Reward
Credit Cards
With the right kind of reward card, you could find yourself flying around the world on the back of your purchases!
Compare the best Reward Credit Cards
Virgin Atlantic
Purchases
6 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
22.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 22.9% (variable per annum), your Representative APR is 22.9% APR (variable)
Virgin Atlantic
Purchases
6 Months
0% interest on
Purchases
Fee
£140
Annual Fee
Representative APR.
57.4% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 57.4% (variable per annum), your Representative APR is 57.4% APR (variable)
British Airways
Purchases
0 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
22.9% APR
Representative
variable
See Deal
Collect 1 Avios for virtually every £1 spent. Automatic enrollment in the BA Executive Club. Spend £20,000 on your card in one year and redeem your Avios on a BA flight and you'll receive a complimentary ticket for a companion to travel on the same flight. 5,000 bonus Avios when spending £1,000 within the first 3 months of Cardmembership
Representative example: When you spend £1,200 at a rate of 22.9% (variable per annum), your Representative APR is 22.9% APR (variable)
British Airways
Purchases
0 Months
0% interest on
Purchases
Fee
£195
Annual Fee
Representative APR.
76% APR
Representative
variable
See Deal
Collect 1.5 Avios for virtually every £1 you spend and 3 Avios for virtually every £1 you spend on BA flights and BA holidays. Spend £10,000 or more within an anniversary year to earn a complimentary Companion Voucher valid for 24 months. 25,000 bonus Avios when spending £3,000 within the first 3 months of Cardmembership
Representative example: When you spend £1,200 at a rate of 76% (variable per annum), your Representative APR is 76% APR (variable)
Miles & More
Purchases
12 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
22.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 22.9% (variable per annum), your Representative APR is 22.9% APR (variable)
John Lewis
Purchases
18 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
18.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 18.9% (variable per annum), your Representative APR is 18.9% APR (variable)
American Express
Purchases
0 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
9.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 9.9% (variable per annum), your Representative APR is 9.9% APR (variable)
M&S Bank
Purchases
32 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
18.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 18.9% (variable per annum), your Representative APR is 18.9% APR (variable)
M&S Bank
Purchases
32 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
18.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 18.9% (variable per annum), your Representative APR is 18.9% APR (variable)
Sainsburys Bank
Purchases
35 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
18.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 18.9% (variable per annum), your Representative APR is 18.9% APR (variable)
M&S Bank
Purchases
25 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
18.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 18.9% (variable per annum), your Representative APR is 18.9% APR (variable)
Hilton HHonors
Purchases
15 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
18.9% APR
Representative
variable
See Deal
Earn a free night e-certificate, for one weekend night at many participating hotels in the Hilton Worldwide portfolio, when you spend £750 in the first 90 days (terms and conditions apply). Enjoy HHonors Silver status for as long as you are a card member. Earn an upgrade to HHonors Gold status any time your total spending reaches £10,000 in a calendar year. Earn 3 HHonors Bonus Points for every £1 you spend at hotels and resorts within the Hilton Worldwide portfolio. Earn 2 HHonors Bonus Points for every £1 you spend on everyday purchases. Plus, earn 2,500 HHonors Bonus Points for each of your first 4 stays at a hotel or resort within the Hilton Worldwide portfolio. Stays must be within the first 12 months of opening your account and be paid for using your Hilton HHonors Platinum Visa Card. 0% on balance transfers for 15 months from account opening (2.99% fee applies).
Representative example: When you spend £1,200 at a rate of 18.9% (variable per annum), your Representative APR is 18.9% APR (variable)
Barclaycard
Purchases
12 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
21.9% APR
Representative
variable
See Deal
Rewards range from the high street, online favourites, places to eat and drink, to top entertainment and days out. Earn points wherever you shop, with double Freedom points on your UK supermarket, petrol station and all Transport for London (TfL) spend. Free ongoing access to your Experian Credit Score. 0% interest on balance transfers for the first 12 months (0.15% fee applies). 0% interest on purchases for 12 months from account opening.
Representative example: When you spend £1,200 at a rate of 21.9% (variable per annum), your Representative APR is 21.9% APR (variable)
American Express
Purchases
0 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
22.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 22.9% (variable per annum), your Representative APR is 22.9% APR (variable)
American Express
Purchases
0 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
22.9% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 22.9% (variable per annum), your Representative APR is 22.9% APR (variable)
Nectar
Purchases
0 Months
0% interest on
Purchases
Fee
£0
Annual Fee
Representative APR.
28.2% APR
Representative
variable
See Deal
20,000 Nectar bonus points welcome offer – worth £100 to spend with Nectar partners (when Cardmembers spend £2,000 in their first 3 months). First year’s Cardmembership fee of £25 is on us. Collect 2 points for virtually every full £1 spent on the Card. Collect up to 4 points for virtually every full £1 spent at Nectar partners. Complimentary Supplementary Card for a family member, so you can collect even more Nectar points when they use the Card.
