The Best Tesco Bank Credit Cards

Updated: 4th November, 2019.

Tesco is much more than a supermarket. At the Tesco Bank arm, you will find a range of credit cards which largely focus on interest-free periods. There is seemingly something for just about everybody, designed to meet a range of borrowing needs. And you’ll have the added bonus of earning Tesco Clubcard points along the way.

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We’ve reviewed the cards in the Tesco Bank portfolio, looking at the length of the introductory offers, interest rates, fees and Clubcard rewards to come up with our favourites. Below are MyWalletHero’s picks for the top Tesco credit cards.

Great for: Long 0% money transfer and balance transfer
5 stars question mark

The Tesco Bank Money Transfer Credit Card offers a generous 28-month 0% interest rate period on money transfers and balance transfers. This could help consumers with existing debt to reduce their interest payments and repay their debts faster. The card also offers the opportunity to collect Clubcard points, which helps to differentiate it from rival money transfer cards. Do note that a transfer fee applies to both money transfers (3.94%) and balance transfers (2.98%).

Read full review >

CREDIT RATING req:

  • Poor/No credit
  • Fair/Average
  • Good/Excellent

HIGHLIGHTS

  • 0% interest for 28 months on money transfers made in the first 90 days (3.94% fee applies)
  • 0% interest for 28 months on balance transfers made in the first 90 days (2.98% fee applies)
  • No annual fee
  • 1 Tesco Clubcard point for every £4 spent at Tesco and for every £8 spent elsewhere

REPRESENTATIVE EXAMPLE

Representative rate 19.9% APR (variable)
Purchase rate 19.9% p.a. (variable)
Based on borrowing £1,200

what we like

  • 0% interest for 28 months on money transfers made in the first 90 days (3.94% fee applies)
  • 0% interest for 28 months on balance transfers made in the first 90 days (2.98% fee applies)
  • No annual fee
  • ANNUAL FEE:

    £0
  • REPRESENTATIVE APR:

    19.9%
  • INTRO OFFER:

    0% interest for 28 months on money transfers and balance transfers made in the first 90 days

KEY SCORES:

  • 5/5 Perks
  • 3/5Fees
  • 4/5APR

HIGHLIGHTS

  • 0% interest for 28 months on money transfers made in the first 90 days (3.94% fee applies)
  • 0% interest for 28 months on balance transfers made in the first 90 days (2.98% fee applies)
  • No annual fee
  • 1 Tesco Clubcard point for every £4 spent at Tesco and for every £8 spent elsewhere

REPRESENTATIVE EXAMPLE

Representative rate 19.9% APR (variable)
Purchase rate 19.9% p.a. (variable)
Based on borrowing £1,200
Great for: Long 0% balance transfer period
5 stars question mark

Tesco’s Balance Transfer Card gives successful applicants 28 months of 0% interest on balance transfers. That’s very near the longest on the market. There is a balance-transfer fee to be paid (2.98%), but that’s typical of 0% offers of this length. The card also offers 28 months 0% on money transfers (3.94% fee) and Tesco Clubcard points, making it a very well-rounded offer.

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CREDIT RATING req:

  • Poor/No credit
  • Fair/Average
  • Good/Excellent

HIGHLIGHTS

  • 28 months 0% interest on balances transferred in the first 90 days
  • 28 months 0% interest on money transfers made in the first 90 days
  • 1 Tesco Clubcard point for every £4 spent at Tesco
  • 1 Tesco Clubcard point for every £8 spent elsewhere
  • No annual fee

REPRESENTATIVE EXAMPLE

Representative rate 19.9% APR (variable)
Purchase rate 19.9% p.a. (variable)
Based on borrowing £1,200

what we like

  • 28 months 0% interest on balances transferred in the first 90 days
  • 28 months 0% interest on money transfers made in the first 90 days
  • Collect Tesco Clubcard points on all spend
  • ANNUAL FEE:

    £0
  • REPRESENTATIVE APR:

    19.9%
  • INTRO OFFER:

    0% interest for 28 months on balance and money transfers in the first 90 days

KEY SCORES:

  • 4/5 Perks
  • 3/5Fees
  • 4/5APR

HIGHLIGHTS

  • 28 months 0% interest on balances transferred in the first 90 days
  • 28 months 0% interest on money transfers made in the first 90 days
  • 1 Tesco Clubcard point for every £4 spent at Tesco
  • 1 Tesco Clubcard point for every £8 spent elsewhere
  • No annual fee

REPRESENTATIVE EXAMPLE

Representative rate 19.9% APR (variable)
Purchase rate 19.9% p.a. (variable)
Based on borrowing £1,200
Great for: 0% on purchases and balance transfers, no balance-transfer fee
4.5 stars question mark

The Tesco Bank 12 Month All Round Credit Card succeeds by being just what the name says: a good all-round option. You can find longer 0% interest periods elsewhere, but 12 months of 0% on purchases, balance transfers, and money transfers is a nice combination. No balance transfer fee adds to the appeal, as does the ability to earn Clubcard points.

