One excellent way of putting money aside for the big day is to set up a prepaid credit card account. For starters, using a prepaid card can work out cheaper than a bank account, because there are no unexpected penalty fees to pay out.

Once money has been put to one side to cover the monthly essentials, such as bills and expenses, the remaining cash can be used to top up a prepaid card account set up especially to help with the wedding. That way the happy couple can be sure that the money they’ll need to help pay for their wedding day is kept completely separate from the cash needed for living costs.

It’s very easy to get carried away with spending on a wedding, so a prepaid credit card may help to keep the big day on budget, because there’s generally no credit involved – it’s the customer’s money that goes onto the card. So there’s a lot less temptation to build up a debt that may take years to pay off –a long time after the honeymoon is over!

Topping up a prepaid card with any spare money is both quick and easy, with several (usually free) ways to get cash onto the card, such as automatically via a Standing Order, by bank transfer and at any UK Post Office^® branch. And getting a prepaid card is just as easy – it takes minutes online to order a card, and as long as the customer is 18 or over and lives in theUK, approval’s guaranteed. Plus the card will be delivered in just 5 working days.

Once the prepaid card account is set up, the customer can add some very useful features, such as free access to cash back programmes that can save a significant amount of money – up to 27%! That’s an especially useful feature for any couple who are planning to set up a home together, or needs to buy things for the wedding, from gifts for the best man to the honeymoon itself.

A select few prepaid cards also offer a feature that’s designed to build or repair the customer’s credit rating. With mortgage approvals still on the low side, signing up for anything that could help lead to cheaper credit in the future is very worthwhile for any couple.

So, all in all, anyone preparing to get married should consider a prepaid credit card a match made in heaven!

Jason Paget is a finance writer who has worked in the industry for over 10 years providing insights on money matters throughout the UK from prepaid cards to house prices.

*Source: http://www.ukweddingbelles.com/weddingmagazine/budgeting/176-wedding-costs-2011

Why do companies offer free gifts?

This is a simple marketing ploy to attract new customers in the hope that they will then build up debt on the card and incur interest and fees, leading to an overall profit for the card provider.

However, there are plenty of opportunities for sensible consumers to benefit from these offers by taking out the card, grabbing the free gift and then cutting up the card to avoid incurring any charges.

How to make the most of reward cards

Many card providers require a minimum spend on the credit card in order to become eligible for the free gift.

Simply spend the minimum required amount on something you would have bought anyway, such as your weekly grocery shop, then when the bill arrives pay off the balance in full and you won’t incur any interest.

Use price comparison websites to find the best free gifts.  New offers are made available on a regular basis so keep checking if there is something in particular that you want.

Avoid making balance transfers or new purchases on your card.  Remember you have been attracted to this card by the free gift on offer, which means it may not offer the cheapest interest rate for spending or transfers.  If you need a card for these purposes, use a price comparison website to find the cheapest rate or the longest 0% introductory interest rate with the smallest balance transfer fee.

Impact on your credit score

Every credit application you make, whether it’s for a credit card, loan or car insurance renewal, impacts your credit score and therefore your ability to take out new credit.

Therefore, don’t take out a credit card for the freebie right before a more important credit application such as car finance or a new mobile phone contract.

Your credit score is impacted by the amount of credit you have, not just the amount if outstanding debt.  So if you’re no longer using a card, contact the provider to cancel it and close the account.

Remember – there are lots of attractive free offers available, but picking a card for the gift, rather than one which best suits your needs could end up being more expensive in the long run.