Is Barclaycard Freedom any good?

EIGHT million customers + 25,000 retailers = points for purchases with the Barclaycard Freedom scheme.

But are they worth collecting? Is Barclaycard Freedom any good?

How it works

All Barclaycard holders are automatically opted in to this rewards scheme (even those with poor history cards like the Barclaycard Initial [click through for cost of credit]).

The vast majority of participating retailers give 1% of spend back as reward money which can be spent at other participating retailers.

So, in theory, you might spend:

• Npower (1%): £50 a month
• Shell (0.5%): £20 a month
• Other retailers (1%): £500 a month*
• Earnings: £5.60 a month, £67.20 a year

However, this level of earning is extremely optimistic.

You'd have to be seriously dedicated to spend that much at Barclaycard Freedom partners, for reasons that we'll go into more in the 'cons' section below.

Overall, as we'll see, Freedom is far from being a dedicated rewards scheme, it's more like an adjunct to any other benefits you might get from spending with a Barclaycard credit card.

The Pros

Open to all with a good number of retailers

The big pro in Barclaycard Freedom's favour is that it's open to all and doesn't require any set up or extra paperwork.

Like all reward schemes, cardholders that pay off their bill in full at the end of every month will get the most benefit.

There are also a lot of shops participating (any shop with a Barclaycard chip and pin machine can be one) - a real plus since many reward schemes attract the same big names and they're often not exactly everyday stores (hello, Watches of Switzerland).

Once you start thinking about Freedom, though, you can see why rewards programmes accept well known retail brands, even if they have to settle for ones you'd never shop at, over Barclaycard's hodgepodge of independents: it's hard to weigh up.

With that in mind, here are a few examples.

The Cons

Big limits on earning/spending power

On the other hand, there are some serious limits to the scheme.

If you could spend only in participating retailers, Barclaycard Freedom would compare well with even the best cash back credit cards but, in reality, you'll only be able to earn on a small proportion of all spending.

In addition, a few of the really big names (e.g. Shell and npower) are 'earn-only' retailers and it's a shame not to get cash off those essentials.

Purchases more than £250 cannot be paid for solely with reward money and when you part-pay you must use a Barclaycard to pay the rest.

We've also spotted restrictions on the scheme with some retailers.

For example, to earn npower rewards the energy company requires Barclaycard holders to sign up to their standard rate tariff (more detail here). An online tariff would save much more than reward money would ever save.

More generally, note that you can't earn Barclaycard Freedom rewards on gambling, tobacco, prescription medication or infant milk formula.

Is Barclaycard Freedom any good?

Though it doesn't require as much loyalty as a retailer scheme like Nectar or Clubcard, Barclaycard Freedom does require a level of thought to get the most for your money.

If you can do it, though, the rewards are decent and it's easy to earn and redeem.

Overall, and especially if you have a poor or limited credit history, it's not a bad scheme. But it's no where near as good as dedicated reward credit cards.