Despite the usual scaremongering that goes on around credit cards, they can be a useful tool in the right hands. I personally use a combination of a Charge Card & Credit Card for all my discretionary, travel and entertainment spend. With the two combined I receive incentives such as; worldwide travel protection, 24/7 concierge services, free Airport Lounge access, excess damage waiver ( if you rent cars abroad), 0% non sterling transactions fees, priority bookings for restaurants/hotels including free upgrades and credit to spend, reward points for each £1 spent, (so when I shop on amazon I can usually pay entirely from my points).

A crucial part of all this, is the payment protection you receive when you buy items between £100 and £30,000 with your credit card.This is a law from section 75 of the consumer Credit Act 1974, which protects the consumer in the event that a supplier fails to deliver goods, misrepresents or breaches a contract. In simple terms if you buy an item and find a fault, or the item doesn’t arrive ( or you don’t receive the service you paid for) you can claim your money back even if the retailer has gone bankrupt.