Top Credit Cards With 0% Purchase

Top Credit Cards With 0% Purchase

Updated 6 April 2021

Written by Alice Watts

What Is a 0% Purchase Card?

A 0% purchase card allows the holder to pay no interest on new purchases.

These cards offer a long interest-free period to pay off debt, meaning larger purchases can be made without incurring extra costs.

0% purchase cards can be a great way of borrowing money at no added cost; however, they should be used carefully, as not meeting the terms can be very expensive.

They are best used for essential, one-off purchases, such as expensive household appliances or furniture items.

Meeting the minimum repayment terms is essential to keep the 0% interest offer.

It is recommended that you pay at least the minimum requested each month and set up a direct debit to do so to avoid missed payments.

If you skip a payment, you will be charged a fee and may lose the 0% interest terms going forward. It may also show up on your credit report.

You also need to ensure you repay the full credit amount before the 0% interest term ends. If you find yourself unable to pay off the debt before the 0% provision expires, you will have to pay a very high-interest rate.

It is best to view the balance on your 0% purchase card as a loan to be paid back over a set period. Work out how much you need to pay back a month to repay in full before the 0% term ends and set up a direct debit to that effect.

You should also avoid using these cards for withdrawals. The interest rate is usually high, and you will start paying from the date you make the withdrawal.

Before using the card for balance transfers, check whether the no interest provision applies.

Sometimes it does not, and there are often balance transfer fees involved. The representative APR for all cards in this article assumes you only use the card for purchases.

The number of months offered at 0% interest varies according to the card, and unfortunately, banks are becoming less generous with the length of interest-free periods offered.

There are, however, still several 0% purchase cards available with good terms. This article will guide you through the current range.

Top Credit Cards With 0% Purchase in the UK

Below we run through the best 0% interest purchase cards available for those with a good credit history.

Be aware, though, that when a card promotes a 0% interest term, it may only provide up to that duration interest-free.

The length of the period granted can depend upon your credit score.

Also, watch out for the representative Annual Percentage Rate (APR) of the card, as this will apply once the interest-free term is up.

For credit cards, the APR is usually equivalent to the Annual Purchase Rate; however, it does also take into account other charges, such as an annual fee.

For reference, an APR of 20% or above is considered high.

1. Santander All in One Credit Card

The Santander All in One Credit Card offers 20 months 0% interest on purchases and 26 months 0% interest on balance transfers.

To be eligible for this card, you will need to have an annual income of over £7,500.

Advantages:

  • There is also no balance transfer fee within the 20 months, and you can transfer balances up to 95% of your credit limit
  • Usefully, there are no foreign transaction fees on purchases made abroad in the local currency
  • You can earn up to 15% cashback through Santander’s Retailer Offers, which can be activated via online or mobile banking

Disadvantages:

  • This card used to offer 26 months with 0% interest, which applied to both purchases and balance transfers; however, the offering has since been reduced – do not get caught out
  • Following the 20 months 0% period, it has a high representative APR of 23.7%. Its purchase interest per annum (variable) is 17.9%; however, there is a high account fee of £3 a month which raises the APR
  • There are fees for cash withdrawal and interest will be charged

Visit Santander All in One Credit Card

2. TSB Platinum Purchase Card

The TSB Platinum Purchase Card provides up to 20 months 0% interest on purchases.

Advantages:

  • Balance transfers made within the first 90 days after opening the account are also interest-free; however, a 2.95% balance transfer fee applies

Disadvantages:

  • The card has a representative APR of 19.9% and a purchase rate of 19.95% p.a. (variable)
  • It does not have any attached reward schemes or benefits, and offers are only available if you do not currently hold a credit card from TSB
  • There are charges for using the card abroad, cash withdrawals, missing payments and exceeding the credit limit; however, these fees are usual across all 0% purchase cards

Visit TSB Platinum Purchase Card

3. Sainsbury's Bank Dual Offer Credit Card

The Sainsbury's Bank Dual Offer Credit Card gives the holder up to 20-months 0% interest on purchases and the chance to make the most of an accompanying Nectar points offer.

Advantages:

  • For the first two months of having the card, 750 Nectar points will be issued on each spends of more than £35 at a Sainsbury’s store
  • You can use this promotion up to 10 times, meaning the maximum number of points that can be earned is 7,500 – the equivalent of £37.50. It excludes fuel purchases
  • The minimum monthly repayment is 1% of your balance plus interest, 2.25% of your balance or £5, depending upon which is greatest

Disadvantages:

  • The offer is up to 20 months, and some of those eligible will only be offered 12 months 0% interest.
  • To be eligible for the card, you must have a minimum annual income of £10,000
  • After the 0% term is up, interest on your purchases will be charged at 21.95% or 29.95% (depending upon the offer that is made to you). The standard representative APR (variable) is 21.9%

