Where can I get a credit card?

You can apply for a credit card from most of the leading banks, building societies and some high street stores. They will do a credit score on you to check your ability to repay any loan they offer you.

Firms offering goods or services on credit or lending money to customers must be licensed by the Office of Fair Trading (OFT) under The Consumer Credit Act 1974. The Act requires certain credit and hire agreements to be set out in a particular way and to contain certain information.

Offering goods or services without a licence is a criminal offence, which can result in a fine and/or imprisonment.

The card will carry your issuer's name and brand, and your relationship is with them, for example they run your account and decide how much you can spend. The card will probably have a Mastercard or Visa symbol as well, although you don't deal directly with them.

Before you choose any credit card, shop around. You'll find that while they all work on the same principle, they come with many different incentives such as 0% interest and other benefits. Use the APR (Annual Percentage Rate) to help you shop around and compare deals.

For useful information about borrowing on credit see the OFT's 'Be choosy about credit' section on its website.