What is a credit card?
A credit card is a payment card with which you make purchases on credit: you pay later, at the end of the month or in instalments. Unlike a debit card, money is not deducted directly from your account — the card issuer advances the amount and you pay it back. This system has existed for decades and is the most widely used payment method worldwide for online purchases, travel and large expenditures.
Credit cards offer unique advantages that other payment methods do not have: consumer protection for non-delivery, chargeback options in case of fraud, additional insurance and reward programmes such as cashback or air miles. In the Netherlands there are over 54 credit cards available from 15+ providers, ranging from completely free prepaid cards to premium cards with a €780 annual fee.
How does a credit card work?
You pay with the card, the card issuer pays the merchant. At the end of the month you receive a statement. You can pay it in full (free) or in instalments (with interest of 14–20%). The credit limit ranges from €500 to €25,000 depending on your income.
Accepted worldwide
Credit cards on the Visa and Mastercard network are accepted at more than 50 million points of sale worldwide. American Express is accepted at approximately 85% of locations in Europe. Virtually every online shop, hotel and car rental company accepts credit cards.
Consumer protection
Unique to credit cards: if an online shop does not deliver or goes bankrupt, you can reclaim your money via chargeback from the card issuer. You do not have this right with debit card payments or bank transfers. It is one of the strongest consumer protections available.
Difference between credit, charge and prepaid card
Not all credit cards work the same way. There are three fundamentally different types, each with their own advantages and disadvantages. It is essential that you choose the right type for your situation.
Credit Card
You have a fixed credit limit (€500–€25,000). You can repay the monthly balance in instalments, but you then pay interest of 14–20% per year. Requires a BKR check and minimum income.
Charge Card (AMEX)
No fixed limit, but you always pay the full balance at the end of the month. Never any interest, but a high annual fee (€198–€780). Typical of American Express cards.
Prepaid Card
You top up money in advance and pay with that. No credit, no interest, no BKR check. Ideal for students, people with a BKR registration or those who want to stay debt-free. (Revolut, Bunq, N26)
How does interest work on a credit card?
Credit card interest in the Netherlands is charged on the balance you do not repay in full on time. The interest ranges from 14% (ICS World Mastercard) to 20% per year (some prepaid cards with credit). For comparison: a mortgage costs 4–5% per year — credit card interest is therefore 3 to 5 times more expensive.
Practical example: You spend €1,000 in August and only repay €100 in September. You pay interest on the remaining €900. At 18% per year that is €162 per year, or €13.50 per month. If you continue this pattern, you pay more in interest than the product was worth.
How to avoid interest?
Set up a direct debit for the full monthly amount on the due date. Then you never pay interest. The direct debit ensures you always repay on time, even if you forget.
When does interest start?
Interest starts on the due date of the monthly statement. Generally 20–25 days after the end of the month. If you pay the full amount before the due date, you never pay interest — even if you only settle at the end of the month.
Interest with charge cards and prepaid
With charge cards (AMEX) interest is impossible — you always pay in full. With prepaid cards (Revolut, Bunq, N26) there is no interest because there is no credit. These are the safest options if you want to completely avoid interest costs.
What is BKR (Dutch credit registry) and what does it mean?
The BKR (Bureau Krediet Registratie — Dutch credit registry) in Tiel is an independent foundation that tracks all credit obligations of people in the Netherlands: credit cards, personal loans, mortgages and phone contracts. Virtually all Dutch banks and card issuers are affiliated with BKR and consult this register for every credit application.
There are two types of BKR registrations: positive registrations (active credit with no problems) and negative notes (payment arrears, debt restructuring). A negative BKR registration remains visible for 5 years after full repayment and can lead to rejection of a mortgage, loan or credit card. Check your own BKR registration for free via mijnbkr.nl.
When is a BKR check done?
When applying for a real credit card or loan, the bank always performs a BKR check. With prepaid cards (Revolut, Bunq, N26) no BKR check is needed because no credit is extended.
Consequences of negative BKR
A negative code (A1, A2, A3 or R) leads to rejection of credit, mortgages and even phone contracts. The registration remains visible for 5 years after the end date.
Correcting BKR
Is your BKR registration incorrect? Request a correction via mijnbkr.nl. Demonstrable errors are corrected. In case of persistent refusal you can contact the BKR foundation or the Authority for the Financial Markets (AFM).
Applying for a credit card — how it works
The application process differs greatly between traditional bank cards and digital cards from fintech companies. Digital cards can be applied for in 10 minutes; traditional cards take 5–10 working days.
