Where the smart money goes

Householders prepared to research their best options could use a series of credit cards to save money over using a personal loan, website everyinvestor.co.uk has calculated.

Despite balance transfer fees, the long zero per cent options on credit card balances can still save people money over a fixed rate personal loan.

"Lenders have raised personal loan rates sharply in the past six months, making most loans significantly more expensive," says Chris Gilchrist, the website editor.

"But credit card companies continue to offer lengthy zero per cent balance transfers, and even though you may pay balance transfer fees, this still works out well below the interest you would pay with a personal loan."

January 31^st 2008

• Slowing down in mortgage market
• Homeowners urged to check utility bills
• Credit crunch worries begin to bite
• Save toward your home insurance, cut up your store cards
• Festive hangover lasts until next Christmas
• Borrowing regarded as a normal part of lifestyle
• The bank of Mum