Commuters struggling to keep up with ‘hike in train tickets prices’ encouraged to consider interest-free credit cards to help with costs.
Train ticket prices have soared by 17 per cent on average over the past five years and travelers are facing more hikes this week.
As prices for seasonal rail tickets significantly increase, commuters are being urged to look at alternative ways to cover the new costs. It has been reported that as many as one in three people using trains to reach the workplace, have taken advantage of interest-free credit cards as a way to spread payments.
Credit card companies are capitalising on the new development, encouraging commuters to take advantage of interest-free offers. Fare increases, which are Government regulated, will increase by 1.9 per cent in 2017 and this will include the majority of commuter tickets, with off-peak tickets having the potential to also rise (at the discretion of train companies). Companies that are cashing in include Sainsbury’s Bank, who has incorporated an online calculator for consumers – showing the actual increase in workers’ fares. It is being suggested to consumers that purchasing their season ticket using an interest-free card option is the way ahead.
Sainsbury’s Bank offer a card that does not charge any interest for 29 months (on purchases), after which the interest rate increases to 18.9 per cent.
It is important for borrowers to continually clear the debt balance over the following months, to avoid being left with excessive credit card debt.
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