Credit Card Reviews 2014 (21): Tesco Clubcard MasterCard

This is my review of the Tesco Clubcard MasterCard credit card.

It is part of my series of articles looking at the major UK loyalty credit cards and discussing whether or not they are worth applying for.  These articles will be linked to the relevant sections of the ‘Credit Cards Update‘ page.  My other UK airline and hotel credit card reviews can be found here.

(EDIT:  This review was updated in March 2015 and all the information is correct as of that date.  The refer-a-friend bonus is also still available.)

Link: Tesco Clubcard MasterCard official page

About the card

The Tesco Clubcard MasterCard is issued by Tesco Bank, which is now wholly owned by Tesco following its acquisition of Royal Bank of Scotland’s stake.

The card has no annual fee.  The representative APR is 18.9% variable.

Tesco Clubcard MasterCard credit card review

What is the sign-up bonus?


There is, however, a ‘refer a friend’ bonus. This allows an existing cardholder to refer a new cardholder, with both people receiving 1,000 Clubcard points in return. This is equivalent to 2,400 Avios points or 2,500 Virgin Flying Club miles.

I am able to refer you for this cardOnce you have the card, e-mail me at raffles [at] and I will send you the referral form. You fill in your card number, post the form to Tesco and they add 1,000 points to your account.  You can still claim this bonus even if you received your Tesco credit card a few months ago.

Any other benefits?


What do I earn per £1 spent on the card?

Cardholders earn 1 Clubcard point for every £4 spent on the card, on a ‘per transaction’ basis.

It is important that potential applicants understand what this means. At the most extreme, if you bought 100 items at £3.99 in separate transactions, then you would earn zero Clubcard points. A £7.99 transaction would only earn one point, whilst an £8.00 transaction would earn two points.

One Clubcard point is worth 2.4 Avios or 2.5 Virgin Flying Club miles, so every £1 spent on the card gets you up to 0.6 Avios or 0.625 Virgin miles.

You will receive a statement once a quarter containing your Clubcard vouchers, and you can convert these online to Avios or Virgin or redeem them for any of Tesco’s other ‘Clubcard Boost’ deals. You can even spend the vouchers in-store at Tesco, although this is a poor use of them.

In recent years, Tesco has run fairly regular transfer bonuses with Avios.  The last transfer bonus was August 2012 when you would have received 3.6 Avios per Clubcard point, a 50% bonus.  There has been no sign of one since despite regular Virgin Flying Club bonus deals.

A 25% bonus would mean 3 Avios per point.  This would mean that your MasterCard would be earning you 0.75 Avios per £1 spent (subject to rounding down due to the £4 rule) which is attractive for a non-Amex card. There is no guarantee, of course, that Avios and Tesco will continue to offer such bonuses in the future.  To take full advantage you would need to keep your Clubcard vouchers in a drawer until the next transfer bonus came along – this could be 6-12 months.

Even without a conversion bonus, this is the most generous non-Amex card available for earning Avios.  The only exception would be if you met the very stringent wealth criteria for the HSBC Premier MasterCard.

Any other quirks?

Yes.  Your credit card doubles up as a standard Tesco Clubcard.

It is perfectly acceptable to hand over your Tesco credit card in a Tesco store and ask them to swipe it as a Clubcard.  You can then pay for your shopping on a more lucrative credit card!

Tesco petrol stations have an additional quirk.  For reasons that no-one quite understands, although it is a stated feature of the card, you receive double Clubcard points at Tesco garages when you use your Tesco credit card as Clubcard.  You receive these points irrespective of whether you pay with the Tesco credit card or not.

(The most lucrative way of earning Avios for buying petrol is to visit a Tesco garage, use a Tesco credit card as a Clubcard and pay with an American Express Preferred Rewards Gold card which gives 2 Amex points per £1 in petrol stations.  This post explains how to maximise Avios when buying petrol.)

What is an Avios point worth?

This post outlines my view of what an Avios point is worth, based on your typical redemption patterns.

One key benefit of Tesco Clubcard points is that you do not have to convert to Avios.  Unlike dedicated airline credit cards, you have the option to convert to Avios or Virgin miles, but there is also the flexibility to use them for any other good Tesco deals that come along.  I used a large pile of vouchers to pay a Safestore bill last year ….

How does this compare to a cashback credit card?

The best cashback card on the market which offers a) a MasterCard or Visa, b) no annual fee and c) unlimited cashback is the Asda card, which pays 0.5%.  The best ‘pseudo cashback’ card is the House of Fraser MasterCard, which offers 1% of your spend in House of Fraser gift vouchers.

