Credit cards are sometimes useful to spread costs and manage debt. So if you’re looking for a card, the following options might be useful.
0% on new purchases Useful if you’re planning on buying expensive items. These cards allow you to spread the payment over a number of months instead of having to pay for it straight away. As long as you pay off the minimum amount each month and the outstanding amount before the 0% deal expires, this could be a useful card.
0% on your balance transfer These cards are usually used if you already have an amount on another card that you want to transfer over. This allows you to move the amount you owe onto a new card and pay no interest for a certain length of time, helping to spread the cost (however, check the details carefully as you could incur a balance transfer fee for moving money onto these cards).
0% on your balance transfer and purchases Some cards offer both features in one – worth considering if you’re switching and have an existing balance that you want to move, but still want to secure 0% on purchases. Again it’s worth noting that there could be a fee if you transfer a balance on to this type of card.
Reward cards Some cards offer a feature whereby you can earn cash back, points or air miles as you spend. Each card will have its own unique terms and conditions, however, so be clear on the small print.
Use abroad cards Designed specifically to use while you’re travelling or on holiday, these cards usually have low or no fees for foreign usage charges. They may also come with favourable exchange rates while spending abroad.
Money transfer cards These cards allow you to transfer cash from the card directly into your current account, allowing you to spend the money as you wish. You can repay the balance, often interest-free, over a set period of time. But watch out, you could be charged a money transfer fee.