Read full review >

CREDIT RATING req:

  • Poor/No credit
  • Fair/Average
  • Good/Excellent

HIGHLIGHTS

  • 0% interest for 12 months on purchases
  • 0% interest for 12 months on balance transfers and money transfers made in the first 90 days
  • No annual fee
  • No balance transfer fee (3.94% money transfer fee)
  • 1 Tesco Clubcard point for every £1 spent at Tesco and for every £8 spent elsewhere

REPRESENTATIVE EXAMPLE

Representative rate 19.9% APR (variable)
Purchase rate 19.9% p.a. (variable)
Based on borrowing £1,200

what we like

  • 0% interest for 12 months on purchases
  • 0% interest for 12 months on balance transfers and money transfers made in the first 90 days
  • No annual fee
  • ANNUAL FEE:

    £0
  • REPRESENTATIVE APR:

    19.9%
  • INTRO OFFER:

    0% interest for 12 months on purchases, balance transfers and money transfers

KEY SCORES:

  • 4/5 Perks
  • 3/5Fees
  • 4/5APR

HIGHLIGHTS

  • 0% interest for 12 months on purchases
  • 0% interest for 12 months on balance transfers and money transfers made in the first 90 days
  • No annual fee
  • No balance transfer fee (3.94% money transfer fee)
  • 1 Tesco Clubcard point for every £1 spent at Tesco and for every £8 spent elsewhere

REPRESENTATIVE EXAMPLE

Representative rate 19.9% APR (variable)
Purchase rate 19.9% p.a. (variable)
Based on borrowing £1,200
Great for: Long 0% interest on purchases and rewards
4.5 stars question mark

Tesco Bank’s Purchases Card is a solid choice if you’re looking for a long period for 0% interest on your spending, as 24 months stacks up well with competitors. The card gets even better if you’re a Tesco customer, since it’ll help you rack up Tesco points. You’ll get 1 Clubcard point for every £4 you spend at Tesco and 1 Clubcard point for every £8 that you spend elsewhere.

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CREDIT RATING req:

  • Poor/No credit
  • Fair/Average
  • Good/Excellent

HIGHLIGHTS

  • 0% interest on purchases made over the first 24 months
  • 1 Clubcard point per £4 spent in Tesco and for every £8 spent elsewhere

REPRESENTATIVE EXAMPLE

Representative rate 19.9% APR (variable)
Interest rate on purchases 19.9% p.a. (variable)
Assumed credit limit £1,200

what we like

  • 0% interest on purchases made over the first 24 months
  • 1 Clubcard point per £4 spent in Tesco and for every £8 spent elsewhere
  • ANNUAL FEE:

    £0
  • REPRESENTATIVE APR:

    19.9%
  • INTRO OFFER:

    0% purchases for 24 months

KEY SCORES:

  • 3/5 Perks
  • 3/5Fees
  • 4/5APR

HIGHLIGHTS

  • 0% interest on purchases made over the first 24 months
  • 1 Clubcard point per £4 spent in Tesco and for every £8 spent elsewhere

REPRESENTATIVE EXAMPLE

Representative rate 19.9% APR (variable)
Interest rate on purchases 19.9% p.a. (variable)
Assumed credit limit £1,200
Great for: Building and rebuilding credit
3.5 stars question mark

If you are looking for a credit rebuilder card that offers you more than just access to credit, the Tesco Bank Foundation Card does just that. It offers free access to Noddle Premium services and Tesco Clubcard benefits, as well as a comparatively low APR and manageable credit limits.

Read full review >

CREDIT RATING req:

  • Poor/No credit
  • Fair/Average
  • Good/Excellent

HIGHLIGHTS

  • No annual fee
  • Free service to help manage credit rating
  • Collect Tesco Clubcard points

REPRESENTATIVE EXAMPLE

Representative rate 27.5% APR (variable)
Interest rate on purchases 27.5% p.a. (variable)
Assumed credit limit £1,200

what we like

  • No annual fee
  • Free service to help manage credit rating
  • Collect Tesco Clubcard points
  • ANNUAL FEE:

    £0
  • REPRESENTATIVE APR:

    27.5%
  • INTRO OFFER:

    N/A

KEY SCORES:

  • 2/5 Perks
  • 3/5Fees
  • 1/5APR

HIGHLIGHTS

  • No annual fee
  • Free service to help manage credit rating
  • Collect Tesco Clubcard points

REPRESENTATIVE EXAMPLE

Representative rate 27.5% APR (variable)
Interest rate on purchases 27.5% p.a. (variable)
Assumed credit limit £1,200
Great for: Low standard APR plus rewards
3 stars question mark

The Tesco Bank Low APR Credit Card offers a very competitive interest rate as well as enticing rewards that could make it an appealing everyday card. The low standard APR might appeal to those who occasionally carry a balance short term, while the Tesco Clubcard points can provide a nice return on spend, especially for regular Tesco shoppers. The card offers one month of 0% interest, so if you’re looking for a longer 0% period, you’ll have to look elsewhere.

