Paying an instalment late, or failing to pay an instalment, will go on your credit report and could affect your ability to get any credit, loans or even a mortgage in the future. If you miss a payment during an interest-free period, you could lose your interest-free period altogether.
Cash withdrawals: You’ll be charged for taking out cash on your credit card plus you’ll have to pay interest on it. In some instances, the amount of interest charged on cash withdrawals can be more than the APR for purchases.
Balance transfer fees: A balance transfer fee is a one-off fee and is usually a percentage of the amount to be transferred. The fee will be stated in the T&C’s before you apply.
You can move your existing credit card balance to a balance transfer credit card if you’ve found one offering better interest rates. But be aware of cards that offer 0% interest on balances transferred for a number of months but then charge you for transferring your balance to the new card.
Using your card abroad: Before going abroad it could be a good idea to find a use abroad credit card that has lower charges when its used abroad. Just remember you could still be charged a foreign usage fee and incur added interest on purchases (even if you pay it off in full within the month).
If you’re given a choice of paying in pounds sterling or the local currency while overseas, always choose to pay in local currency. Opting for pounds sterling might sound like the right thing to do, but it means the exchange rate used won’t be as good as the one your credit card company will give you.