When it comes to choosing a credit card, the options can be overwhelming. From cashback to rewards points, low APR to 0% interest rates, the features and benefits can vary greatly between cards. In this article, we'll break down the top 10 credit cards in the UK to help you make an informed decision that meets your financial needs and goals.
Credit cards are an essential tool for managing finances in today's world. They offer convenience, security, and flexibility that other payment methods simply can't match. Whether you're looking for cashback rewards, low-interest rates, or travel perks, there's a credit card out there that can meet your needs.
The Benefits of Using a Credit Card
Credit cards offer several benefits that make them a smart financial choice. Some of these benefits include:
Convenience: Credit cards are widely accepted, making them a convenient payment method for everyday purchases.
Fraud Protection: Credit cards come with built-in fraud protection, so you won't be liable for any fraudulent charges made to your account.
Rewards and Perks: Many credit cards offer rewards points, cashback, or travel perks, giving you a little something extra for using your card.
Credit Building: Using a credit card responsibly can help you build a positive credit history, which can be beneficial when applying for loans or other credit products.
Interest-Free Periods: Many credit cards offer interest-free periods, which can help you save money on interest charges if you pay your balance in full each month.
How to Choose the Right Credit Card for You
When choosing a credit card, it's important to consider your financial goals and needs. Here are some factors to consider:
Interest Rates: Look for a card with a low-interest rate if you plan on carrying a balance.
Rewards and Perks: Choose a card with rewards and perks that align with your spending habits and lifestyle.
Fees: Be aware of any fees associated with the card, such as annual fees, foreign transaction fees, or balance transfer fees.
Credit Score: Some cards require a certain credit score for approval, so make sure you meet the requirements before applying.
Credit Limit: Consider the credit limit offered by the card, and make sure it's enough to meet your financial needs.
The Top 10 Credit Cards in the UK
Now that you know what to look for in a credit card, let's take a closer look at the top 10 credit cards in the UK.
- American Express Platinum Cashback Everyday Credit Card
The American Express Platinum Cashback Everyday Credit Card offers a generous 5% cashback on your purchases for the first three months, up to £100. After that, you'll earn up to 1% cashback on your purchases. There's no annual fee, and the card comes with purchase protection and travel accident insurance.
There are two credit cards available on this range, the first one requires no Annual fee with 31% APR, new customers get 5% cashback on your purchases (up to &100) for the first three months of card membership. Your interest rates will change in line with the Bank of England base rate.
The second card offers £125 cashback (within 3 first 3 months) with Annual Fee £25 and representative 36.7% APR. Your interest rates will change in line with the Bank of England base rate
The Barclaycard Rewards Credit Card is a great option for those who want to earn rewards without an annual fee. You'll earn 0.25% cashback on your everyday spending, and there's no limit to the amount you can earn. Plus, you'll get access to exclusive entertainment and travel offers.
Get 0.25% cashback on your everyday spend
On new purchases that you make. Terms and conditions apply which you can find in the important information section below.
No fees abroad
You’ll be able to withdraw cash from an ATM or buy your souvenirs without any charges and benefit from Visa’s competitive exchange rate.
Protection on purchases over £100
If there’s a problem, you could be covered for a refund – that’s a feature that comes with every UK credit card (conditions apply).
The Virgin Money All Round Credit Card offers 0% interest on balance transfers for up to 29 months, with a 3% transfer fee. You'll also enjoy 0% interest on purchases for the first three months. This card has no annual fee and offers discounts on Virgin Group products.
All Round Credit Cards give you the best of both worlds – low introductory interest rates on balance transfers and on whatever you spend. Handy if you’ve got things to buy, but you also want to pay off existing debts at a lower rate.
With any new card, it’s important to know:
How long your introductory rate will last.
What the standard interest rate (or APR) will be once your introductory rate ends.
If you’ll have to pay any other fees.
The Santander Everyday Credit Card offers 0% interest on balance transfers for up to 18 months, with a 3% transfer fee. You'll also enjoy 0% interest on purchases for the first three months. This card comes with no annual fee and offers cashback on your everyday spending.
Enjoy 0% interest on balance transfers for 12 months with our credit card
Looking for a bit of breathing space on your existing credit card balance but don’t want to pay extra fees? Our Everyday No Balance Transfer Fee Credit Card might be what you’re looking for.
With no fee to transfer your balance and 0% interest on balance transfers for 12 months, our card is ideal for those wanting to keep costs low.
The Tesco Bank Clubcard Credit Card allows you to earn Clubcard points on your everyday spending. You'll earn 1 Clubcard point for every £4 spent outside of Tesco, and 1 point for every £1 spent at Tesco. Plus, you'll get access to exclusive Clubcard deals and discounts.
Using your Tesco Bank credit card to only collect Clubcard points on fuel
If you use your Tesco Bank credit card to collect points but use cash or a different card to pay for the fuel, you can collect 1 point for every 1 litre of fuel you buy. Using your Tesco Bank credit card gives you a better collection rate than using your Clubcard, where you get 1 point for every 2 litres.
