Credit card interest rates

You can find your interest rate on your statement, which you can access online from our Internet Bank.

To work out what your rate means for you, use CardCosts (opens in a new window). This is a free online calculator. You'll need to enter your card's minimum monthly payment rules.

The following table shows you the interest you’ll be charged per month if you don’t clear your balance in full. For example, if your credit card has an interest rate of 24.9% APR and you have £100 outstanding balance, you’ll be charged £2.08 per month.

We only charge interest on your outstanding balance. So, you can pay less interest by paying off more of your balance.

If you’re able to do so, you can clear your balance in full each month.

This means you won’t pay any interest.

You can make additional payments to your credit card at any time to help you move out of debt and bring down your balance faster.

For example, you might be able to use some savings. You’re likely to pay more in credit card interest than what you would earn if you left the same amount in savings. So, bringing down your balance could save you money in the long run. Before you use your savings, check there aren’t any charges or impacts on your interest rate.

To reduce your balance and avoid long-term debt, you can choose to pay more than the minimum payment each month.

This will decrease the amount you owe at a faster rate.

You can set up a Direct Debit to pay money to your credit card account each month. This way, you don't need to remember to pay it off.

You can set up a Direct Debit to pay:

• the minimum amount each month
• the total outstanding balance each month
• a set amount each month

If you set an amount that is less than the minimum payment due for that month, we'll take the minimum payment instead.

You might be able to transfer your balance to another credit card provider with a lower interest rate. They might charge a fee for doing this, so make sure it’s not more than what you would be saving in interest.

Our credit cards have introductory offers on purchases or balance transfers. We also sometimes offer purchases and balance transfer deals to existing customers.

You can view your introductory offers in the Interest Summary Table on your credit card statement in our Internet Bank.

For purchases, the interest-free period starts when you open your account.

For balance transfers, the interest-free period starts when you transfer borrowing to your credit card. You need to transfer the balance within 90 days of opening your account.

Our promotional offers for existing customers allow you to make purchases or balance transfers at a reduced rate of interest.

If you accept these offers, you can view them in the Interest Summary Table on your credit card statement in our Internet Bank.

We'll let you know when your introductory offer or promotional rate is about to end by text, email or letter. So it's important we have up-to-date contact details for you.

You'll get alerts even if you've opted out of marketing.

Once any interest-free period has ended, we work out how much interest you’ll be charged based on your balance each month and charge it at your Standard Interest Rate.

You’ll be charged on your statement date.

You can view your interest on purchases in the Interest Summary Table on your credit card statement in our Internet Bank.

If you pay off your statement balance in full and on time, you won’t pay any interest on new purchases.

If you do not pay it off in full and on time, you’ll pay interest from the date you make the transaction to when the statement balance is paid off in full.

If you make a payment to reduce your balance before your statement comes in, you’ll pay less interest as you’ll have a lower balance.

Once any interest-free period has ended, we charge interest on balance transfers at your Standard Interest Rate.

We charge this interest from the day of transfer, even if you pay your balance in full on your payment due date.

This does not include our balance transfer fee. This is 2.4% or £5, whichever is greater.

You can view your balance transfer interest rate in the Interest Summary Table on your credit card statement in our Internet Bank.

Whenever you use your card to get cash (for example, from a cash machine), you'll be charged at your Standard Interest Rate.

We charge this interest from the day of the withdrawal or advance, even if you pay your balance in full on your payment due date.

This does not include our cash advance fee. This is 2.5% or £3, whichever is greater.

You can view your cash advance interest rate in the Interest Summary Table on your credit card statement in our Internet Bank.

We charge you your Standard Interest Rate on foreign currency, but there are additional fees.

Once any interest-free period has ended, we charge interest on purchases in a foreign currency at your Standard Interest Rate.

However, all our credit cards offer worldwide commission-free purchases. So we don't charge a fee for buying things when you're abroad. But keep in mind individual sellers may still charge you.

If you use your card to get cash in a foreign currency (for example, from a bureau de change in the UK or from a cash machine abroad), you'll be charged at your Standard Interest Rate.

We charge this interest from the day of the withdrawal, even if you pay your balance in full on your payment due date.

This does not include our cash advance fee. This is 2.5% or £3, whichever is greater.