Again always check the all print on your credit card agreement. These can be particularly painful if you do not know about them previously.

These may include an extra charge for using your card abroad or receiving cash advances. A typical cash advance fee would be around 3%, with a minimum set amount. However, not only will you be liable for this charge there is also the prospect of a much higher interest rate that will be levied on this ‘cash loan’. This is one of the most expensive ways that you could borrow money.

Using your credit card abroad is great for your own security but you may not get the best exchange rates possible and there may be a charge for this, always check your agreement before traveling with your current card. Almost every credit card in the UK will charge for using the card abroad, only Nationwide offer a free foriegn usage facility.You can go to Nationwide here. Please note, we receive no commission for this referral.

Credit card companies will also charge for exceeding your credit limit, these charges are usually about the same as charges for late payment and may work against your credit rating. Check you terms and conditions of your credit card to familiarise yourself with all the charges that are applicable.

If you require a duplicate statement this will cost you approx £5, over limit charge is a standard £20 which is mormally identical to the late payment fee and also returned payment charge. If you write a credit card cheque, but do not have the credit available to honor it this will normally cost you approx £15 too. These charges are only from the credit card company and should be noted that your bank may charge you an additional charge if they have been involved too.