Representative examples explained

What’s a representative example?

The representative examples you see in our offers give you an idea of how much it could cost if you borrowed £1,200 in a year.

Lenders show representative examples on their financial promotions, or adverts, to follow industry laws and regulations. This helps you compare different products and provides a guide on how much taking out credit could cost.

Here’s what a typical Representative example looks like:

Representative example

Representative APR 18.9% APR (variable)
Purchase rate p.a. 18.9% p.a. (variable)
Assumed credit limit £1,200
Annual Fee No annual fee

You may be offered a different credit limit, representative APR, purchase rate or promotional Balance Transfer period to any shown here as it depends on your individual circumstances. Subject to status.

The numbers in a representative example are only a guide

  • The APR and purchase rate in the representative example are illustrative. If your application is accepted, the rate you actually get will depend on your personal circumstances.
  • Once you have a card, your rates might change depending on how you use it, for example, whether you make your monthly payments on time.
  • Our purchase rates, as well as cash rates that aren’t covered in the representative example, move in line with the Bank of England Base Rate.

What is Assumed credit limit?

The assumed credit limit of £1,200 is a figure that lenders use so you can easily compare products. If your application is successful, the credit limit you actually get will depend on your circumstances. 

What does APR mean?

APR (Annual Percentage Rate) is a rate that shows you how much you’ll pay back in interest over a year. The APR figure includes any annual fee you have to pay for taking out the card. 

What does p.a. mean?

p.a. stands for per annum which just means yearly or annually.

What does purchase rate mean?

Purchase rate is the interest rate we charge when you use your credit card to buy something. You won’t be charged interest on purchases if you pay off your full balance each month. Our purchase rate is a compound rate which you can find out more about in our understanding interest section.

What does variable mean?

A variable rate isn’t fixed, so it can change in certain circumstances, for example, if you miss your monthly payments. It will also move in line with the Bank of England Base Rate.