Your file will also show if an application is refused. Each time you make an application it’s recorded on your credit file. If you’ve applied for credit cards beforeĪpplying for too many cards or regularly switching cards can affect your credit rating. Don’t forget to make sure you can afford a regular repayment.įor more information about how to choose credit, see Getting the best credit deal. In this case, you may want to choose a card with a lower interest rate. If you want to use the card for borrowing and you won’t be paying off the balance each month, you will usually have to pay interest. Even if you think you will be able to pay the balance in full each time, it’s worth planning what you’ll do if you can’t. In this case, the interest rate may not be so important but you may want to look at cards with other incentives like cash back. If you can pay the balance off in full and on time each month, you can take advantage of the interest free period. However you choose to use your card, the key thing is whether you will be paying off what you owe every month or spreading repayments over a period. This could be to buy things on line or on holiday, to pay your bills or to spread the cost of a purchase. Start by thinking about what you want to use the credit card for. There are hundreds of credit cards available, so shop around to get the one that suits you best. It tells you what happens when you apply for a credit card and what you can do if your application is refused. You also need to manage any other credit products you have, such as loans and other credit cards well.This page tells you what to look out for when choosing a credit card including comparing cards. Section 75 protection is only available if you make the purchase with your credit card (not all purchases are eligible for this protection)įoundation Credit Limit Increases: You will be considered for regular credit limit increases if you stay within your credit limit, make your minimum payments on time and manage your account well. You won't be able to transfer a balance between Tesco Bank Credit Cardsįor money transfers: purchases made using money that has been transferred will not benefit from protection under Section 75 of the Consumer Credit Act 1974. You can transfer up to 95% of your available credit limit. If you have 0% interest periods, your introductory rates will be withdrawn if we don’t receive your minimum payment on time and in full If you have 0% interest rates, these apply from the day you opened your account There are some credit cards that are specially designed to reward travellers. These are typically suited to people who will use their card often and pay off the balance in full each month.ĭo you want a card to go travelling with? Some credit cards offer rewards on your spending. If you have a one off or big purchase in mind, a 0% purchase card could give you an interest free period to help you spread the cost.ĭo you want to get rewarded for your purchases? How much money you can spend depends on the limit set by the provider and the type of card you have.Ī balance transfer card can be used as a way to consolidate debts and simplify paying them back.ĭo you want to improve your low credit score?Ĭredit building credit cards, also called foundation cards, let you borrow smaller amounts of money whilst helping you build a credit score. A credit card lets you spend money up front, with the agreement that you’ll pay it back later along with some interest.
0 Comments
Leave a Reply. |