Charity credit cards have become increasingly popular over recent years, as people seek to support their favourite charities at seemingly no extra cost to themselves. When you take out one of these cards, a one-off donation of a few dollars is made by the card issuer to the charity linked to the card, followed up by a small percentage of everything you spend, again donated by the card company rather than the cardholder.
Cards are available covering a huge range of charitable organisations, from local to national and even international, and there is almost certain to be one that supports an area of concern to you.
All this sounds like a good deal for everyone involved, but is the picture as simple as that? The first drawback to a charity card is that the interest rates, balance transfer offers, and other deals are rarely as generous to the cardholder as those featured by other cards that compete under being a ‘best buy’ card. This may be a price you feel worth paying for the benefit the charity will receive, but you might in fact be better getting a cheaper card and donating the money you save to your charity directly.
Even putting aside the...