If you have a credit card it’s important to know when to use it, and when you would be better off sticking to your debit card – and knowing how and when to use your Lloyds TSB credit card could help you to get the most of your money.
One of the advantages credit cards offer is that they come with a degree of consumer protection. Under the Consumer Credit Act, if you buy anything with a credit card between £100 and £30,000 the law gives you certain rights. This could offer extra peace of mind when you’re booking a holiday or making an expensive purchase. Always check the terms and conditions of the credit card you are using.
A representative example, based on borrowing £1,200 and repaying over 12 months the representative rate would be 17.9% APR (variable). The purchase rate is 17.95% p.a (variable).
Credit cards also offer help if your current account is hit by fraud and frozen while investigations take place. They give you a flexible way to access extra funds when it’s most needed.
If you are hit with an unexpected bill or expense, depending on your overdraft limits and charges, it could work out cheaper to use a credit card than a debit card to borrow. You may also find spreading the cost of a large purchase with the Lloyds TSB Advance card for example, which offers 0% interest for 6 months on purchases, fits in better with your budget than other options that might be available.
When you’re on foreign soil, credit cards can also come in particularly useful. It’s usually cheaper to use your credit card for purchases abroad than debit cards. Some service providers, such as hire car companies, will ask that you use a credit card rather than a debit card to secure your booking. In addition, there are often rewards on offer if you spend with your credit card. For example, The Lloyds TSB Airmiles Duo Credit Card Account rewards you with Airmiles as you spend*. Collect one mile for almost every* £10 you spend on the Lloyds TSB Airmiles Duo American Express® Card, giving you accelerated earnings, whilst the Lloyds TSB Airmiles Duo MasterCard® Card is accepted in 31 million places worldwide and gives you one mile for almost every* £50 you spend. Your Airmiles can be used towards flights, hotel stays, days out and more.
Of course, it’s important to point out there are instances where a debit card could work out better than a credit card. For example, it’s always cheaper to withdraw cash with a debit card, which also applies to taking cash abroad.
One way to combine the use of both debit and credit cards to get the most of your money could be to carry out all of your everyday spending on the Airmiles Duo Credit Cards and then pay it off in full at the end of the month with your debit card. This means you’ll have added protection on your purchases and you can take advantage of Airmiles. However, you may find that this approach is only useful if you’re able to set yourself a strict budget and stick to it.
Interested in finding out more? You can compare credit cards on the Lloyds TSB website where there’s also the option to apply online. Why not find out how one of Lloyds TSB’s credit cards could turn out to be your debit cards new best friend?
In order to remain eligible for any promotional rates you must stay within your credit limit and make your payments on time each month.
The issue of a credit card depends on our assessment of your circumstances. You must be 18 or over and a UK resident to apply. Your APR will vary depending on your personal circumstances. Call us, go online or visit one of our branches for more information on all fees and interest rates.
* Eligible purchases do not include cash withdrawals, money transfers, cheques, interest, fees or charges, transactions at Casinos, betting outlets or bookmakers or payments to offline or online current , savings, sharetrading, spread betting, gambling or any other similar account.
American Express® is a registered trademark of American Express company. The Lloyds TSB Airmiles Duo American Express® Card is issued and administered by Lloyds TSB pursuant to a licence from American Express®.
MasterCard® and the MasterCard Brand mark are a registered trademark of MasterCard International Incorporated.
All bookings are subject to availability. Air Miles and the Flying Boat logo are trademarks of Airmiles International Trading BV. Airmiles is a trading name of The Mileage Company Ltd. Registered office: Astral Towers, Betts Way, London Road, Crawley, West Sussex RH10 9XY. Registered in England No. 2260073.
Lloyds TSB Bank plc Registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 2065. Lloyds TSB Scotland plc. Registered office: Henry Duncan House, 120 George Street, Edinburgh EH2 4LH. Registered in Scotland no. 95237.