Personal finance optimism on the increase

Consumer confidence is on the up, new research shows.

Britons are taking a more positive view towards their personal finances.

Such is the assertion of the Alliance Trust, where its most recent UK Financial Reality Index indicates a score of 97.7 for the nation's money management wellbeing during the fourth-quarter of 2009.

And in statistics which could indicate an increased confidence about using UK accounts and other finance products, this figure is the highest to have been noted by the firm since the second quarter of 2004.

Shona Dobbie, head of the Alliance Trust Research Centre, notes the recent improvements have been largely driven by falls in inflation.

But she points out: "The overall financial situation facing households is still clouded by the uncertain economic outlook and the possibility that unemployment could rise further."

However, it seems many consumers are looking to make a major purchase, with 45 per cent of people questioned by Nationwide viewed January as a good time to buy household appliances.

Those keen on acquiring such goods may want to consider doing so with a credit card that comes with a 0% purchases feature.

By Ashley King