Dowding and James Daley for the Which? Money weekly money podcast
For daily consumer news, subscribe to the Which? news RSS feed here. And to find out how we work for you on money issues, visit our personal finance campaigns pages.