For an average spender, the Tesco MasterCard is therefore acceptable value given the range of Clubcard redemption partners.

Other points to note

This is not a sexy credit card, and the girls (or guys) are unlikely to be impressed when you pull it out in a bar or restaurant!

The Head for Points review verdict:

Score for the sign-up bonus – 0/10. There isn’t a sign-up bonus at the moment, although the refer-a-friend bonus of 1,000 Clubcard points is worth 2,400 Avios or 2,500 Virgin Flying Club miles at the standard conversion rate.

Score for on-going earning – 6/10. 0.6 Avios points per £1 is not great at the standard rate.  It is more than twice as good as the Lloyds Avios Rewards MasterCard however!  If Tesco runs another conversion bonus to Avios then this rate will look better, but there was no bonus at all during 2013.  Conversion bonuses to Virgin Flying Club from Tesco are more common so you may rate the card higher if you collect Virgin miles.

(Disclaimer: Head for Points is a journalistic website. Nothing here should be construed as financial advice, and it is your own responsibility to ensure that any product is right for your circumstances. Recommendations are based primarily on the ability to earn miles and points and do not consider interest rates, service levels or any impact on your credit history.)

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Updated: Excellent Tesco deal - 442 Clubcard points (1,060 Avios) for £15 video game
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  1. sandgrounder says:

    You mention the 1 point per £1 on fuel and then ignore it in your calculation! Plus the PRG always gives you the supermarket and fuel bonuses- 5.4 Avios/£ spent.

    • The maths on this is far too complex! I have edited the post and put in a link to my main ‘Avios and Petrol’ article!

    • Ignoring what amex card you use to actually pay for the fuel, just do the maths using the credit card as your club card, then that part of the equation is 2.4 avios per £1 spent plus whatever MRs you earn. Quite good earning if you always remember to do this. Previously it was even better with momentum, got you 4.8 per £1 spent plus the MRs. Just never use your tesco credit card to pay, as Rob emphasises, this £4 minimum is very annoying, and crafty, actually.

  2. Oliver Bennett says:

    Which one is sexy then

  3. Charlie says:

    Eagerly waiting to see if there is a Virgin conversion bonus this month of 30%, I have it in writing that there will be (for auto-opt in users) although this may have been a targeted promotion:

    “We have fabulous news for you. As a Flying Club member who already automatically converts your Tesco Clubcard points into miles, you’re about to enjoy even more rewards. On your May Clubcard statement you’ll receive 30% more miles to boost your balance and help you reach your dream destination faster. “

    • No-one else is getting this. The email has already gone out – convert to VS this quarter and get entered into a competition. No bonus.

      • And the latest batch of CC coupons and not one isoffering any bonus points !

      • And a bonus 1000 for auto opt in.
        I have found I can opt in, get points, opt out and repeat.
        Has worked each time..

  4. It’s not always easy to use the mastercard as a clubcard. I’ve had quite a few experiences where shop tills haven’t been accepting it. It also confuses staff when I’m claiming spurious CC points from other people’s receipts, as they can’t just scan it like other clubcards

    • Andrew s says:

      So you were the guy at 1 am wondering around the Swindon Tesco carpark wrapped in duvet picking up receipts :)

  5. I’ve just looked on the back of my tesco credit card and there is no barcode. How do i use it as the club card? Am i being really stupid here?

    I wasn’t aware of this loophole and a huge amount of my spend is on fuel so this would be very useful with the Amex gold to pay!

    • It’s not on the back, it on the front, printed under your name.

      There is no barcode but if the shop swipes the card it reads the number, in the same way that it would if the barcode scanner on your normal clubcard didn’t work.

      • Andrew S says:

        Does it work with “pay at pump”?

      • Ok thanks – i think most of the tesco stations near me are pay at the pump. I’ll need to check how it works with that.

        • Yes andrew and adam, it can be done at pump also, just insert the credit card first, it will ask do you want to pay with this card, chose option no, remove, then insert your payment card. That definitely worked for me a few times. Give it a go with a small amount of petrol to get the hang of it.

    • Using the credit card as a club card is so easy, you just insert into the credit card holder, but tell the assistant, you only want to use it for your points, that you are paying with a different card. I think it’s only the newer staff who are maybe not aware of this. It’s a fab way to increase your cc points plus get MRs, ESP at the petrol pump. Never too late to start using the various options open to us. They really try to get youth pay with your tesco credit card on line though, just ignore them!

  6. Another thing to note is that with the Tesco c/card you tend to get targeted for money off vouchers fairly regularly (we’ve just used a £15 off £100 and have several other £10 off £100 to spend which will normally use against the Visa gift cards)