Understanding rates, fees and charges.

When you take out a credit card there are a number of specific terms that we use to refer to the interest rates, fees and charges on your credit card account. This guide is intended to help you if you're unsure about any of the terms we use we and would like to get a better understanding.


What should I know about credit card interest rates?

There are three types of rates that apply on credit cards:

  1. Promotional rates on balance transfers, money transfers and purchases
    These can include interest free periods or a low interest rate for a set period of time. Fees may apply on balance transfers and money transfers. To keep any promotional rate you'll need to make the minimum payment on time each month and stay within your credit limit
  2. Up to 56 days Interest free on purchases if you make your payment in full by your payment due date
    If you don’t make your payment in full then standard interest rate applies from the date of the purchase until the balance is paid in full
  3. Standard Interest rates on balance transfers, cash and purchases
    Standard interest rates apply on balance transfers, money transfers, cash advances and purchases once a promotional period has ended. If you're unsure what interest rate you're being charged please refer to your credit card terms and conditions.

Credit card fees explained

Credit card fees can vary. You should refer to your credit card terms and conditions for details. 

These are the most common types of credit card fees:

  • Balance transfer fee
    Transferring an existing balance from one credit card or store card to your Halifax credit card
  • Card processing fee
    Some companies may charge a fee for using your card for gambling transactions, buying postal orders or prize competition entry fees.
  • Cash advance fee
    Withdrawing cash from a cash machines can apply fees to your credit card.
  • Money transfer fee
    Transferring money from your credit card to one of your existing UK current accounts
  • Using your card abroad
    You may be charged additional fees and interest for making non-sterling transactions or buying non-sterling currency.

Credit card default charges

A default charge of £12  may be applied to your credit card account. You will be notified of any charges due to be applied to your account on your monthly statement. 

These are the most common default charge types:

  • Credit limit fee
    If you go over your credit limit at any point during your statement period
  • Late payment fee
    If you do not make at least your minimum payment to us by the due date requested on your statement or miss a payment
  • Returned payment fee
    If you make a payment to us that we are not able to process (rejected direct debit, cheque with insufficient funds or any other returned payment).

Getting help with credit card debt

If you’re struggling to make payments on your credit card, please contact us.

We have trained advisors who will be able to offer you help and guidance on how to pay off your credit card debt. We can discuss payment options with you and may be able to negotiate an agreement which will reflect what you can afford to pay based on your personal circumstances.

Getting in touch with us:


Making sure you get a fair deal

We want you to find a product that's right for your circumstances, which is why we adhere to the Standards of Lending Practice, which are monitored and enforced by the Lending Standards Board

To find out more you can read the statement of responsibilities, which details what's expected of us, the lender and you the borrower.


Halifax Credit Cards are issued by Bank of Scotland plc, Registered in Scotland No.SC327000. Registered Office: The Mound, Edinburgh EH1 1YZ. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration no. 169628.