Confused.com’s Credit Card Spotlight
By Stephen Jones
In the second edition of our ongoing Credit Card Spotlight series we look at the latest goings-on in the world of plastic. This time we have some of the top cards to take on your travels, a warning on late payment charges and our featured credit card of the month – plus a handy new step-by-step guide to choosing the right card.
Heading abroad?
If you’re going overseas this summer, you’ll probably want to think about the cheapest way of spending. Here are three credit cards that you could consider:
- The Halifax Rewards Clarity MasterCard offers zero per cent foreign loading for use abroad. With zero per cent on cash withdrawals, it works out cheaper than most debit cards for taking money out overseas, and charges 12.9 per cent typical APR. There’s also the added bonus of £5 cash back if you apply and spend £300 or more per month.
- The Post Office Credit Card is another option with no extra overseas fees. With this you’ll get a 2.5 per cent (minimum £3) charge on cash withdrawals and an APR of 16.9 per cent typical. Just follow the link above to find out more and apply.
- Nationwide’s Gold card similarly has no commission for use abroad, as well as zero per cent on all new purchases for three months and zero per cent on balance transfers for 15 months.
- For more options, compare credit cards with us and see what’s available.
If you want to work out whether you’re likely to be eligible, try our free credit profiling tool. It will tell you your chances of being accepted for any given card without leaving a damaging credit footprint on your file.
Don’t get caught by late payment charges
Have you ever been hit with a late payment charge? According to our very own research, UK consumers are wasting £150 million a year on late payment charges, with 26 per cent having paid up in the last year – don’t let yourself be one of them.
Shockingly, around 57.5 per cent of credit card customers don’t have a direct debit set up to make the minimum payment on their credit card each month. This is by the far the easiest way of ensuring you don’t miss the payment deadline, and means you won’t be forced to pay any nasty fees or see a potentially harmful mark on your credit file.
Alex Higgs, commercial analyst at Confused.com, said: “As well as late payment charges, many credit card holders are likely to have lost out on attractive introductory deals or low interest rate offers.” These deals are often withdrawn if minimum payments aren’t met, meaning that consumers are then pushed on to far less attractive rates.
So, if you want to take advantage of some of the best credit card offers, just make sure you set up that direct debit – it’s the simplest way of making sure you never have to miss a payment again.
This month’s featured card...
Last month we talked about the rise of reward cards, and one that really caught our attention since then is the Platinum Cashback Reward Credit Card from American Express. Offering 5 per cent cashback in the first three months up to a sum of £100 and up to 1.25 per cent on unlimited spending after that, it also has a typical APR of 19.9 per cent variable.
There’s no annual fee, 24-hour customer service and with additional benefits such as purchase protection (up to £20,000) and refund protection (up to £200), it’s a useful package for those looking for a spending card. If that sounds like what you’re after, just follow the link for full terms and conditions and to apply today.
How do I find the right credit card for me?
Confused about which, if any, card is right for you? Why not take a look at our brand new and easy-to-use credit card decision tree to help you work out which best suit your needs.