Savings versus Credit

[fourstardan]

Hi,

I'm planning finances and would like to get some PH validation.

I have a 12 month interest free card with a bit of balance on it.

Is it sensible to put what I'd be using to pay off this card into my ever rising savings account and then use the compounded savings amount to get some "free" money to settle after 12 months in full on the balance?

Is this right and are there any gotchas on this or am I missing something?

[cheesejunkie]

Personal discipline?

If you’ll definitely use it to pay the balance all’s good. That has been the basic principle on zero percent finance since it was first offered. Bank offered rates have not changed that.

IANAFIAETC .

[fourstardan]

cheesejunkie said:

Personal discipline?

If you’ll definitely use it to pay the balance all’s good. That has been the basic principle on zero percent finance since it was first offered. Bank offered rates have not changed that.

IANAFIAETC .

Yes, discipline will be key.

I'm always conscious I have balances to pay.

Other problem is rates go down of course.

Thanks