Representative example: When you spend £1,200 at a rate of 28.2% (variable per annum), your Representative APR is 28.2% APR (variable)
Tesco Bank
Purchases
0 Months
0% interest on
Purchases
Fee
£150
Annual Fee
Representative APR.
56.5% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 56.5% (variable per annum), your Representative APR is 56.5% APR (variable)
HSBC
Purchases
0 Months
0% interest on
Purchases
Fee
£195
Annual Fee
Representative APR.
59.3% APR
Representative
variable
See Deal
Representative example: When you spend £1,200 at a rate of 59.3% (variable per annum), your Representative APR is 59.3% APR (variable)
Credit Cards
How do 0% cards work?
There are many different reasons why people choose particular credit cards. Some may offer low standard rates or 0% introductory rates on balance transfers or purchases. Some are designed specifically for customers with low credit ratings and still others offer points-based rewards schemes that give customers different types of reward. The value of these rewards are based on the amount that the customer spends on their card during a given period of time.
What Are
Reward credit cards work in the same way as other credit cards. They can be used to make purchases in person or at a distance – online, over the phone or by mail order. Most can also be used to obtain cash from cash machines in the form of cash advances or to make balance transfers. This is when you transfer the money that you owe on one credit card account to another, usually at a better rate of interest.
In addition, reward cards allow you to earn points that can be redeemed for rewards of various kinds. There are various different reward schemes available but most allow you to build up points depending on how much you spend on your card. These can then be redeemed for different rewards depending on your credit card and award scheme.
How Do Work?
Most rewards cards award you points for every £1 you spend. Some schemes will, however, award more points depending on where you use your card. Cards issued by the major supermarket chains, for example, may offer more points when you spend in their stores. When you have enough points, you can redeem them for vouchers that can be spent at participating retailers or used as discount vouchers at participating entertainment and retail outlets. Some may be put towards the cost of flights instead, in the form of Avios (formerly known as Air Miles) or schemes such as Virgin Atlantic's Flying Club. Points earned for existing loyalty schemes such as Nectar Points can usually be added to the customer's account and thereby pooled with points earned from other sources.
Multiple rewards card holders can choose to spread their spending across different cards, giving them access to different schemes, or they may choose to concentrate on a single scheme, allowing them to save for the more valuable rewards on offer.
Cash back cards are a special type of rewards card that give you a straight cash reward instead of points that can be redeemed for various rewards. The amount of cash you earn is usually a straight percentage of the amount you spend on the card in a given period of time. If you spend £100 on a card with a cash back rate of 2%, for example, you would earn £2 of cash back. This is usually paid into your credit card account, paid directly into a nominated bank account or paid by cheque on an annual basis.
Reward cards of all kinds usually only award points (or cash back or air miles) for purchases made on that credit card. Cash advances and balance transfers do not usually count towards points.
Access To
A debit card draws from funds that you already have in your account. A credit card gives you access to a line of credit and so you can still use it even if you do not have funds in the bank. Most credit cards also have an interest-free period. As long as you pay your balance in full each month by the date shown on your statement, you will not have to pay any interest.
Convenience
Paying by credit card is quick and easy and, with contactless payments becoming more popular, it looks set to become even more convenient.
Payment
Section 75 of the 1974 Consumer Credit Act gives you certain protections if you make a purchase between £100 and £30,000 on a credit card. This allows you to claim money back from your credit card provider if, for example, goods you have ordered are faulty or do not turn up because the supplying company goes bust. Credit cards also have fraud protection so that as long as you take reasonable precautions (such as protecting your PIN) you will not usually be liable if your card is used fraudulently.
By using a rewards card you get all the same general benefits that you get from using any other type of credit card but you also get to earn rewards for making the same payments and purchases that you would usually make.
Any
Some rewards cards have comparatively higher interest rates than other credit cards. If you pay your balance in full every month this should not be too much of an issue but if you have an outstanding balance that incurs interest, the extra interest charged could outweigh the value of any rewards you earn. The value of cash back rewards are relatively simple to work out but the exact equivalent value of other types of reward can be trickier to work out.
Some rewards schemes may also be withdrawn if you fail to make at least your minimum payment for a given month. If this is the case you may lose any points that you had already built up. Even if you do not pay off your balance in full you should always ensure you make the minimum payment as this can also trigger fees and affect your credit rating. Setting up a Direct Debit to cover at least your minimum amount is a good way to make sure you never accidentally miss a payment.
We are Money Expert, the experts with your finance. We compare markets from all over the UK and bring you the best prices, no matter what.
