New M&S Bank credit card customers are being offered a fresh selection of rewards when they open an account.
When you take out an M&S Bank credit card, as standard, users get 500 loyalty points worth £5 to spend in store or online, and earn one loyalty point for every pound they spend with M&S or one point for every £5 spent elsewhere.
However, while previously new cardholders could select from ‘Shopping Plus’ or ‘Transfer Plus’ offers, M&S Bank has now introduced ‘Rewards Plus’.
Rewards Plus gives customers 2,000 loyalty points, worth £20 to spend in Marks & Spencer, double points on M&S shopping for the first 12 months as well as 0% interest on purchases and balance transfers for the first six months, so long as the transfer is made within 90 days of taking out the card. There is also a balance transfer fee of 2.9% (minimum £5).
In comparison, Shopping Plus offers 0% on all purchases and balance transfers for 25 months and Transfer Plus offers 0% on balance transfers for 32 months and on purchases for six months. Shopping Plus has a balance transfer fee of 2.9% (minimum £5), while Transfer Plus applies a 0.99% balance transfer fee (minimum £5).
The Moneywise verdict
With much longer 0% interest deals available for both purchases and balance transfers from both M&S Bank and in the wider market, the Rewards Plus offer will only make sense to people who pay their balance off in full every month and who regularly shop in Marks & Spencer.
For example, Sainsbury’s Bank’s Nectar Purchase card offers 32 months interest-free borrowing on purchases while the Tesco Bank Clubcard credit card charges 0% on balance transfers for as much as 40 months.
In terms of loyalty perks, M&S Rewards Plus pips the John Lewis Partnership card but only in the first 12 months. Both pay one point for every £1 spent in store or online but the M&S card pays double points in the first 12 months. For shopping elsewhere however, M&S card holders will get just one point for every £5 spent compared to one point for every £2 with John Lewis.