Visit Sainsbury's Bank Dual Offer Credit Card

4. MBNA 0% Transfers and Purchases Card

Advantages:

  • This MBNA 0% Transfers and Purchases credit card offers up to 20 months 0% interest on purchases and balance transfers, and 12 months 0% interest on money transfers

Disadvantages:

  • The rate only applies to purchases and transfers made within the first 60 days of opening the account
  • Activity after that time will have a purchase rate of 20.93% (variable) per annum, meaning the card has a 20.9% representative APR
  • The balance transfer fee is 2.99% for two months and then reverts to 5%. The cash withdrawal fee is set at 5%
  • There is no attached reward scheme or any extra signing benefits

Visit MBNA 0% Transfers and Purchases Card

5. Virgin Money All Round Credit Card

The Virgin Money All Round Credit Card offers a 20-month 0% interest period, one of the longest provided.

After this period, there is a 21.9% representative APR.

To be eligible, a minimum annual income of £7,000 (or a household income of £15,000) is required.

Advantages:

  • The minimum monthly repayment made on the card must be greater than 1% of the balance plus interest, with £25 as the minimum

Disadvantages:

  • No reward schemes are attached to the card

Visit Virgin Money All Round Credit Card

6. Tesco Bank Purchases Credit Card

Tesco Bank’s Purchases Credit Card offers the cardholder up to 18 months 0% interest on purchases.

After the introductory offer has expired, the card has a 20.9% representative APR.

Advantages:

  • Balance transfers and money transfers are available at 0% interest for three months after opening the account
  • You can transfer up to 95% of your available credit limit; however, you cannot make a transfer from any other Tesco Bank Credit Cards
  • Using the card will earn you Tesco Clubcard points, which then convert into vouchers
  • With the card, you can earn five Clubcard points for every £4 spent in Tesco or on Tesco fuel (excluding Esso) and one Clubcard point for every £8 spent outside Tesco
  • You can apply even if you already hold a Tesco credit card

Disadvantages:

  • The 18 months 0% interest purchase period may be reduced to a 15 or 12-month period based on your credit assessment

Visit Tesco Bank Purchases Credit Card

Top Credit Cards With 0% Purchase in the UKTop Credit Cards With 0% Purchase in the UK

7. Lloyds Bank Platinum Credit Card

The Lloyds Bank Platinum credit card offers holders a 0% interest period of up to 20 months on purchases made within the first 6 months of opening the account and on balance transfers made within the first 90 days.

Advantages:

  • For the 90 days, the balance transfer fee is reduced from 3% to 0%.
  • There is no limit on the number of transfers that can be made as long as you remain within your credit limit

Disadvantages:

  • Each transfer must be a minimum of £100. Once the 90 days are up, however, 3% stands as a high transfer fee
  • Once the introductory offer has expired, the card has a representative variable APR of 19.9%
  • This card does not have any specific reward schemes or signing benefits attached

Visit Lloyds Bank Platinum Credit Card

8. Barclaycard Premium Purchase and Balance Transfer Credit Card

The Barclaycard Premium card offers a long 20-month 0% interest period on purchases.

Advantages:

  • For balance transfers, it offers 18 months interest free. Transfers must be made within the first 60 days of opening the account, and a balance transfer fee of 2.9% is applied to each transfer

Disadvantages:

  • There is a 21.9% representative APR after the 20-month term is complete
  • The minimum repayment amount is either 2% of the balance plus interest, 3.25% of the balance or £5 – whichever is greatest.
  • To secure the card, you will need an annual income of at least £20,000
  • The 18 and 20-month promotional periods stated are the longest 0% interest durations offered. Individual offers may vary according to credit history

Visit Barclaycard Premium Purchase and Balance Transfer Credit Card

9. M&S Bank Credit Card

The M&S Bank card offers 18 months of 0% interest on purchases and provides the opportunity to gain M&S points.

Advantages:

  • By applying for this card and signing up for paperless statements, you can receive 1,000 M&S points. This is the equivalent of £10 in M&S vouchers
  • You will also receive a coupon for an extra 500 M&S points to be claimed when shopping with M&S. There is no minimum spend required to gain these points, which equates to a further £5 in M&S vouchers
  • M&S points are also gained through spending on the card. One point is accrued per £1 spent in M&S and for every £5 spent elsewhere. Four times a year your points will be converted into M&S vouchers

Disadvantages:

  • The card has a 19.9% representative APR
  • The minimum repayment on the card is 1% of your balance plus interest, 2.5% of your balance or £5, whichever is greatest
  • To be eligible for the M&S card, you will need a minimum annual income of £6,800

Visit M&S Bank Credit Card

10. Bank of Scotland Platinum Balance Transfer and Purchase Credit Card

The Bank of Scotland credit card offers 20 months 0% interest on your purchases and any balance transfers made within the first 90 days of opening the account.

