Credit cards for today, and tomorrow

Aro is a credit broker, not a lender. This means that when you check your loan, credit card or car finance options through us, we use smart decisioning to quickly check your details against our lenders’ eligibility criteria and find you suitable borrowing options.

A credit card gives you access to a line of revolving credit. When you get a credit card, you’ll be given a credit limit (maximum spend). You can spend up to this amount on your credit card.

You’ll need to make at least the minimum monthly repayment on your credit card each month, or pay the balance off in full. If you don’t pay the balance off in full each month, you’ll be charged interest on your remaining balance. If you do clear your entire balance on or before your repayment date, you won’t be charged interest on your spending.

Want to know more about credit cards? Check out more of our content to help you decide whether they’re the right finance option for you.

• What are the benefits of having a credit card?
• Can I have more than one credit card?

Lenders determine credit limit (and what you are offered) will always depend on your credit history and personal circumstances. This means they could decide your credit limit is lower than the maximum credit limit available.

The APR you are offered depends on both the credit card you are eligible for and your credit score. Some credit cards will have a set APR. Others may have a range of APRs which vary depending on your credit score and personal circumstances. In this instance, the better your credit score, the lower the APR you are likely to be offered. For more information, we have written a full guide on Annual Percentage Rates explained. You might also like to know what an APR stands for.

If you receive a 100% pre-approved credit card offer, it means that you’ll definitely be accepted by the credit card provider if you apply*. We show you this information so that you know which card options you’re most eligible for and to help reduce the chance of a credit decline being recorded on your credit file.

^{*Approval for pre-approved credit card offers, however, is subject to final lender and fraud checks.}

Yes, you can. If you already have a credit card, you can apply for a new card to take advantage of its different features and benefits, such as balance transfers or 0% on purchases.

Yes: with a credit card, your credit score can go up. But only if you make at least the minimum repayment on your credit card each month. As a result of that, it’s possible that your credit score would ultimately improve over time.

If you don’t make at least the minimum monthly repayment, this will have a negative impact on your credit score. When you miss monthly repayment, it can remain on your credit report for up to seven years. Therefore, it’s important you don’t borrow more money than you can afford to pay back.

The answer to this question ultimately depends on your credit card provider. But usually it takes between seven to ten working days from the date they accept you. Your PIN will arrive separately from your credit card.

How long it takes for your PIN to arrive will depend on your credit card provider, although most credit card providers will send you your new credit card and PIN within 10 days of being approved. For security reasons, your PIN number will usually arrive separately from your credit card.

Not sure whether to use a credit card or debit card? We’ve weighed up the pros and cons in this guide: credit cards vs debit cards.

A balance transfer card allows you to transfer a balance from one credit card to another. Balance transfer credit cards often come with 0% interest for a fixed term, for instance the first four months of you owning your credit card.

Balance transfer card definition

This means that you can transfer the amount you owe from another credit card (usually for a fee), and not pay interest on the balance for the 0% period. This can give you more time to pay off what you owe without your debt increasing. When your 0% period comes to an end, the card’s usual interest rate will apply to any remaining balance.

A 0% purchase card allows you to spend on your credit card without being charged interest for the 0% period.

This means that if you wanted to spread the cost of a big purchase or a number of small purchases, you could make the payments on your credit card, then pay it off in monthly instalments before the end of your 0% period.

Just remember that once the 0% period ends, the card’s usual interest rate will apply to any remaining balance.

A cash advance is a service provided by most credit card companies. In short, it allows you to withdraw cash from an ATM or at your bank using your credit card. Your cash advance limit may be different to your card’s credit limit. Consequently, the APR they charge you with may be different to your card’s usual APR. You’ll face charges on interest for a cash advance from the moment you borrow the money to until you repay it.

To cancel a credit card, you’ll need to have cleared the balance. Once the balance has been cleared, get in contact with your credit card provider and let them know you want to cancel your card.

Simply not using the card will keep the account open, so it’s critical that you contact your credit card provider if you want to close it.

How do you compare a personal loan vs credit card?

With a credit card, you have access to a line of credit. Consequently, you can spend up to a certain limit each month. Once you repay what you owe, that amount is available to you again. Then they charge you interest on your borrowing only if you don’t repay what you owe in full when your bill is due. There are many different types of credit cards that have different features and benefits. These range from helping you spread your costs, clear existing credit card debts or giving you rewards for your spending.

More about personal loan vs credit card

With a personal loan, you borrow a fixed amount off a lender. Then you pay it back in monthly instalments plus interest over the term of your loan. Once you repay your loan in full, you’ll clear your debt. Then, they apply interest to the amount you borrow over the whole term of your loan. As a result, you’ll pay back more than you borrow at the end of your term.

Score booster is our term for credit builder products. It refers to a product that you can use to help give your credit score a boost. With a score booster or credit builder card, when used little and often and repaid in full each month, it can improve your credit score over time.