Vehicle sale decreases could mean more savers

Credit card holders may be intrigued to see that vehicle sales had decreased in January 2010 compared to December 2009.

Australian credit card holders may be interested to see figures showing that vehicle sales had decreased in January 2010 compared to December 2009.

But motor sales still increased by 11.6 per cent in January this year, compared to the same month last year, according to data from the Federal Chamber of Automotive Industries (FCAI).

FCAI chief executive Andrew McKellar said new car purchasers had effectively been given a tax cut and many prices had been reduced, which could alert savings account holders who have money saved up for a rainy day.

He added: "New car affordability is better than ever and has been further enhanced by the tariff cut on many imported vehicles."

In addition, he believes that private buyers will return to the car buying market this year, which could interest people looking for cheap credit card deals.

However, last month credit reporters Dun and Bradstreet found that nearly half of Australians will use credit cards to pay bills this quarter.

By James Leyfield