Balance transfers are, however, subject to a 3% transfer fee.

Advantages:

  • If you already have a card with the Bank of Scotland, you may still be eligible to apply for this 0% offer

Disadvantages:

  • For late payment or exceeding your credit limit, there is a fee of £12
  • There are charges for cash withdrawals and foreign use
  • There are no reward schemes attached
  • This card has a 19.9% representative APR (variable). Monthly minimum payments are set at 1% of your balance or a minimum of £5

Visit Bank of Scotland Platinum Balance Transfer and Purchase Credit Card

11. HSBC Purchase Plus Card

HSBC’s Purchase Plus card offers 18 months 0% interest on purchases and balance transfers made within 60 days of opening the account.

There is, however, a balance transfer fee of 2.9%.

Advantages:

  • Contactless payments, up to the value of £45, can be made using the card

Disadvantages:

  • There is a fee of 2.99% for foreign usage and 3% for cash withdrawals (with a minimum charge of £3)
  • There is no reward scheme attached to its use
  • After the promotional period, the card has a 22.9% representative APR. This reflects purchase interest alone, as there is no annual card fee
  • A minimum annual income of £6,800 is required to be eligible

Visit HSBC Purchase Plus Card

Top Credit Cards With 0% Purchase for Poor Credit Score in the UK

12. Capital One Classic Credit Card

The Capital One Classic card allows four months 0% interest on purchases and bank transfers, to allow users a break to rebuild their credit.

This is the longest 0% interest period provided for those with an average to poor credit score.

Advantages:

  • You can apply if you have a history of managing credit, even if you have previously had County Court Judgements (CCJs) or defaults

Disadvantages:

  • All balance transfers are subject to a 3% transfer fee, and after the 0% period ends, the card has a representative APR of 34.94%
  • Due to the high purchase interest once the promotional period is up, it is important to ensure you make the repayment in full before it expires
  • Missing a repayment or exceeding your credit limit will incur a fee and could affect your credit score
  • The minimum monthly repayment is 3% of the balance plus interest or £5, whichever is greater

Visit Capital One Classic Credit Card

13. Barclaycard Forward Credit Card

The Barclaycard Forward card offers three months at 0% interest.

Advantages:

  • It gives you the chance to earn up to £20 cashback by managing your account well over the first year
  • For every three month period in which you make at least one purchase, pay at least the minimum monthly repayment on time and keep within your credit limit, you will receive £5
  • Barclaycard also offers a 3% interest rate reduction if all your payments in the first year are on time
  • If this is sustained for a second year, you can gain a further 2% reduction

Disadvantages:

  • The minimum monthly repayment on this card is 3% of your balance plus interest, 4.25% of your balance or £5, depending on which is greatest
  • After the promotional term, it has a 33.9% representative APR
  • To be eligible, you must have an annual income of £3,000 or more

Visit Barclaycard Forward Credit Card

14. Post Office Credit Card

A Post Office credit card offers 3 months 0% interest on purchases for individuals with lower credit scores.

Advantages:

  • Those with a good credit score may be able to secure 0% on purchases for up to 12 months and 0% on balance transfers for up to 18 months (with a 2.9% transfer fee)

Disadvantages:

  • After this time, the card has a representative APR of up to 34.9% (variable) depending on individual circumstances

Visit Post Office Credit Card

15. Amazon Classic Credit Card

The Amazon Classic card also offers 3 months 0% interest on purchases.

Advantages:

  • New cardholders will receive a £20 Amazon voucher on approval
  • There is no annual fee, and qualifying customers can instantly get a £500 initial credit limit

Disadvantages:

  • After the initial three month period, there is a 29.9% representative APR

Visit Amazon Classic Credit Card

Final Thoughts

The right 0% credit card for you will depend upon your needs and credit history.

Some 0% credit cards are geared towards purchases alone, while others also offer interest breaks on balance transfers.

When choosing a card, pay attention to the fees that may be attached, such as balance transfer and withdrawal fees, and weigh these up against the duration of the 0% interest period and the subsequent representative APR.

It is also worth factoring in the benefits of any reward programs; however, do not get sucked in by these. Check first that the points or vouchers that are on offer will be of use to you.

Whilst you should always intend to pay back the full balance of your card before the 0% interest period ends. It is still sensible to take good note of the representative APR for normal use, in case you are not able to make the debt repayment in time or find yourself in with a credit card debt in the future.

Using an eligibility checker can help you to determine which cards you qualify to apply for.

As always, read all terms and conditions attached to the cards carefully, so you know exactly what you are signing up for.

WikiJob does not provide tax, investment or financial services and advice. The information provided is for general reference and you should not rely on it to make (or refrain from making) any financial decisions. Personal situations will vary. Always seek independent financial advice when choosing how to manage your finances.