How to compare credit cards in the UK
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Quick answer: Compare credit cards on APR, interest-free period, fees, rewards and eligibility — not headline perks alone. Match the card type to your goal: 0% purchase for spreading cost, balance transfer for clearing debt, credit builder if you have thin credit, rewards only if you pay in full each month.
Credit cards are among the most searched UK borrowing products. Cards are regulated by the FCA under the Consumer Credit Act. This hub explains how to compare fairly as educational information only — Money Guide is not a financial adviser and does not earn commission on credit cards. Confirm live rates on the issuer site before applying.
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Read the full credit cards & loans guide →Quick answer: Compare credit cards →Primary source: www.fca.org.uk/consumers/credit-cards
Card types and when each fits
0% purchase cards suit planned spending you can repay within the interest-free window — holidays, appliances, dental work. After the promo ends, standard APR applies to any remaining balance.
Balance transfer cards move expensive card debt to 0% for a fee. Pay more than the minimum and clear before the promo ends — otherwise you revert to a high APR.
Credit builder cards accept thinner credit files at higher APRs. Used responsibly — low utilisation, full payment — they can improve your score over 6–12 months.
Rewards and cashback cards pay perks on spending but charge high APRs. They only work if you never carry a balance.
APR, fees and the small print
Compare the representative APR for your likely credit tier, not the lowest advertised rate on the market. Issuers price risk — excellent credit gets the headline APR; average files see higher rates.
Balance transfer fees, annual fees, foreign transaction fees and cash advance charges are often buried. A 30-month 0% transfer with a 3% fee costs £30 per £1,000 moved.
Minimum payments are designed to keep you in debt. On a £3,000 balance at 24% APR, paying only the minimum can take over a decade and cost thousands in interest.
Eligibility and applying safely
Use soft-search eligibility tools before applying — each hard application leaves a footprint. Several hard searches in a short window can reduce acceptance odds.
Credit utilisation — balance as a percentage of limit — affects your score. Stay under 30% per card and in aggregate where possible.
Section 75 protection applies to credit card purchases between £100 and £30,000 — a reason to use a card for major buys even if you pay the bill immediately.
Common questions
Is a 0% card better than a personal loan?
For short-term borrowing you can clear within the 0% window, often yes — no interest if disciplined. For longer terms, a fixed personal loan with known repayments may be simpler. See our credit card vs personal loan comparison.
Do rewards cards beat savings interest?
Only if you pay in full every month. Carrying even one month of interest at 20%+ APR wipes out most cashback within weeks.
Can I have more than one 0% card?
Yes, but multiple recent applications hurt your credit file and issuers may offer shorter 0% periods or lower limits. Stagger applications if you need more than one product.