Step 1: Compare cards
Compare annual fees, benefits, interest and requirements. Use our free AI comparison tool to find the best match for your situation and budget in 2 minutes.
Step 2: Complete application
Fill in your name, address, BSN number, income and employer online. Most applications take 10–15 minutes. Digital cards can be applied for directly via the app — also on mobile.
Step 3: Identity verification
All card providers require a valid ID. With digital cards you scan this in the app (biometric). With traditional banks you send a copy of your ID or visit a branch.
Step 4: Approval
Digital cards (Revolut, Bunq, N26): within 10 minutes. Traditional cards (ICS, ABN, ING): 5–10 working days including BKR check. If rejected, a prepaid card is always an alternative.
What documents do you need?
The required documents differ by card type. Prepaid cards require minimal documentation; traditional credit cards require more proof of income and identity.
💳 Traditional credit card
- ✓ Valid passport or driving licence
- ✓ Recent pay slip (last month)
- ✓ Annual income statement (for freelancers)
- ✓ Bank statement (last 3 months, sometimes)
- ✓ Employment contract (sometimes)
- Minimum income: €1,150 net/month
🔓 Prepaid card (Revolut/Bunq/N26)
- ✓ Valid passport or driving licence
- ✓ Selfie for biometric verification
- ✓ Current residential address in the Netherlands
- No pay slip required
- No BKR check
- No minimum income
💼 Business credit card
- ✓ Chamber of Commerce extract (recent)
- ✓ Personal ID of director
- ✓ Annual accounts or VAT return
- ✓ Business bank account
- With AMEX: min. 1 yr Chamber of Commerce registration
- Assessment on company name (not personal)
Costs of a credit card
The costs of a credit card consist of several components. Some are visible (annual fee), others less obvious (foreign exchange surcharge, withdrawal fees). Here is a complete overview of all possible costs.
Annual fee: €0 – €780
From €0 (Revolut Standard, Bunq, N26 Standard) to €780 (AMEX Platinum). Standard cards cost €25–€60 per year. A higher annual fee generally means more benefits such as insurance, lounge access and cashback.
Interest: 14 – 20% per year
Only applicable if you do not repay the balance in full on time. With charge cards (AMEX) and prepaid cards there is never any interest. Avoid interest by setting up a direct debit for the full monthly amount.
Foreign exchange surcharge: 1.5 – 2.5%
For payments outside the eurozone. Exceptions: Revolut (0% up to €1,000/month), N26 You (0%), AMEX (1.5%). Always pay in the local currency — never in euros via DCC (Dynamic Currency Conversion, costs 3–7% extra).
Hidden costs
Watch out for: ATM withdrawal fees (€3–€5 + interest), late payment fees (€15–€35), weekend exchange rate surcharge (Revolut 1%), replacement card costs (€10–€25). Always read the fee schedule before applying.
Paying securely with a credit card
Credit cards are one of the safest payment methods in the world, provided you follow a few basic rules. The combination of 3D Secure, chargeback and fraud protection makes credit cards significantly safer than bank transfers or debit card payments for online transactions.
3D Secure protection
Every online payment above €30 requires an additional confirmation via your banking app or SMS code (EU PSD2). This prevents unauthorised payments even if someone has stolen your card number. Always make sure your phone number is up to date with your card issuer.
Chargeback — money back
In case of fraud, non-delivery or a defective product you can reclaim your money via chargeback from the card issuer. Time limit: 120 days after the transaction. The bank fights on your behalf. The strongest consumer protection that payment cards offer.
Reporting fraud & procedure
Suspicious transaction? 1) Block immediately via the app. 2) Call customer service (24/7). 3) File a report with the police. 4) Report to the card issuer with evidence. Most issuers fully reimburse fraud damage if you report promptly and the fraud was not caused by your own negligence.
Block card immediately
Lost or stolen? Revolut, N26 and Bunq block within seconds via the app. With ICS, ABN AMRO and ING: call the 24/7 block number on the back. Save this number in your phone before you travel.
Frequently asked questions about credit cards
What is the difference between a credit card and a debit card?+
How do I apply for a credit card?+
What are the costs of a credit card?+
What is BKR (Dutch credit registry) and when does it play a role?+
How does interest work on a credit card?+
How does 3D Secure security work?+
What is chargeback and how do I request it?+
Which credit card is best for beginners?+
See also
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