Credit cards Updated:
The credit card market has changed significantly in recent years, with consumers now able to earn rewards, get cash back and pay 0% on purchases from their plastic friends.
It is thought that some 8.6 million people will look for a new credit card over the next year, research from Sainsbury's Finance shows, with options to suit a range of needs.
More than a quarter (28%) of people sniffing out a new credit card deal will look for a card that rewards their custom.
There are a number of cards that reward holders for their loyalty.
They include the AA Credit Card Visa which could well suit drivers that spend a lot of time on the road. The card offers points on purchases, with increased points for £s spent on fuel or other AA motoring products.
Points can be used on a range of products from AA, shopping vouchers or cash back.
If you're a frequent flyer, the British Airways American Express Card may fulfil your reward requirements, as it offers British Airways airmiles on every £1 spent.
A 0% balance transfer card has always been a popular choice amongst consumers, and for obvious reasons.
The cards allow holders a period of time to pay down their debts without taking on additional interest, and it is a market that is in rude health.
Good examples of such cards are the Virgin Money MasterCard from Virgin Money that offers a rate of 0% on balance transfers for 18 months, while Plus MasterCard from Halifax offers 15 months.
If you're accepted for a 0% balance transfer card, you can use it as a tool to clear your credit card deficit. Make an effort to pay off as much as you can each month – failure to make a payment will see the golden rate snatched from your grasp – and only spend on it if you absolutely have to.
For those who actually prefer to get their card out from time-to-time, a 0% purchase card is a better option.
The Tesco Credit Card MasterCard offers 13 months at 0% on purchases, making it a leading contender in the market.If shopping around for a new card every year sounds a bit too much like hard work, then there are cards on the market that offer a consistently low rate.
The Barclaycard Platinum offers 7.9% interest on all purchases and balance transfers and no handling fee – perfect for the credit card holder who doesn't want to be checking their rates from month to month.
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Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.
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