Play your cards right: The best credit cards for spending, holidays, rewards or clearing your debts

Are you planning on making a big purchase? Do you need to clear your debts once and for all? Or have you decided now is the time to become more spending savvy and get some rewards from your everyday costs?

Whatever you are thinking of doing with your finances in 2015, if it is going to involve a credit card, then it is essential that you get the right one.

If used correctly, credit cards can help you get something back or spread the cost of things that you are spend on. There are also plenty of deals around that could help you to avoid crippling interest rates on existing debt and pay off what you owe. (Remember use credit cards wrongly and they can spell bad news though.)

Play your cards right: We pick the best credit cards for spending, rewards, travel and clearing debt.

This is Money has scoured the market and picked out what we believe are the best credit card deals to help you make the most of your money. We pick these because we think that they offer something that makes them stand out from the crowd, they may not always have the absolute lowest rate or longest special offer, but they are judged by our independent research to offer a good deal.

This page is kept up-to-date throughout the year - bookmark it for the very latest developments.

>> For tables of the latest best rates head over to our credit card comparison tool

Best credit card for clearing debt

0 per cent balance transfer credit cards

If you’ve racked up a load of debt and have decided to make a fresh start on tackling it, zero per cent balance transfer cards could be the way to go.

Moving your debt to an interest-free card means that you can freeze the size of your debt, rather than continually play catch-up as interest piles on the pounds.

The right balance transfer card for you depends on your circumstances, so rather than recommend one 'best' option here, we would instead recommend readers go to our in-depth guide to 0 per cent balance transfer cards for the best deal.

Best credit cards for spending on big purchases

0 per cent purchase credit cards

If you’re planning some home improvements or large purchases in the near future and need some extra cash for spending, as long as you are confident you can pay off the full amount within 12 months or slightly longer to avoid high interest rates, a 0 per cent purchase card could be a good option for you.

There are a whole range on offer, but the most generous offer currently available is from the Post Office giving 27 interest-free spending on its Matched credit card. 

Cardholders who make a transaction on the card within the first three months will see their 0 per cent purchase period boosted from the standard 16 months given by the card, to a market leading 27 months. 

It also gives 16 months interest-free balance transfers, charging a 2.98 fee to shift debt to the card. Once the introductory periods end interest reverts back to 18.9 per cent. 

Could you be better with a long-term low rate instead? 

If you are happy to waive a 0 per cent interest period, another credit card option for anyone wanting to take the pressure off paying within a set time period is a permanent low-interest card.

These give the flexibility of knowing that you have a card to hand to spread big purchases out, without having to apply for a new one each time you plot a large spend.

Lloyds Bank, Halifax and Bank of Scotland all offer the cheapest standard APR at just 6.4 per cent.

The benefit is that if you decide not to pay off the entire balance every month, you will only have to pay minimal interest.

You must have a good credit rating to be approved.

Check out this is Money's favourite low-rate credit card here

Best credit cards for rewards

An EU cap on the amount credit card providers can earn from transactions has unfortunately seen some lucrative reward schemes either scrapped or scaled back over recent months.

RBS and Natwest pulled the Your Points scheme in July with previous customers able to redeem existing points until 31 October.

Capital One withdrew its range of cashback credit cards to new customers earlier in the year and existing customers stopped earning rewards from 1 June. 

But there are still a few companies still offering rewards cards that if you do it right could earn you £1,000s worth of goods and services for free – but there are some major loopholes and catches to look out for and the best deals may not be around for long. 

The first thing is the points system, used by most rewards credit cards.

Each company operates under their own system, so make sure you check what each point is actually worth – something that may appear to offer huge bonuses could in reality be almost worthless. 

Travel rewards: pay with a credit card to get deals on trips

Best for airline points: British Airways Amex card

Your choice of rewards card will largely depend on which airlines you prefer because a combination of credit card and frequent flyer points are going to get you the best discounts. 

However, if you are a big spender, the British Airways Amex card could be a good option for you.

A recent overhaul of the Avios points system has made it harder for economy flyers to clock up points so taking out a credit card that rewards spending with Avios points could be a good way to help boost your points pot.

 What do you get?

 The major crowd-pleaser is the free companion ticket for those who spend more than £10,000 a year - although you still have to foot the bill for taxes, fees and charges.

The sign-up bonuses are good, too. At the moment you get 25,000 Avios points when you successfully apply and spend £3,000 within the first three months.

Cardholders caget automatic enrolment to the British Airways Executive Club, which includes priority on standby waiting lists, 24/7 support when traveling outside the UK through Global Assist, and travel accident insurance of up to £75,000 on public transport when booked with your Amex card. 

You get 1.5 Avios points for each £1 you spend. You also get three Avios point for every £1 you spend with British Airways or BA holidays. You will need 9,000 points for a return flight to Berlin, 15,000 gets you as far as Rome and 20,000 buys you a return flight to Moscow.

The small-print

Points expire after 36 months.  

There is a £150 annual fee and 19.9 per cent means you need to make sure you pay the card off in full each month.

To be eligible you must have a household income of £30,000 and no history of bad credit. 

Best for overseas spending: MBNA Everyday Plus Amex 

Using a credit card abroad is notoriously expensive, but the MBNA Everyday Plus American Express credit card applies no fees for cash withdrawals in the UK or abroad or for foreign transactions, both of which typically incur extra charges of 3 per cent.

All borrowing on the card clocks up interest at 7.4 per cent, much lower than the standard 18 or 19 per cent APR of a standard credit card.

There is no handling fee for shifting existing debt from a credit card or money transfers to a current account.

