Guide to Lloyds Bank credit cards
As one of the UK’s biggest banks, Lloyds Bank offers a full range of financial services and products, including a variety of credit cards to suit all circumstances – but before choosing a card you will need to consider your own spending habits.
For instance, if you want to pay down an existing balance on another credit card then your best bet could be the Lloyds Bank Platinum 28 Month Balance Transfer Card which offers 28 months at 0% on balance transfers, subject to a 1.5% transfer fee. Once this introductory period is up then the card’s representative APR jumps to 18.9% (variable).
However, if you are looking for a card that offers a decent interest-free deal on purchases, the Lloyds Bank Platinum Purchase Card has a 10-month interest-free period on new purchases. This also comes with 10 months interest free on balance transfers, subject to a 0.4% transfer fee and, again, the representative APR is 18.9% (variable) once this offer expires.
If you are a frequent traveller, then Lloyds Bank offers two credit cards that accumulate Avios points (formerly AirMiles) that can be used to get money off flights, hotels, cruises, holidays and day trips.
In addition to Avios points, the Lloyds Bank Avios Rewards Credit Card Account and the Lloyds Bank Premier Avios Rewards Credit Card Account also come with 18 months at 0% on balance transfers, though there is a 3% transfer fee.
However, once the 18 months are up, the Lloyds Bank Avios Rewards Credit Card Account has a representative APR of 23.7% (variable) and the Lloyds Bank Premier Avios Rewards Credit Card Account has a representative APR of 52.1%, thanks largely its £140 annual fee – the main advantage of the Premier card is that it accumulates more points per £1 spent.
Is a Lloyds Bank credit card right for me?
As with most providers, the best rates on credit cards are only available to those with excellent credit ratings, and so before you apply you should run your details through MoneySupermarket’s Smart Search tool. This way you will get an idea of your chances of acceptance before you apply and so lessen the chance of a rejected application showing on your credit report.
If you have a card that has an interest free period then it’s vital that you pay off the balance in full before this period ends otherwise you will be hit with interest payments, which, in the case of Lloyds Bank credit cards, are upward of 17.9% (variable).
If you cannot clear the balance then it’s a good idea to transfer it to another card that offers 0% on balance transfers, bearing in mind that you will have to go to another provider as you cannot transfer balances between different Lloyds Bank cards.
If you continue to use the card for purchases once any 0% interest offers have expired then it’s vital that you clear the balance at the end of each month to ensure that you don’t pay interest on your purchases.