Research for the Saga Platinum credit card shows that over the last four years the over 50s have increasingly been using their credit card to buy everyday items.
The over 50s shop around to pick up the best deals and while Tesco is their favourite supermarket, analysis of credit card shopping habits suggests that they seem to share their shopping among the four big players*. On average they spend around £38 every time they use their card in each of Tesco, Sainsbury’s, Morrisons and Asda.
The over 50s are not just using their credit card to buy food. Over the last four years there has been a 6% increase in the number of people using their credit card to buy petrol. One in four fill up at Asda making it the most popular place to buy petrol. On average Saga Platinum credit card customers spend just over £41 each time they visit the pump which is nearly £10 more than four years ago.
By shopping around for the essentials the over 50s are able to splash out on the finer things in life in their favourite department store, John Lewis. On average they spend £125 on their credit cards each time they visit John Lewis which suggests they could be buying more than clothes.
Other popular department stores are House of Fraser and Debenhams where on average they spend between £45 and £66 on each credit card transaction.
Roger Ramsden, Chief Executive, Saga Services commented: “The over 50s have definitely become more comfortable using their credit card, and because they have used their card wisely and shopped around for the best deals they are able to treat themselves.”
Saga customers are showing how savvy they are by using their Saga Platinum credit card for their everyday spending. The Saga Platinum credit card offers one of the best APR rates in the market of just Representative 11.9% APR (variable) on purchases compared with the Post Office credit card who offer Representative 16.9 % APR* (variable) on purchases and the Lloyds TSB Platinum Mastercard who offer Representative 17.9% APR (variable) on purchases. The Saga Platinum credit card offers 0% on purchases and balance transfers for the first 9 months from account opening date.
NOTES TO EDITORS
• *Data is based on customers using their Saga Platinum Credit Card during the 2011/12 financial year.
• **Rates correct as at 23rd June 2011 as of individual company websites
Saga Platinum credit card
• Policyholders must be aged 50 or over
• Saga Visa Card offers 11.9% APR (annual percentage rate)
• 0% Foreign Currency Fees are applied to transactions worldwide*
• 0% on Purchases for the first 9 months*
• 0% on Balance Transfers for the first 9 months (3% fees applies)*
Representative Example: If you had a credit limit on your card of £1,200, you used your full limit to make a single card purchase immediately after receiving your card and you repaid in equal monthly payments over 12 months at an interest rate of 11.3% variable, (Representative 11.9% APR variable), the total amount you will pay back is £1,274.69.
*Introductory Rate charged for the first 9 months on purchases and Balance Transfers from the date the account is opened. At the end of this period the Introductory Rate reverts to the Standard Interest Rate applicable to the product at the time. A Balance Transfer fee of 3% applies.