silly little amounts on credit card??

bar_t1

Hi all, i was just wondering?, i use the santander 123 cash back credit card in Tesco every day for amounts of between £5-£10 daily, is this ok practice? As i am new to credit cards i am unsure if these little amounts are ok or does the CC company prefer the use of the card for a larger item? only using it like this to accumulate the cashback.
Thankyou in advance for any answers.

guesswho2000

bar_t1 wrote: »

Hi all, i was just wondering?, i use the santander 123 cash back credit card in Tesco every day for amounts of between £5-£10 daily, is this ok practice? As i am new to credit cards i am unsure if these little amounts are ok or does the CC company prefer the use of the card for a larger item? only using it like this to accumulate the cashback.
Thankyou in advance for any answers.

Absolutely fine, I use credit cards to pay for everything, even a 50p newspaper.

dominic7il

If anything using a credit card for lots of small amounts would be considered better by lenders - it shows more stability than making large purchases and paying them off in bits.

Hominu

I regularly buy cheap things like Sandwiches, coffee, etc on my CC, it allows me a better cash flow than searching for change all the time. Heck, I bought a 59p Yorkie Bar this morning using it.

superbigal36

I was behind you in the queue though. Pain in the proverbial

guesswho2000

superbigal36 wrote: »

I was behind you in the queue though. Pain in the proverbial

Lol, many people say this, but does it actually take any longer to pay by card? Once you've factored in getting change out and whatnot anyway...:p

Serious question, I have no idea, I can barely remember what cash looks like

Treadmill

Using a contactless card is quicker than cash, you don't even need to open your wallet and there is no change.

Been a while since I've been held up by someone writing a cheque for a bg of chips though lol

zerog

I regularly use my card(s) to pay for items 9p and under (this is usually online)

covmike

The only potential issue here is with fraud prevention. sometimes credit card companies have funny rules in their system (which they will not disclose to you) that block cards when certain small transactions are made. However usually this is more for online transactions and generally speaking there is nothing wrong with paying for small items on card.

InsideInsurance

dominic7il wrote: »

If anything using a credit card for lots of small amounts would be considered better by lenders

On the basis you say lenders I assume you are thinking of companies other than the card issuer in which case this would be wrong. The CRA files only show the total balance, total of new transactions and total of payment. They dont show how those elements were made up.

So if the OP is spending £500 a month other potential lenders wont know if that is one transaction of £500 or 50 transactions of £10

w211

You can now pay your bus fare in London using a contactless card, as the fare is £1.40, wouldn't think the card companies would be bothered by the small amounts.

http://www.tfl.gov.uk/tickets/26416.aspx