Comparing Credit Cards in the UK
A credit card is simply a way that you can borrow money. Credit cards are similar to debit cards, and you can use them in making purchases online. The major difference between the two is that when you are buying with your credit cards, you are actually borrowing money from the credit card operator. In this article, we will compare different credit cards in the UK.
What to Consider When Choosing a Credit Card
While it can be tempting to go for a cheap credit card, it is often better if you first consider what you want to use the credit card for. This is because every credit card offers different benefits. Some are good to use when it comes to making huge purchases, while others give you reward points every time you use the card.
If you plan to carry a balance as a result of big purchases, then the best option is to go for a credit card with a low APR (annual percentage rate). You should also review all the terms and fees associated with a credit card before choosing it. This way, you will be able to know which rewards are right for you to claim.
Different Types of Credit Cards in the UK
There are different types of credit cards that you can use in the UK. A balance transfer card allows you to consolidate your debt and reduce the interest rates on them. An example of such is the Barclaycard Platinum Card, which offers a 0% interest rate for 18 months and a variable APR of 20.9%. This card can also be used to handle other credit needs.
A cashback card allows you to get rewards that can help you reduce your monthly bills. Virgin Money, for instance, offers cashback on purchases made from retailers listed on their website. If you’re a student, using a student credit card can help you build your credit. You can check out Santander’s student credit account, which gives an interest-free overdraft of £1,500 in the first three years.