Your Preferred Credit Card

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Cotta
Cotta Posts: 3,667 Forumite
in Credit cards
Hi All,

I recently spoke to a friend on credit cards, they advised that whilst my own credit card (Clarity) is good for no sterling transactions as it always uses the most favourable rate, for non foreign transactions I am losing out. Currently I pay for everything on my Clarity card with this being paid off via a standing order each month, however my friend advises I should get a card that offers better cash-back and incentives.

Is my friend right and if so what sort of credit card should I be looking at?
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  • madvicker
    madvicker Posts: 157 Forumite
    Combo Breaker First Anniversary
    edited 4 July 2018 at 12:13PM
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    If you hold a NatWest or RBS Reward account then the Reward credit card is a great package for domestic spending. I average about 1.5% cashback on all my spending when combined with the base 0.5% cashback and the occasional offers.

    Alternatives you can look at for domestic spending are:

    - Amex Gold card for the first year (after that it's £140 a year)
    - BA Amex free card
    - Amex cashback credit card, either the free one or the one for £25 a year (only if you spend more than £850 a month)
    - Tandem Cashback credit card
    - Virgin Atlantic free card

    There are others, but those are the ones which instantly pop into my head.
  • agrinnall
    agrinnall Posts: 23,344 Forumite
    First Post Combo Breaker
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    If you look above your post you will see a link to the MSE Cashback Credit Cards guide.
  • Cotta
    Cotta Posts: 3,667 Forumite
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    Amex seems to be the best with 5% cashback for 3 months and 1% after with no annual fees and no interest as long as bills are paid off each month. Have I missed anything?
  • madvicker
    madvicker Posts: 157 Forumite
    Combo Breaker First Anniversary
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    Only thing to be aware of: Amex cashback is paid annually. With some of the other options you can choose when to redeem your cashback.
  • terafarma
    terafarma Posts: 105 Forumite
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    Tandem Mastercard Cashback credit card.
    Barclaycard Visa Cashback credit card - no longer issued to new customers.
    Halifax Mastercard Clarity credit card.
    Money is like a bird.....if mishandled, will simply fly away....
  • Sncjw
    Sncjw Posts: 3,509 Forumite
    First Anniversary Name Dropper First Post
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    You should do it by direct debit not standing order
    Mortgage free wannabe 

    Actual mortgage stating amount £75,150

    Overpayment start date 1/3/23.

    Starting balance £66,565.45

    Current balance £63,787.16

  • Craig1981
    Craig1981 Posts: 769 Forumite
    First Anniversary
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    If paying off in full each month, Virgin Atlantic Free card as said above is a good "freebie" card. APR is 22% - i have had it for a few months now ever since Tesco increased spending for points, and nationwide dropped cashback to 0.5%.
    5000 points on first use, the .75 points for every £1 spent. I do the same - everything goes onto the Virgin card and paid off in full... three months in and i have just under 10000 air miles... i have an old Aqua mastercard i keep active as use that abroad as no fees for that... and my bank offer free cash withdrawals abroad too

    If virgin decrease their air miles etc, i'll be looking for the next best thing!
  • msallen
    msallen Posts: 1,494 Forumite
    First Anniversary Name Dropper First Post
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    If you can get yourself a Costco membership (twenty odd quid a year) then the Amex Costco card is the best cashback option. 3% on eating out, 2% on travel, 1% on everything else.

    I only go into Costco once a year to redeem my cashback, so the membership is equivalent to paying the same amount as a card fee.
  • Cotta
    Cotta Posts: 3,667 Forumite
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    Still unsure what to do, someone recommended the 123 account but it has a charge of £5 per month. I have a council tax bill of £2k due in 60 days so I need to decide soon.
  • Cotta
    Cotta Posts: 3,667 Forumite
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    A final post on this, has anyone anymore recommendations?
This discussion has been closed.
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