I Am Totally New To Credit Cards

5AM

I want to get a credit card but I have never had one as I have avoided them up until now.

What has attracted me is all this recent talk about XL airlines and how debit cards mean you don't get a refund wheras credit card mean you do.

I need help as I really don't know where to start.

What does this refund business all mean. I'm sure it is not as simple as my description above!

Do ALL credit cards offer this protection.

What type of credit cards would people advise, as I say I don't even know where to start!

NickX

5AM wrote: »

Do ALL credit cards offer this protection.

Yes ALL credit cards offer protection under Section 75 of the Consumer Credit Act.

As to which card is best for you, I would read Martin's guide a couple of times (there is a lot to take in) and things should start to make sense.

Good Luck.

jd87

Debit cards also offer the protection! (If you have the right card). Visa debit cards provide a service called "chargeback", but you might want to check with your bank to make sure that it applies to your card.

Only get a credit card if you are doing it for the right reasons, and you have good enough credit to get the best cards.

5AM

jd87 wrote: »

Debit cards also offer the protection! (If you have the right card). Visa debit cards provide a service called "chargeback", but you might want to check with your bank to make sure that it applies to your card.

Only get a credit card if you are doing it for the right reasons, and you have good enough credit to get the best cards.

What would you say are the "right reasons"? and how does one know if they have good enough credit?

Thanks

5AM

NickX wrote: »

Yes ALL credit cards offer protection under Section 75 of the Consumer Credit Act.

As to which card is best for you, I would read Martin's guide a couple of times (there is a lot to take in) and things should start to make sense.

Good Luck.

There is indeed a lot to take in. Read a few times already and it created more questions than it answered :rotfl:

jd87

It all depends on what you want to use the card for. You haven't told us that so we can't really help. Do you want make purchases with it and earn loyalty points/air miles. Do you want to make super balance transfers? Do you want to use it to build up your credit rating?

5AM

jd87 wrote: »

It all depends on what you want to use the card for. You haven't told us that so we can't really help. Do you want make purchases with it and earn loyalty points/air miles. Do you want to make super balance transfers? Do you want to use it to build up your credit rating?

Right OK, as I said, I know nothing about them so don't know what info you needed to help!

I kinda like the look of the reward based cards, in particular but I don't know what a good rate is?

Also, it would be used for general spending use, to be paid off each month as my salary came in.

I don't really understand balance transfers so not sure on that. I understand they are just transfering from one Credit Card to another?

*Jane*

Glad someone has asked this question because i have spend hours reading about credit cards on mse and am no wiser to which one to get. I have never had a credit card but am wanting one because i always do my holidays diy and have always paid using debit card i now know i am not covered if anything goes wrong so am only wanting one to pay for flights and accomadation a few times a year and pay the balance off when i recieve statement.

5AM

*Jane* wrote: »

Glad someone has asked this question because i have spend hours reading about credit cards on mse and am no wiser to which one to get. I have never had a credit card but am wanting one because i always do my holidays diy and have always paid using debit card i now know i am not covered if anything goes wrong so am only wanting one to pay for flights and accomadation a few times a year and pay the balance off when i recieve statement.

Glad I'm not the only one.:p

jd87

5AM wrote: »

I kinda like the look of the reward based cards, in particular but I don't know what a good rate is?

Also, it would be used for general spending use, to be paid off each month as my salary came in.

If you pay it off each month then the rate doesn't matter, because you will never pay any interest. You should just go for the card that offers the best rewards for your needs, perhaps a nectar credit card if you like shopping at sainsburys. Or one that gives air miles if you take a lot of scheduled flights. That kind of thing.

A balance transfer is transfer from one card to another. A super balance transfer is transferring cash to a bank account and can be handy because it can mean cash which you could get interest free for up to 15 months (transaction fee applies), which you can then use for things like "stoozing" (see other threads and articles).

Any

As for which one to apply for - it all depends on many factors.
How old you are, How much you earn etc.
As for the very first card, I always suggest to go and see the bank you are with for your current account. There you have probably the highest chances of acceptance. Once you get your first card, it's a bit easier to apply for different ones. Well, some of them anyway.
Some of them - like Egg Money, which is reward card, for that one you need Excellent credit scoring - if you've never had a card before, you don't have Excellent credit rating. Capital One is another one where you need Excellent credit scoring.
I was with NatWest for my current account and got approved for their credit card and at the time noone else accepted me.
My friend had the same problem until I told her to go to her bank - hers (and now mine) is Nationwide and they also accepted her.