5,000 free Nectar points with Amex credit cardFree reward points worth up to £50

13 May 2010

Card fan

Unless you really need to, try not to withdraw cash using your credit card - the interest rates are eye-wateringly high

American Express is offering 5,000 bonus Nectar points to new customers taking out its Nectar credit card and who spend £500 in the first three months.

When cashed in, Nectar points are usually worth £1 off your shopping for every 200 points collected, meaning the Amex bonus offer is worth £25 off your shopping in-store.

In addition to the introductory offer, the reward credit card gives the cardholder Nectar points for purchases made on the card. The reward scheme is equivalent to 1% cashback on spending at Nectar retailers, and 0.5% elsewhere.

Double value if spent on promotional offers

Points can be spent at participating Nectar retailers, including Homebase, Argos, Philips, Sainsbury's, Ask, Laithwaites, Alton Towers Resort, Eurostar, amazon.co.uk and Expedia. Points are worth double at special partners including Ask, Legoland, Alton Towers, Thorpe Park, Chessington World of Adventures, Madame Tussauds and Warwick Castle.

The card has a typical variable interest rate (APR) of 19.9% on purchases and no annual fee.

An excellent deal at participating Nectar retailers

Which? credit card expert Martyn Saville commented: 'The relatively high APR of 19.9% makes this card unsuitable for borrowing, so it should only be considered if you tend to clear your credit card balance in full every month.

'If you do, this card is an excellent deal for regular shoppers at participating Nectar retailers, particularly if you use your points to buy days out. Canny consumers who want to build up their Nectar balance may decide to carry two credit cards with them - the Amex Nectar credit card for shopping at the retailers listed above and a Best Rate cashback card for shopping elsewhere.'

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