A platinum credit card or a gold credit card are elite and prestigious credit cards with added benefits such as rewards and higher limits. Some times there are referred to as high limit credit cards.
The perks vary from card to card. Some charge fees, and others don’t.
Some of the popular choices include the Amex Gold, American Express Gold, Barclaycard Visa Platinum, Barclaycard Gold, and First Direct Gold card. But there are lots of other options too.
Platinum cards are considered to be a tier above standard credit cards.
Are platinum credit cards worth having?
Platinum credit cards are considered elite. There’s no specific set of features that every one of these credit cards offers, but they do come with a range of different perks.
Some of the benefits and rewards could include:
Higher credit limits
Cashback, vouchers, air miles and other reward schemes
A higher cash withdrawal limit
Lower fees for using the card abroad
Bundled travel insurance
Lower interest rates
0% deals for purchases and balance transfers
A higher level of protection on your purchases
Complimentary extras such as airport lounge access
A bonus point scheme.
These features aren’t exclusive to platinum cards and can come with other credit cards too.
Can you get a high limit credit card?
The truth is that rarely do credit card providers market their cards as high limit credit cards. That's because credit limits can vary greatly from one individual to another.
The credit limit you are offered depends on your credit worthiness and financial circumstances. So if some people are offered high limits on their credit cards, that doesn't mean that everyone will be offered the same limits.
The table above lets you compare gold cards and platinum cards so you can find a premium credit card that suits you. You can see the APR, balance transfer deal and interest-free period offered by each one.
Are gold and platinum cards the best cards available?
Some of the best cards on the market are gold and platinum cards. From the Barclays Gold Credit Card and Amex Gold Credit Card, to the Platinum Visa, there are many gold cards and platinum cards available.
But, before you decide whether to go ahead and apply for a platinum credit card or a gold credit card, check to make sure you’re getting the best deal. It’s not worth getting an exclusive credit card just as a status symbol. You might be able to get a better card by looking for the specific features you need.
Compare cards that are designed specifically for what you need, so you can get the best possible deal. We have comparison tables for cards that offer the following:
0% balance transfers – these allow you to pay off an existing credit card interest free
0% purchases cards– these charge no interest for several months on your first purchases
Money transfer cards – these let you send cash to your bank account and repay interest free
Reward schemes – these give you vouchers and other incentives on your spending
Cashback cards – these give you money back as a percentage of what you spend
Air miles cards – these give you reward points you can exchange for flights
Low foreign transaction fees – these keep down the cost of spending abroad.
Are you eligible for a gold credit card or platinum card?
Gold credit cards and platinum cards, UK wide, have strict application criteria.
To get one of these exclusive credit cards, UK wide, you might need some or all of the following:
A high income (over £40,000, for example)
A strong credit history
A minimum age of 21*.
However, each of the exclusive credit cards, UK wide, have different rules on who can apply.
Watch out for annual fees
Some exclusive credit cards, UK wide, have annual fees that could outweigh the benefits on offer.
For example, if a platinum cashback credit card would earn you £50 cashback each year but charged an annual fee of £60, it wouldn’t be worth having.
Do you need a high limit credit card?
If you regularly run up high balances on you credit credit card, it may be worth getting one with a high maximum limit that'll help your credit utilisation ratio
But you should only consider a high limit credit card if you are sure that you can keep up with repayments. Premium credit cards also tend to have higher interest rates, so if you want to avoid paying extra in interest, it's best to pay off your balance in full every month.
What is credit utilisation?
Credit utilisation is amount of credit you use, compared to the amount of credit available to you.
So if you have a £3,500 credit limit one credit card and your balance is £1000, then your credit utilisation would be 28.5%. If you have several credit cards, you'll have to factor in the balances and limits of all your credit cards.
A low credit utilisation rate shows that you're using less of your available credit. That indicates that you're doing a good job of managing credit by keeping your spending in check.
Most providers recommend an optimal credit utilisation ration of 30% or below, but even 50% is acceptable and will help with your credit worthiness and make it easier get credit in the future.
*The usual minimum age for standard credit cards is 18.