The best way to pay for a night out
One easy way to cut the cost of a night out is to pay for it in the cheapest way.
And that means using the right type of plastic.
Hold on... surely getting into debt for a night out is a bad idea?
Well, yes, it is. But you don't have to get into debt to spend on plastic. Even if you pay off your bill in full each month, many cards will reward you for spending.
For example, if you know you can cover the cost of the night out in full, use a cashback credit card wherever possible. This will ensure you get cashback on all the purchases you make. It's like getting a discount on the entry fee or restaurant bill - wherever you go!
However, it really is only worth doing if you can afford to pay off your credit card bill as soon as it hits your doormat. Otherwise, the amount you will pay in interest will far outweigh the cashback you've earned.
The other reason it pays to pay with plastic is that, if you pay for something that costs more than £100 on your credit card, you have the protection of Section 75 of the Consumer Credit Act (1974). So if the service you received was not what you expected, you could have recourse for compensation from your credit card company. Find out more
On the other hand, if you're not paying off your bill in full every month, and you're determined to go out and spend (instead of sensibly staying in and saving up, as you know you should), then the best type of card to use is a 0% on purchases card. This will allow you spread your payments over several months without incurring a penny in interest charges.
Whatever you do, don't be tempted to withdraw cash on your credit card to pay for stuff. If you do so, you will usually get hit with ATM charges and a cash withdrawal interest rate, which is typically much higher than the standard interest rate on the card.
If you really can't manage to take cash out with your debit card, then that is often a sign you have a serious debt problem that is growing out of hand. The truth is, you probably can't afford to go out, and you know it. Instead of burying your head in the sand (or the nearest pub), have a read of our Destroy your debt goal.
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