Credit Cards

There are a huge number of different types of credit cards available, here we will discuss some of the common products available, and what to look out for.

0% interest on balance transfers

These types of deals were not available during the credit crunch, however they are increasingly becoming more available.. Some credit card providers have subsequently re-started promotions offering 0% on their cards..

Things to look out for:

Most card providers will offer 0% for a set period of time, for example for one year. It is recommended that you keep a reference of the date which this period ends, and consider your options at this time, if you are not intending to pay the credit card off.. This is particularly prevalent if you are transferring large balances, and realistically will not be paying a large proportion of the balance off.

Additionally, for 0% credit cards, this may not apply to both cash withdrawals, and also purchases, if you are planning on using the card to purchase make sure that you dont get a shock when you receive your credit card statement.

Promotional credit cards

There are an ever increase number of credit cards which are tied in with shopping, airmiles, and a whole lot more.. These can be useful, if for example, you shop in a particular store on a regular basis. Using these types of credit cards can provide you with discounts on your regular shopping, and also pay

Things to look out for:

The actual interest rate which you will be charged. Whilst you may reduce the price of your shopping, does this actually save you money?? For example if you were to take a credit card on 0% on purchases for 13-18 months, this would probably work out cheaper, even with the anticipated discounts.

Credit Builder Cards

A credit builder credit card is useful for those who have either defaults, CCJs or bankruptcys against their name. These types of cards will enable individuals to secure a small amount of credit, albeit at higher interest rates than is usually charged on credit cards. This enables an individual to, if they pay the credit card off, build their credit profile back up.

Things to look out for:

Remember that if you do not pay this off, this will have the potential to further damage your credit rating. Make sure that you always make payments, and this will build a credit profile for you. Interest rates on these types of credit cards are going to be higher than a standard credit card, which can make them expensive.