Read full review >

CREDIT RATING req:

  • Poor/No credit
  • Fair/Average
  • Good/Excellent

HIGHLIGHTS

  • Low standard APR
  • 1 Tesco Clubcard point for every £4 spent at Tesco and 1 point for every £8 spent elsewhere
  • No annual fee

REPRESENTATIVE EXAMPLE

Representative rate 5.9% APR (variable)
Purchase rate 5.9% p.a. (variable)
Based on borrowing £1,200

what we like

  • Low standard APR
  • 1 Tesco Clubcard point for every £4 spent at Tesco and 1 point for every £8 spent elsewhere
  • No annual fee
  • ANNUAL FEE:

    £0
  • REPRESENTATIVE APR:

    5.9%
  • INTRO OFFER:

    0% interest on purchases for the first month

KEY SCORES:

  • 1/5 Perks
  • 3/5Fees
  • 5/5APR

HIGHLIGHTS

  • Low standard APR
  • 1 Tesco Clubcard point for every £4 spent at Tesco and 1 point for every £8 spent elsewhere
  • No annual fee

REPRESENTATIVE EXAMPLE

Representative rate 5.9% APR (variable)
Purchase rate 5.9% p.a. (variable)
Based on borrowing £1,200

Tesco Credit Cards

For over two decades you have been able to apply for a credit card alongside your weekly groceries. Tesco Bank started as a joint venture with Royal Bank of Scotland in 1997, before becoming a wholly owned subsidiary in 2008. In that time, it has become a regular feature on the best buy tables, known not only for its Clubcard rewards scheme but also for offering some of the most competitive interest-free periods around.

The bank’s portfolio is extensive when it comes to offers regarding purchases, balance transfers and money transfers. And while the focus is largely on those with good or excellent credit, the bank also has an option for those with poor credit who are looking to improve their credit score.

What does Tesco do well?

What Tesco does well is interest-free introductory periods. If you are perusing the best buy tables at the weekend, or searching through the comparison sites, the likelihood is you will see Tesco Bank in the mix for cards with the longest introductory offers on purchases, balance transfers or money transfers. Whatever the longest interest-free period is on the market at the time, Tesco will almost always be within a few months of it.

The bank also offers ‘all round’ cards, which include multiple interest-free introductory offers. For example, you can have a card which offers you 0% on purchases and 0% on balance transfers. The length of the introductory periods will match (which is a plus), but will be shorter than the cards which specialise in just one or the other.

If you know the Tesco brand then you will know about its Clubcard loyalty scheme. You may already be a member, and therefore can use your credit card to earn yourself even more points, or you may be new to the scheme altogether. Either way, your credit card can act as your Clubcard.

When spending with your credit card you can earn a higher yield of points for spending in store at Tesco, or a lower yield when spending elsewhere. Clubcard points are then turned into vouchers every three months which can be used on your shopping or on fuel. Or you have the option to ‘boost’ the value of the voucher by using it with Clubcard Reward Partners which include the likes of Pizza Express, Cineworld Cinemas and Legoland. The latter can be a great option, since it stretches your points much further.

What you get in a Tesco credit card is access to a popular and wide-reaching reward points scheme, as well as interest-free introductory offers galore. And let’s not forget, Tesco also caters to those with a less than perfect credit score. Its credit builder credit card offers borrowers the ability to improve their credit score through responsible borrowing, while also offering access to the Clubcard points scheme in line with its core credit card offering.

Where does Tesco fall down?

While you may be interested in the interest-free offers, always check the small print. The bank does include balance transfer and money transfer fees on some of its credit cards and while the balance transfer fee is in line with the market average, the money transfer fee is slightly higher. Added to that you are likely to come across a foreign transaction fee in the mix as well.

One other area Tesco falls down is its reward scheme. While the Clubcard scheme may be well known, that doesn’t necessarily mean that you will be getting the most value for your money by using your credit card to earn points. You have to spend a reasonable amount in order to earn yourself a decent number of points, and the rewards points yield is very much skewed towards spending instore or online with Tesco. The option to drastically boost your points value helps, but only if you’re a fan of the brands that partner with Tesco.

What will you find in Tesco’s card portfolio?

If you are looking for interest-free offers then Tesco’s portfolio is a good place to look. It has something for everyone with 0% purchases, 0% balance transfers, 0% money transfers and dual offer cards. There are even options available now for fee-free balance transfers and money transfers, so it’s worth having a look through and see which combination would suit your borrowing needs best.

If you are looking for a big rewards yield or cashback, Tesco is less likely to stump up the goods. It does have its Clubcard scheme, but as I mentioned, this is fairly limited in terms of how many points you can earn for how much you spend. If you are a very big Tesco shopper and frequent Tesco’s partners – and therefore can take advantage of the points boost – then the story may be different for you.

Similarly, if it is travel benefits or insurance options you are after, Tesco has chosen to keep it simple and focus on its introductory offers and Clubcard points instead.

How to apply

You can apply online through the Tesco Bank website, and you will receive a response in under 10 minutes.

The bank requires that you have a minimum annual income of £5,000, are 18 years of age and are a UK resident. You will not be eligible if you already hold a Tesco Bank credit card or have applied for one in the last month.

Tesco Bank asks that you have a good credit score, unless you are applying for its credit builder credit card, which is designed for applications with a poor credit history.

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