Generally, credit cards work by allowing you to borrow money to purchase things you want, which you then repay over time. You’ll have an agreed credit limit, which is the maximum you can spend.
You get a monthly statement detailing your spending and repayment options, including paying the balance in full, a minimum amount or a partial payment. If you don’t pay the full balance by a set date, you will be charged interest, which is calculated on a daily basis and added to what you owe. The daily rate is your APR, divided by 365.
APR stands for Annual Percentage Rate, and is the total annual cost of borrowing on the credit card, including interest rate and standard fees, for example any account fees. APR does not include late fees and other additional charges.
Some credit cards come with an introductory offer like 0% interest on purchases for a set period of time, which can help you to spread the cost of big purchases. This can be useful if you’ve got a holiday to pay for or a new washing machine to buy.
Using a credit card responsibly can help you to build a good credit history.
Credit where it’s due, with cards designed for you
Explore our two credit cards, exclusively for first direct current account customers.
Representative 24.9% APR (variable). Eligibility criteria apply. Credit is subject to status.
For Balance Transfers
Our Balance Transfer Credit Card is built to help you manage existing debt, with one monthly payment. It could also save you money with a potentially lower interest rate. (Balance transfer fees apply).
For Purchases
Our Gold Card is built to help spread the cost of your big purchases, so you can buy now and pay for it gradually over time.