Watch out:

The credit card offers no 0 per cent interest periods on purchases or transfers. Despite the low rate interest can still quickly build up.

Cash withdrawals will start clocking up interest immediately so make sure to pay them off as soon as possible. 

Remember American Express credit cards are not accepted everywhere. 

Best credit card for everyday spending: Santander’s 123 Credit Card

Santander’s 123 Credit Card pays cardholders up to 3 per cent cashback plus it comes with a decent 23 month interest-free term on purchases.

The card pays up to £9 cashback a month, a total of £108. 

Money back: Santander is offering cashback on rail fare

It pays 1 per cent on supermarket spends of up to £300 a month, swiping your card in department stores earns 2 per cent on the first £150 and paying for travel up to £100 earns 3 per cent cashback. 

Santander has also recently launched a Retailer Offers scheme which makes personalised cashback deals available to all current account and credit card customers through their online banking.

 Cardholders will be offered between four and seven new deals a month, once these are activated payouts are earned simply by spending using their credit cards automatically.

Over 100 brands including are signed up, New Look, Argos, Gourmet Burger Kitchen, Hertz, Patisserie Valerie and Heals with cashback rates of up to 15 per cent.

The small print

Make sure to read the terms and conditions as there may be some exceptions on where you can claim money back from. 

Purchases not eligible for cashback include TfL travelcards, passes and Oyster Card top ups made at newsagents, garages and off-licences. Eurotunnel Le Shuttle and train tickets bought through travel agents or tour operators are also excluded from the deal. You cannot claim money back when travelling on NI Railways.

There is a £24 annual fee which rises to £36 from January 11 2016.

New 123 Current Account holders can apply for a refund for the first year if they set up a direct debit from the 123 Current Account to pay your 123 Credit Card within 30 days.  

There is also a high APR of 16.5 per cent - so make sure you pay off your full balance every month to avoid interest. 

Top offers: shoppers can rack up points using Tesco's Clubcard credit card

Best rewards cards for supermarkets: Tesco Clubcard Credit Card for Purchases

The card that’s right for you will depend on where you like to shop, but the Tesco Clubcard Credit Card for Purchases is particularly rewarding for supermarket spending.  

It gives one Clubcard point for every £4 you spend on it. One point is worth 1p if spent in-store at Tesco and 4p if redeemed using Tesco's Clubcard rewards vouchers.  

These can be used for a variety of restaurants, cinemas and other entertainment venues, as well as travel, through Avios.

From December 1 cardholders will have to spend £8 to receive one clubcard point on spends outside of Tesco stores. 

Your credit card doubles as your Clubcard so you'll get five points for every £4 spent in Tesco stores and five for every £4 spent on Tesco fuel (excluding Esso Fuel) - which is a pretty good deal compared to other medium-spend offerings in the market.

The small print

Points expire after two years and rewards vouchers, two-and-a-half.

Clearly, with a 18.9 per cent interest rate, you should make sure you pay the card off in full each month otherwise rewards will be quickly cancelled out.

Cardholders pay 0 per cent on balance transfers for six months, although they do have to pay a transfer fee of 2.9 per cent fee  – and can transfer up to 95 per cent of a balance.

Purchases are interest free for 21 months. 

Points will not be awarded for some products, including tobacco or tobacco related products, lottery, stamps, prescription medicines, infant formula milk, Tesco Gift Cards, saving stamps, Esso fuel, Paypoint payments or for purchases of some Tesco Bank products. 

Best credit card for cashback: American Express Platinum Cashback Everyday Card

The American Express Platinum Cashback Everyday Card has the highest cashback rate currently available – and, as an added incentive, there is no annual fee to pay. 

But, you will need to spend at least £3,000 on the card each year to qualify for the cashback. 

BEST CASHBACK CREDIT CARDS

Best Cashback Credit Cards

Chosen by This is Money

Provider

Cashback

Amex Platinum	to 5%
The AA	to 4%
Santander	to 3%
LLoyds	to 2%
RBS	1%

What do you get?

Spend £2,000 on your Platinum Cashback Card in the first three months and you will receive £100 in cashback

You can also earn cashback on supermarket and petrol spends, as well as travel and entertainment. In fact, you can earn money on virtually all your everyday purchases.

After the first three months the rate drops from the 5 per cent introductory offer to a maximum of 1.25 per cent. 

• Spend £0 to £3,500 and receive 0.5% cashback on that spend
• Spend between £3,500 and £7,500, receive 1% cashback on that spend
• Spend over £7,501 and receive 1.25% cashback on that spend

You are also eligible for travel accident insurance for up to £150,000 on public transport when you buy your ticket with your card.

Complimentary supplementary cards for family members are available, generating even more cashback for your account.

The small print

You must spend a minimum of £3,000 a year to qualify for cashback. 

Cashback is not earned on balance transfers, cash advances, American Express travellers cheques purchases, foreign exchange transactions or interest.

Remember, cashback incentives are there to encourage you to buy more on your card - and pay higher interest charges.

The 22.9 per cent APR means you should pay off your balance in full every month to avoid hefty charges. 

Credit card deals Of the week

0% interest

37-month balance transfer deal

Representative 18.9% APR (variable)

Puchase card

27 months 0% interest purchases

Representative 18.9% APR (variable)

Cashback

4% on fuel, 0.5% on everything else

Representative 22.4% APR (variable)

Low rate

Fee-free transfers & low rate

Representative 6.4% APR (variable)

Loyalty points

19 months 0% on purchases

Representative 18.9% APR (variable)