Your Money: FANS PAY A PENALTY

0 Comments | Sunday Mirror, Aug 17, 2008 | by MELANIE WRIGHT

MANCHESTER United are winners on the pitch - but fans using their savings account are on to a loser.

Their 2.15 per cent basic rate is being humbled by Championship side Wolverhampton Wanderers, whose fans enjoy a league-leading 5.25 per cent.

As the Premier League kicks off, many more supporters are likely to sign up for savings accounts or credit cards which pay a percentage of deposits or spending to their favourite team. Britannia Building Society say football fans who have opened soccer- related accounts have helped return almost pounds 4.21 million to their clubs.

But www.moneyfacts.co.uk says the top non-footie instant access account, from Anglo Irish Bank, pays 6.4 per cent gross interest.

And that's nearly three times the rate that some football accounts pay. Analyst Michelle Slade warns: "The interest rates on these accounts are lower than the best internet or telephone accounts."

So fans need to weigh up whether loyalty to their team is more important than the best rate.

On the other hand, most do pay a rate as good or better than branch-based accounts - and there are other benefits.

They often offer perks such as discounts on club purchases, prize draws, free ground tours and match tickets. And, like win-bonuses for the soccer stars, the accounts pay accountholders more if their club is on a winning streak.

Manchester United fans, for example, will get one per cent more interest in August and September to celebrate qualifying for the Champions League.

Our table above shows some of the football accounts available. The top rate is from Birmingham Midshires' Wolves Gold account for Wolverhampton Wanderers fans, with 5.25 per cent gross interest a year.

Other rates are much lower. The Britannia operate the Manchester United savings account, along with accounts for fans of 12 other clubs, including Everton, Liverpool, Arsenal and Chelsea.

They pay 2.15 per cent gross interest on a minimum of pounds 100, rising to 2.35 per cent on balances between pounds 1,000 and pounds 4,999 and 3.35 per cent on pounds 5,000 or more.

Younger fans do much better with interest than older ones when it comes to soccer savings accounts. For Arsenal fans there is the Junior Gunners account, for supporters up to the age of 18, which offers 4.75 per cent gross interest.

The account offers the same perks as the adult savings account, including a club colours passbook.

All junior football accounts run by Britannia pay the same rate of interest and can be opened with a minimum of pounds 1.

For spending rather than borrowing, if you want a football credit card there are some good deals available.

The Barclaycard Football Mastercard offers zero per cent interest when a season ticket is purchased on the card.

Supporters can also benefit from a zero per cent balance transfer deal for 12 months, with a rate of 14.9 per cent on purchases.

MBNA also offer football-linked credit cards. Cardholders can earn points based on their spending which can be redeemed against club offers, including club subscriptions, signed memorabilia, merchandise and access to club training sessions.

The football club the card is linked to receives a contribution every time the card is used.

The cards typically offer zero per cent for three months on purchases and zero per cent for 12 months on balance transfers.

After the introductory period, the rate on purchases changes to 15.9 per cent.

SOCCER SAVINGS ACCOUNTS

Provider/ Account Gross Rate % Affinity scheme

Britannia for 13 clubs inc. Man United, Arsenal and Chelsea 2.15* Pays annual bonus based on balances to aid clubs

Birmingham Midshires Wolves Gold 5.25 0.50% paid to Wolves Wanderers FC

Derbyshire BS Ramsaver 4.45 Up to 1% paid to Derby County FC monthly

Yorkshire BS Yorkshire Terriers 3.65 1% paid to Huddersfield Town FC annually

Derbyshire BS The Spireites Savings 3.5 Card for Chesterfield Town FC monthly

Derbyshire BS The Owls Savings 3.5 Up to 1% paid to Sheff Wed FC monthly

* To 3.4% depending on balance SOURCE: Moneyfacts.co.uk