New research made by Sainsbury’s Credit Cards reveals that 28% of a total of 8.6 million people who want to get a new credit card, actually apply for getting one just for the prospect of winning loyalty bonuses. This is one of the most influential factors for this year’s British credit card applicants.
The same research shows that only a percentage of 34.4 percent among all UK credit cards deals with loyalty bonuses (but definitely better than last year’s 30.8 percent). Only 14 of them offer cashback (11 per cent of those cards only offer 1 per cent of the sum, maybe even less). Good deals come from Sainsbury’s Nectar Credit Card and the Gold Credit Card. The two offer 2 percent cashback when they intersect with other Nectar cards.
Stuart McKeggie from Sainsbury stated: “We’re encouraged by the sign that more of us are shopping around for a credit card that rewards our custom. But with so many different cards to consider, it’s easy to become overwhelmed. When you’re looking for a card, the most important thing is to choose a card that gives you the maximum benefit for your particular card usage. People are looking to get more from their card nowadays, whether that is through rewards on their shopping or through extra benefits such as travel insurance. Good use of loyalty schemes and card features can help people get a lot more value from their card.”
Among the most influential reasons for people’s inclination to apply for a new credit card is their desire to look for lower rates. Free periods on the purchases they make are also situated quite closely on their wish lists to lower rates.
Moneynet’s Andrew Hagger expressed his idea on the matter: “It’s no surprise to learn that more people want to be rewarded for their spending, as the tough economic conditions endured over the last couple of years have made customers focus on making better use of their financial products.”
Nectar credit cards are really good money keepers. Their fee consists only of £5 per month. It has no balance transfer fees and it is most likely the most preferred of all credit cards.
Britons are still looking for rewards when deciding which card they should choose. Many believe the Brits are swapping credit cards too easily, but their actions are quite understandable given the times. ‘Change’ along with ‘adaptation’ are the best words to describe nowadays shoppers.