American Express credit cards

The American Express Platinum Cashback card pays an introductory rate of 5% cashback on your first £2,000 spend for the first three months. Once the introductory rate ends, you’ll earn the standard rate of cashback which is 1.25%. Customers also receive double cashback, 2.5%, every year during their anniversary month (the month they first took the card out in) as long as they’ve spent £10,001 or more on their card over the previous 12 months. If you don’t pay your balance off in full each month you’ll be charged interest at 14%. There is, however, an annual fee of £25 on the card. As a result of the fee, the representative APR on the card is higher than the purchase rate at 18.5% (variable). If you are a very high spender then this card is still a good deal as the cost of the fee will be offset by the generous cashback rate. You must have a household income of at least £20,000 a year to qualify for this card and you will also need to have an excellent credit history.

This card enables you to collect Avios every time you spend, but it comes with a high representative APR of 19.9%. There is no interest-free introductory rate on purchases, so you should pay off any debts on the card as quickly as possible to avoid racking up steep interest charges. The card is best suited to those who fly frequently with BA and want to collect Avios using the card's reward scheme, and who clear their balance every month. Earn 1,000 Avios when you spend £500 in the first 3 months. The points can then be put towards BA flights. If you spend £20,000 on the card in a year and redeem your Avios on a BA flight, you'll receive another ticket for a companion for the same flight and cabin. However, you cannot collect Avios on cash advances. The card has no annual fee and also comes with Travel Accident Insurance up to £75,000. You should avoid using the card to make cash withdrawals, as these will be charged interest at a steep 27.9%.

This credit card gives you Nectar points every time you use it. You get two points for every full £1 spent on the card at Nectar partners and one point for almost every full £1 spent on the card everywhere else. Nectar partners include Sainsbury’s, BP, Homebase and Expedia. If you spend £500 on the card within the first three months, you will pick up 5,000 bonus Nectar points. After the first three months, for every £500 spent on your card, in any calendar month, you will collect 500 extra Nectar points, known as ‘MorePoints’. You can either use the points you earn through the reward scheme to get back money-off vouchers on your Sainsbury’s shopping, or you can redeem them against a wide range of treats, gifts or days out. The card has a high representative annual percentage rate (APR) of 19.9% on purchases and does not offer any 0% introductory rates. You should therefore try to be disciplined and ensure you pay off the full balance each month to avoid having to pay interest charges. If you don’t intend to repay your debt in full each month then you should avoid reward cards and opt for a card with a lower interest rate instead. Do not use the card for cash withdrawals, as interest is charged at a steep 27.9% and you don’t earn Nectar points on these either. You must have an annual household income of at least £30,000 to qualify for the card and no County Court Judgements for non-payment of debt.

This reward credit card enables you to collect ‘Starpoints’ when you spend which can be redeemed against complimentary nights in Starwood Hotels worldwide. The card, which is provided by Amex, has a £75 annual fee and a representative APR of 19.9%. However, once the annual fee is factored in, the APR shoots up to a steep 34.5%. You should always try to clear your balance each month to avoid paying interest. If you sign up for the card and spend £1,000 in the first three months of card membership, you will receive 20,000 bonus Starpoints – enough for up to five complimentary nights. Plus, you’ll earn 1 Starpoint for every full £1 spent, on your card. As well as using them for hotel stays, your can also redeem Starpoints for tickets on some of the worlds major airlines with no blackout dates, or you can transfer your Starpoints to the frequent flyer programs of over 30 major airlines. You should avoid using the card to make cash withdrawals, as these are charged at a high 27.9% APR. The card offers a minimum credit limit of £700, and the maximum amount you can borrow will depend on your individual circumstances. To qualify for the card you must be aged at least 18 and have a minimum household income of £30,000. You must also have an excellent credit history.

You will receive a fantastic 30,000 Avios when you first spend on the card. That is enough for 1 return flight to Moscow, Istanbul or Rome. Collect 1.5 Avios for virtually every £1 spent and double Avios on purchases with British Airways and BA Holidays. Spend £10,000 on your card in any given year and receive a companion ticket when you redeem your Avios for a British Airways flight. However this card comes with a representative APR of 19.9% on purchases, but once you factor in the high £150 annual fee, the APR shoots up to a massive 50.1%. You should therefore only take out the card if you are going to clear your balance every month and are using it just to collect Avios. If you don't pay your balance off in full and on time each month, the high APR is likely to cost substantially more than any rewards you may get back. The card comes with Travel Accident Insurance up to £250,000. Don't use the card to make cash withdrawals, as these will be charged interest at 27.9%.