Credit card holders confess to perk-less plastic

More than half of all UK credit card holders are in possession of a credit card which fails to offer any type of perk according to a study from the Goldfish credit card. This amounts to estimated 20 million pieces of plastic which are failing to offer credit card holders any type of reward scheme or a reduced promotional interest rate on balance transfers or purchases.

The study found that thirty per cent of people hold a retail reward card whereby they can collect points to redeem with retailers, whilst more than one in five people (21%) take advantage of cashback credit cards. Cards which enable people to collect Airmiles or travel points are the third most popular loyalty scheme (9%). Seventeen per cent of UK cardholders are taking advantage of the new wave of low rate balance transfer and purchase promotional deals on the market.

Charlotte Hogg, managing director for the Goldfish Credit Card commented: ‘Credit card holders need to demand more from their plastic. If customers hold a card that doesn’t reward their spending then they should investigate what other cards might be better suited to their spending patterns. We have found that an increasing number of our customers are using their credit cards for everyday purchases such as groceries and petrol, realising that they can reap rewards for all the regular purchases they make anyway.”

Goldfish questioned a GB sample of 2,000 cardholders on the types of credit cards currently held.

Other key facts

Men and women are equally likely to confess to holding plastic which offers no perks (52% and 51% respectively).

Across the age groups, the young are slightly more likely to demand more from their plastic – 49 per cent of under thirties are in possession of cards without any form of perk, compares to 53 per cent of the over fifties.

Men are more likely to opt for a cash back loyalty scheme (24% compared to 19% of women), whilst women are more likely to take up cards where they can accumulate points that can be redeemed with retailers (31% versus 27% of men).

Retail rewards schemes are most popular for the over fifties (35%), compared to the under thirties (14%). The over fifties are also more likely than under thirties to favour cash back (23% versus 18%) whilst the under thirties are more likely than the over fifties to be taking advantage of low rate promotional deals (18% versus 16%).

Those in London are most likely to hold a card which doesn’t offer any real benefit (56%). The Scots are least likely to carry plastic without perks (49%).

Those living in the South of England are most likely to hold a retail rewards-based credit card (36%). Londoners are most likely of any region to hold a travel rewards card (9%), whilst Scots are least likely (6%)

Scots are most likely to hold a credit card with a low promotional rate on balance transfers or purchases, (22%) whilst those in the South are least likely to opt for a zero per cent deal (14%).