But some lesser-known providers could offer perks including fee-free spending abroad, cashback and the chance to build up your credit score.
Here, Which? takes a closer look at five credit cards you may not have heard of and how they compare to the top mainstream deals.
Please note that the information in this article is for information purposes only and does not constitute advice. Please refer to the particular terms and conditions of a credit card provider before committing to any financial products.
1. Bip Credit Card
This 'virtual' card, which has an APR of 29.9%, offers no foreign fees when spending abroad.
There are no late payment fees and you can set your own spending caps or turn on a warning cap to get an alert when you hit that figure.
Bip is suited to those who want to build up their credit score. This means you're more likely to be eligible for the card if your credit history is poor.
Is Bip a good provider?: How does it compare?:Find out more:2. Metro Bank Credit Card
The Metro Bank Credit Card has a low APR of 14.9% and charges no foreign fee on spending or cash withdrawals in most European countries. But you will be charged a fee of 2.99% on purchases made outside of Europe.
Is Metro Bank a good provider?: How does it compare?Find out more:3. Smile Classic Credit Card
The Smile Classic Credit Card offers cashback at a rate of 0.25% and has a competitive APR for this type of card at 23.9%.
If you have a Smile current account you’ll get a better rate of 19.9% APR (representative).
Is Smile a good provider?As Smile is an online bank, it does not have any dedicated branches, however, customers can visit a Co-operative Bank branch for assistance.
How does it compare?cashback Find out more:4. Yonder Credit Card
The Yonder Credit Card is a reward credit card aimed at Londoners.
It allows you to earn 1 yonderpoint per £1 spent, and 5 yonderpoints with selected partners. Points can only be redeemed at Yonder’s experience partners based around London and these change each month. Each yonderpoint is worth around 2.5p.
It costs £15 a month, although new customers can get the first six months free. The card has a representative APR of 64%.
As well as those looking to be rewarded for their spending, this card would also suit anyone with no credit score, for example, someone that may have just moved to the UK as Yonder uses open banking to make lending decisions rather than relying on information in a credit report.
Is Yonder a good provider?Currently, we don’t have a Which? customer score for Yonder. Providers must receive a minimum sample size of 40 respondents to be included in our tables.
How does it compare?You earn one Amex point for every £1 spent (more on selected purchases), and these can be redeemed with travel partners or go towards your statement. Spending £750 a month could get you around £40 as a statement credit.
Spending the same amount with Yonder will earn you about £225, enough to cover the £180 fee and leave you £45 better off.
Find out more:5. Zopa Credit Card
The Zopa Credit Card offers no fees on spending abroad but you will be charged a fee of £3 each time you withdraw cash abroad.
The app can give you instant spending notifications and it has a ‘credit cushion’ feature, where you can set aside some of your available credit balance, and choose when to use it when you really need it.
Is Zopa a good provider? surveyHow does it compare?Find out more:Which? Limited is registered in England and Wales to 2 Marylebone Road, London NW1 4DF, company number 00677665 and is an Introducer Appointed Representative of the following: 1. Inspop.com Ltd for the introduction of non-investment motor, home, travel, pet, van and temporary insurance products (FRN 610689). Inspop.com Ltd is authorised and regulated by the Financial Conduct Authority (FCA) to provide advice and arrange non-investment motor, home, travel and pet insurance products (FRN310635) and is registered in England and Wales to Greyfriars House, Greyfriars Road, Cardiff, South Wales, CF10 3AL, company number 03857130. Confused.com is a trading name of Inspop.com Ltd. 2. LifeSearch Partners Limited (FRN 656479), for the introduction of Pure Protection Contracts, who are authorised and regulated by the FCA to provide advice and arrange Pure Protection Contracts. LifeSearch Partners Ltd is registered in England and Wales to 3000a Parkway, Whiteley, Hampshire, PO15 7FX, company number 03412386. 3.Which? are an Introducer Appointer Representative of Optimise Media Limited (FRN 313408), for the introduction of HSBC Group, who are authorised and regulated by the Financial Conduct Authority to provide credit brokering activity. Optimise Media is registered in England and Wales to Exchange Street Buildings, 35-37 Exchange Street, Norwich, England, NR2 1DP and company number 04455319. We do not make, nor do we seek to make, any recommendations on financial products or services that are regulated by the FCA, as we’re not regulated or authorised by the FCA to advise you in this way. In some cases, however, we have included links to regulated brands or providers with whom we have a commercial relationship and, if you choose to, you can buy a product from our commercial partners. If you go ahead and buy a product using our link, we will receive a commission to help fund our not-for-profit mission and our campaigns work as a champion for the UK consumer.
source https://www.which.co.uk/news/article/from-bip-to-zopa-5-credit-cards-you-may-not-have-heard-of-a7POu5V5cDMH