Halifax Credit Card review
- Representative example:
- When you spend £1,200 at a purchase rate of 10.94% (variable) p.a., your representative rate is 10.9% APR (variable).
- Account fee
- £0
- Interest-free each billing period
- Up to 56 days
Our verdict
With a noticeably low rate on purchases, balance transfers and cash advances, this Halifax card could be an option for those looking to keep their interest costs down.If you're someone who struggles to pay off your credit card balance in full each month, finding a card with a low interest rate could save you a lot of money.
The Halifax credit card offers a noticeably low variable rate on purchases, balance transfers and cash advances, but little beyond that.
While a low rate is never a bad thing, customers looking to keep their costs down may be better off finding a dedicated 0% purchase or balance transfer card, or ideally, making sure they pay off their balance in full each month and avoid paying interest at all.
It's also worth keeping in mind the fees you'll need to pay on both balance transfer and cash advances with this card, which could negate much of the savings you'd potentially make based on the lower rate.
Ultimately, the Halifax credit card offers a low interest rate, but not much else, but could be a worthwhile option for those who carry a balance each month.
Pros
- Customers report excellent customer service when dealing with Halifax
- A low ongoing interest rate (variable)
- No annual fee
Cons
- Relatively high balance transfer fee
- A punishing fee of 5% on cash withdrawals (you should avoid using a credit card to withdraw cash in any case)
Details
Product overview
| Issuer | Halifax |
| Network | Mastercard |
| Representative APR | 10.9% |
| Annual/monthly fees | £0 |
| Balance transfers | 10.9% |
| Balance transfer fee | 5% (0% fee if transfer is done within the first 90 days) |
| Purchases | 10.94% |
| Purchases interest-free period | Up to 56 days |
| Cash advances | 10.94% |
| Minimum credit limit | £0 |
| Maximum credit limit | Subject to status |
| Additional cards available | 1 |
| Incentive | |
| Potential costs | 3.5 ★★★★★ |
| Doing its job | 4.0 ★★★★★ |
| Extras | 3.5 ★★★★★ |
| Overall Finder Score | 4.0 ★★★★★ |
Fees and charges
| Minimum monthly payment | 2.5% or £5 (whichever is greater) or the total of any interest, default fees and charges plus 1% of the outstanding balance. |
| Annual/monthly fees | £0 |
| Balance transfer fee | 5% (0% fee if transfer is done within the first 90 days) |
| Foreign usage charge (EU) | 2.95% |
| Foreign usage charge (rest of world) | 2.95% |
| Cash advance fee | 5% (min. £0) |
| Late payment fee | £12 |
| Replacement card fee | £0 |
| Duplicate statement fee | £0 |
| Exceeding limit fee | £0 |
| Additional card fee | £0 |
| Dormancy fee | £0 |
Application requirements
| Minimum Age | 18 |
| Availability | Available to new customers |
The Halifax Credit Card is issued on the Mastercard network, so it's accepted at more than 50 million merchant locations across more than 210 countries and territories.
How does it compare with other low rate deals?
Approval for any credit card depends on your status. The representative APRs shown represent the interest rate offered to most successful applicants. Depending on your personal circumstances, the APR you're offered may be higher, or you may not be offered credit at all. Fees and rates are subject to change without notice. It's always wise to check the terms of any deal before you borrow. Most of the data in Finder's comparison tables is provided by Moneyfacts.
Case study: Isobel likes Halifax's credit score feature
Isobel Freeman
Kent
I chose this as I have been a Halifax customer since opening my first savings account when I was younger and I could get accepted for a credit card. I have the credit limit that is just right for me and I find Halifax outstanding with what they offer, such as a free credit score every month and information on what may have affected it.
If there's one thing you'd tell a friend who's thinking of getting this, what would it be?
I would highly recommend it - it’s so easy to use, especially with the Halifax app.
Repayment options
You can make manual repayments through Halifax's app by logging in to your online banking or over the phone (0345 944 4555). Alternatively, you may wish to set up a direct debit.
A direct debit protects you from forgetting to make a repayment and either damaging your credit score, getting hit with a penalty fee (£12) or losing any promotional rates as a result.
You can arrange a direct debit for repayments when you apply for the credit card. The table below shows the options available.
Choose from the following direct debit options for your monthly repayments:
| Minimum amount | Fixed amount | Fixed percentage | Full amount |
|---|---|---|---|
How to apply
If you've compared cards and settled on the Halifax Credit Card, completing the secure online application form takes about 15 minutes. Before you apply, check that you meet the eligibility requirements and have the information and documents you'll need to make the process as straightforward as possible.
Frequently asked questions
Can I withdraw cash using the Halifax Credit Card?
Although it's possible, withdrawing cash from a credit card account is generally not a good idea, as "cash-like transactions" (such as withdrawing cash at an ATM, getting cashback at the till, spending at a casino or buying currency) often incur steep fees and/or higher rates of interest.
The cash advance fee on the Halifax Credit Card is 5%.
The interest rate on this part of your balance will be 10.94%, which is the same as the standard purchase rate (chargeable from the day of the transaction – the card's usual "up to 56 days interest-free" grace period won't apply).
How much does it cost to use the Halifax Credit Card abroad?
Non-sterling transactions are subject to a 2.95% charge. For example, if you spend 200 euros (£168.27), it'll cost you around £4.96 in fees.
What is the minimum payment on the Halifax Credit Card?
Each month, you must pay at least 2.5% of your balance at that point or £5.00 – whichever of the 2 figures is greater. So if you had, say, £180.00 outstanding, you'd pay £5.00, and if you had £800.00 outstanding, you'd pay £20.00.
Paying only the minimum required amount each month is generally not advisable as it tends to be a very expensive way to borrow money, which can lead to persistent debt.
Finder credit card scores
Our experts score low rate credit cards to determine their value against similar products on the market. We look at a number of important factors, like exactly how low the low rate is, any perks/benefits, plus the potential costs involved with running the card both in the short and longer term.
You can read more about our scoring criteria on our credit card methodology page.
