New Orange credit card pays 1% rewardsOrange and Barclaycard join up to offer new card
18 January 2010
Orange and Barclaycard have launched a new rewards credit card offering the equivalent of 1% cashback.
The card comes with a standard APR of 18.9%, a 0% balance transfer deal of nine months and contactless technology, allowing you to pay for items costing up to £10 without entering your Pin.
Under the reward points deal, for every £1 spent on the card you will receive one Orange Credit Card reward point, which can be redeemed against high street vouchers, trips and special events and discounts on mobile phone purchases from Orange. Alternatively, the money can be donated to good causes, including Guide Dogs and UNICEF.
Not a good credit card if you don't clear your bill
Martyn Saville, Which? credit card expert, commented: 'The high APR of 18.9% makes this card unsuitable for borrowing. Similarly, the nine months at 0% on balance transfers can easily be beaten by many other cards on the market, most notably the 16-month deal currently on offer from Virgin.
'On the plus side, the rewards scheme with the Orange card is more generous than most and is equivalent to a cashback rate of 1%, so long as you're happy to spend your rewards with specified retailers. This new card could therefore be a very good option if you pay off your credit card bill every month.
'If you don't pay off your bill each month, any rewards you earn will soon be eaten up by the high interest rate charged and you could be better off with a low-APR card such as Barclaycard's Platinum Simplicity credit card charging 6.8%.'
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