Tesco drops the Tesco Premium Credit Card

A couple of weeks ago, I wrote this article about the Tesco Premium Credit Card.

I suggested that the card did not have much of a future given the closure of Tesco Direct in three weeks, because the main feature – 5000 bonus Clubcard points if you spent £5000 annually across all Tesco businesses – would now become trickier.  I know some people relied on putting large household purchases through Tesco Direct in order to hit the £5000 target.

It seems that Tesco Bank agreed with me.  The Tesco Premium Credit Card is being withdrawn from the market for new applicants.  I don’t know if it is being closed to existing cardholders too.

If you were on the fence about applying, the application form might still be live if you click here.  There is a 5,000 Clubcard points bonus (worth 12,400 Avios or 12,500 Virgin miles) for signing up.  I have been told that it will be gone by the end of today, if it hasn’t gone already.

Whilst this was definitely a niche product – and one I struggled to get excited about – it does have potential.  It may have suffered from poor marketing, because the free travel insurance benefit would have been valuable for a lot of mainstream card users who will not have Amex Platinum, HSBC Premier etc.  At a lower fee (say £50) or with a different benefits package, it may have worked well for a lot of HFP readers as a strong points earner.

I have updated our core ‘best credit card’ articles, all of which are listed on this page of HfP, to reflect this change.

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Want to earn more points from credit cards? – March 2023 update

If you are looking to apply for a new credit card, here are our top recommendations based on the current sign-up bonuses.

In February 2022, Barclaycard launched two exciting new Barclaycard Avios Mastercard cards with a bonus of up to 25,000 Avios. You can apply here.

SPECIAL OFFER: Successfully apply for either of the Barclaycard Avios credit cards by 2nd April 2023 and you will be entered into a free draw to win ONE MILLION AVIOS! Full details are on the application forms here (free) and here (paid). This competition is exclusive to Head for Points readers. T&C apply.

You qualify for the bonus on these cards even if you have a British Airways American Express card:

You can see our full directory of all UK cards which earn airline or hotel points here. Here are the best of the other deals currently available.

Earning miles and points from small business cards

If you are a sole trader or run a small company, you may also want to check out these offers:

Until 30th March 2023, the sign up bonus on American Express Business Platinum is increased to 120,000 Membership Rewards points – click here. The bonus on American Express Business Gold is increased to 60,000 Membership Rewards points – click here. T&C apply, see the application forms for details.

For a non-American Express option, we also recommend the Barclaycard Select Cashback card for sole traders and small businesses. It is FREE and you receive 1% cashback on your spending.