Using your Tesco Bank credit card to collect points and pay for fuel
Most credit card customers can collect 1 point for every £4 spent on top of the enhanced Clubcard points collection rate of 1 point for every 1 litre. The table below shows the points available for each card we offer.
| Using your Tesco Bank credit card as a Clubcard to collect Clubcard points only on fuel | Before 14 June 2023 | From 14 June 2023 | |
| 1 point for every £1 you spend | 1 point for every 1 litre of fuel | ||
| Using your Tesco Bank credit card as a Clubcard to collect Clubcard points and pay for fuel | Clubcard Credit Card | 1 point for every £1 you spend plus 1 point for every £4 you spend | 1 point for every 1 litre of fuel plus 1 point for every £4 you spend |
| Premium Credit Card | 1 point for every £1 you spend plus 1 point for every £1 you spend | 1 point for every 1 litre of fuel plus 1 point for every £1 you spend | |
| World Credit Card and Classic Credit Card | 1 point for every £1 you spend plus 1 point for every £2 you spend | 1 point for every 1 litre of fuel plus 1 point for every £2 you spend | |
| Bonus Credit Card | 1 point for every £1 you spend | 1 point for every 1 litre of fuel | |
The Lloyds Bank Platinum Credit Card offers 0% interest on balance transfers for up to 20 months, with a 1.5% transfer fee. You'll also enjoy 0% interest on purchases for the first three months. This card has no annual fee and offers enhanced security features.
The Lloyds Bank Cashback credit card
Here are the benefits you could receive with the Lloyds Bank Cashback credit card:
- 0.25% cashback on card purchases.
- No monthly account fee.
The HSBC Premier Credit Card is exclusively available to HSBC Premier customers. This card offers 0% interest on balance transfers for up to 18 months, with a 1.4% transfer fee. You'll also enjoy 0% interest on purchases for the first three months. This card comes with exclusive rewards and benefits.
The NatWest Reward Credit Card offers cashback on your everyday spending. You'll earn 0.5% cashback on supermarket purchases and 0.25% cashback on purchases elsewhere. There's no annual fee, and you can earn cashback on eligible bills paid by direct debit.
What is a reward credit card?
A reward credit card is a card that pays you to spend.
With our Reward credit card, you’ll earn Rewards:
1% back at supermarkets.
1-15% back at chosen retailers.
0.25% back everywhere else, including supermarket petrol stations.
The Aqua Classic Credit Card is designed for those with limited or no credit history. It can help you build or rebuild your credit score. This card comes with a manageable credit limit, and responsible use can lead to a credit limit increase over time.
The smart way to build better credit
Representative 34.9%
APR (variable)
The APR applicable to your account will depend upon our assessment of your application.
Read summary box.
Safely check your eligibility without affecting your credit score
Get a personalised credit limit starting from £250-£1,500 that adjust as we get to know you
Get expert support and free credit score updates in the Aqua app
10. MBNA Balance Transfer Credit Card
This credit card could help if you have balances to repay on cards you hold elsewhere. MBNA stands on our list of Top 10 Credit Cards in the UK
Why it's in the top 10?
- Transfer existing credit card and store card balances to just one card.
- Manage your repayments easier in one place and with only one monthly repayment.
- Get an introductory rate. This could save you interest on the balances you transfer and give you longer to repay.
Conclusion
Choosing the right credit card can have a significant impact on your financial well-being. By considering your needs and goals, as well as reviewing the top 10 credit cards in the UK, you can find a card that suits your lifestyle and helps you make the most of your purchases. Remember to use your credit card responsibly and pay off your balance in full each month to avoid unnecessary interest charges.
Read more: Learn how to Make Cash in Foreign exchange: A Newbie’s Information
FAQs
- How do I apply for a credit card in the UK?
To apply for a credit card in the UK, you can visit the respective credit card issuer's website and fill out an online application. You'll typically need to provide personal and financial information, such as your address, income details, and employment status.
- Can I have multiple credit cards?
Yes, you can have multiple credit cards. However, it's important to manage them responsibly and avoid accumulating excessive debt. Having multiple cards can provide flexibility and additional rewards, but make sure you can handle the financial responsibility.
- How does a credit card affect my credit score?
Using a credit card responsibly can positively impact your credit score. Making timely payments, keeping your credit utilization low, and maintaining a positive payment history can all contribute to a higher credit score. On the other hand, missing payments or maxing out your credit limit can negatively affect your score.
- Can I transfer a balance from one credit card to another?
Yes, many credit cards offer balance transfer options. This allows you to move the outstanding balance from one card to another, usually at a lower interest rate or with a promotional 0% interest period. However, be aware that balance transfers may come with a fee.
- How do I avoid credit card debt?
To avoid credit card debt, it's important to spend within your means and create a budget. Paying off your balance in full each month can help you avoid interest charges. If you do carry a balance, make sure you have a repayment plan in place and avoid making only the minimum payments.
Remember to always read the terms and conditions of each credit card and seek financial advice if needed. With the right credit card in hand, you can enjoy the benefits and convenience while maintaining your financial well-being.