1-minute guide to Purchase Credit Cards


Purchase Credit Cards

Finding a 0% interest purchase credit card will allow you to buy items and then pay them off over a period of time with no interest. 

Compared to the average interest rate of 18% a purchase credit card could save you £180 a year in interest on a £1000 bill.

Need to know

  • The term is the most important factor with these 0% interest purchase credit cards- pick the card that will give you enough time to pay it off interest free and then look at other rewards from there
  • A purchase credit card allows you to spread the cost of a big purchase with the safety of not having to pay interest if you can’t make the repayment in full
  • Make yourself a payment plan. If you spend £1600 and know you have 16 months interest free then make sure you are paying at least £100 a month

Purchase Credit Cards

A 0% interest purchase credit card will allow you to buy items and then pay them off over a period of time with no interest

Watch out! Four rules for all credit cards

  • Don’t use your credit card to withdraw cash unless you have to. Your credit card is VERY likely to have a high interest rate on any cash that you take out which you will start getting charged from the moment you withdraw it. There is also likely to be a withdrawal fee (we’ve only found a couple with no fees at all). These rates won’t be affected by another deal you might have
  • Look out for annual fees. The fees tend to be charged so you can access higher rates of cashback, airmiles or similar. If you’re not getting a superb deal that makes up for the fee then the cards are not worth applying for
  • Be careful! A lot of 0% or low interest credit cards will automatically set your direct debit amount very low each month so that at the end of the interest free period you end up with a large outstanding balance
  • If you don’t make the minimum monthly repayment then you may lose your deal
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Sarah Willingham
Sarah Willingham is a serial entrepreneur, business investor and leading consumer expert. She has received a number of accolades for her contribution to business including The Sunday Times 500 Most Influential People in Britain 2016, The Times 35 Most Successful Women Under 35, Business Weekly’s Young Entrepreneur of the Year, Courvoisier Top 500 and an entry into the Who’s Who of British Business Leaders. She holds three business degrees including an MBA from Cranfield School of Management, where she is also an advisory board member.