Never had a credit card before

purplestar133

I've never had a credit card before but have been wanting to get one for a while to build up a credit history and have Section 75 protection for big purchases. I won't be spending much on it and intend to pay it off in full each month. Some months I probably won't spend anything on it.

I'm finally making the move as Lloyds TSB, who I have my current account with, are guaranteeing that I'll be accepted if I apply for their classic mastercard and I was turned down once before so don't want to risk another rejection.

Just wanted to check a few things as I'm still not fully sure that I understand how credit cards work!

Although I appreciate that each credit card is different, are the following two assumptions generally true?

- If I pay my balance off in full each month I won't be charged interest.

- If I don't spend anything on it in a month, I won't be charged anything.

Is there anything else I need to watch out for?

Thanks!

stephane_2

If you pay you balance in full each and every months or if not used for a while you won't be charged any interest as long as your payment reach them by the due date. You will not get charged for not using it. Always make sure that you alway pay on time, that is one of the most important thing if you don't want your credit score to be affected

izools

If you only want the card for S.75 protection and / or plan to clear the balance in full each month I strongly suggest you set up a direct debit once the card arrives to clear the balance in full - that way it's taken care of.

Also note that the Lloyds TSB "Advance" card charges interest whether or not you clear the balance in full - so make sure not to apply for this one.