Charity Credit Cards

Charity credit cards are simply ordinary credit cards that promote a particular set of causes or one cause. Together with similar cards, they are known as affinity cards. What this means is that a set donation will be made to the charity or charities when you are issued with the card and for every transaction, you make on the card a small percentage donation will also go to the charity.

In theory, it costs you nothing to raise money in this way to support the charity of your choice. You’ll see promotional material claiming that charity credit cards allow you to carry a card that shows you really care and that you can make a difference every time you spend money with the card.

However, be aware that the credit terms and conditions and the APR interest rates of many charity credit cards may be less competitive than other credit cards. Also, donations made through charity credit cards are not as tax efficient as your own charitable giving can be. As a taxpayer, use Gift Aid, for example, and your chosen charity will benefit further by being able to reclaim basic rate tax on your gift.

Charity credit cards make a clear statement of your commitment every time you get them out of your wallet but they arent necessarily the most efficient way of giving.

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