Credit Cards | Compare More

What is a credit card?

Credit cards let you spread the cost of purchases, manage your cash flow, and cover unexpected expenses like a car breakdown or urgent home repairs. The downside is that you’ll typically pay interest - but there are ways around this, like clearing your balance each month or getting a 0% credit card.

There are different types of credit cards designed for different situations. Balance transfer cards help you move existing debt to a new card, often with no interest. There are even cards for people with poor credit, and rewards cards for cashback or points on your everyday spending.

Credit cards also give you ‘Section 75 protection’ - which you won’t get with debit card purchases. This means that if something goes wrong with a purchase of £100-£30,000, the card company has a legal obligation to help.

Why are you looking for a credit card?

Finding the right credit card can help you stay in control of your money – whether you want to spread the cost of spending, clear existing debt, build your credit score, or get something back in rewards.

Everyday spending

Stay in control with a credit card that fits your day-to-day needs.

Balance transfers

Cut interest and pay off existing debt more efficiently.

0% interest period

Choose a card that gives you time to repay interest-free.

Rewards cards

Earn cashback, points or perks when you spend smartly.

Big purchases

Spread the cost interest-free with the right purchase card.

Building credit

New to credit or repairing your score? Start building now.

What type of credit card is right for you?

Explore different credit card options to find one that suits your spending habits, repayment goals, and lifestyle.

How much can you borrow on a credit card?

Before you start browsing for credit cards, it’s a smart idea to get a sense of how much you could realistically borrow. Nobody wants to max out their card and end up struggling with repayments!

Card providers will look at a few key things to decide your credit limit, including:

Your income

This usually plays a big role in how much you can borrow. The higher your income, the bigger your limit might be, but it’s not the only factor.

Your credit history

A good credit score shows you manage money well, which can mean a higher borrowing limit and better offers. If your score isn’t perfect, don’t worry—there are cards designed to help you rebuild.

Your existing debt

Lenders will check how much you already owe elsewhere to make sure you can handle extra credit responsibly.

Your spending habits

How you use your current credit (if you have any) can influence your limit, especially if you’ve been consistent with repayments.

Keep in mind, the credit limit is the maximum you can borrow, but it’s always wise to stay well below that to avoid interest piling up. And remember, missing payments or only paying the minimum can quickly lead to extra fees and hurt your credit score.

Lastly, credit cards aren’t free money. They come with interest rates and sometimes fees, so make sure any card you pick fits your budget and spending habits. Feeling curious about your potential borrowing power? Many providers offer quick online checks or pre-approval tools that don’t affect your credit score.

Credit card rates: what you need to know

Your credit card rate is the interest you’ll pay on any balance you carry, and it has a big impact on how much your repayments will be. Credit card interest rates can vary based on a few important factors, including:

Your credit score: The better your score, the more likely you are to achieve a lower interest rate.
Type of card: Balance transfer cards, purchase cards and rewards cards often come with different rates and offers.

The Bank of England base rate: Card providers may adjust their rates when the base rate changes, so your interest rate might go up or down over time.
Promotional periods: Some cards offer 0% interest for a set time on purchases or balance transfers, but the rate jumps once that ends.

To find the best rates for you, you’ll usually need to provide some basic info, like your income, credit history, and what you plan to use the card for. This helps you see what kind of interest rate you might get and what your monthly payments could look like if you carry a balance over from one month to the next.

Credit card guides

Answering your questions about credit cards

More forms of borrowing and banking

Page updated on 11th September 2025, Reviewed by Richard Groom