Capital on Tap fees and APR: every charge, from the credit agreement

I have used the Capital on Tap card for my agency for a few years, on the free tier, and the honest summary of its fee schedule is that there is barely one. Everything below comes from the Revolving Credit Facility Agreement (Schedule 1, the version for customers who applied on or after 28 April 2026), the Bill Pay Agreement and Capital on Tap’s own FAQ. Where a figure is Capital on Tap’s own claim rather than a contractual term, I say so.

The one number you will not find anywhere on capitalontap.com is a representative APR. That matters for how you read the interest section, so I have given it its own space further down rather than burying it in a table.

Every Capital on Tap fee in one table

The table covers both tiers. Pro is the same credit card with a paid membership on top, so the credit-agreement charges are identical; the differences are the membership fee and the reward rates.

Annual fee: £0 annual fee on the standard card, £299 a year for Pro

The standard card has no annual, joining or monthly fee, and Capital on Tap’s FAQ says so in those words. You keep the 1% points rate, the free employee cards, virtual cards, accounting sync and the FX-free spending without paying anything for the privilege. I have never paid a membership fee in the years I have held the card.

Pro is £299 a year, billed annually. It buys a higher points rate on preloaded and daily-repaid spend, Priority Pass lounge access, a metal card, a better Avios and Virgin Points conversion rate and a handful of lifestyle perks. Whether that pays for itself depends almost entirely on how often you fly and whether you preload, which is why it gets its own analysis in our Capital on Tap Pro break-even page. One detail from the rewards terms updated in June 2026: if Capital on Tap offers you Pro on a monthly instalment plan, you commit to a minimum period during which you cannot downgrade.

Non-sterling transaction fee: 0% non-sterling transaction fee

For an agency that pays a stack of US software subscriptions in dollars, this is the fee that matters most after interest. Capital on Tap’s FAQ is unambiguous: “No, the Capital on Tap Business Credit Card charges no foreign exchange (FX) fees.” You pay the Visa exchange rate on the day and nothing on top.

Most high-street business cards add somewhere between 2.75% and 2.99% to every non-sterling transaction. On £500 a month of dollar subscriptions that is around £177 a year quietly leaking out. Our FX fee calculator lets you put your own overseas spend in and see the figure for each issuer.

Cash withdrawals: no fee, but interest from day one

Capital on Tap charges £0 ATM fee and £0 manual bank cash withdrawal (domestic and international). That sounds generous next to the 2.5% to 3% most banks charge, but three conditions in the credit agreement make cash the most expensive way to use the card:

• Interest accrues immediately. The agreement says “Interest will accrue on Cash Withdrawals on a daily basis from the time debited from your Account until repaid.” There is no interest-free period on cash, even if you pay the statement in full.
• Limits are tight. You may make two withdrawals and £400 in any 24 hours, and Capital on Tap can also restrict your cash limit to a percentage of your overall credit limit.
• No points. The rewards terms exclude cash withdrawals and fees from earning, so you get no points on cash withdrawals or fees.

A “manual bank cash withdrawal” is Capital on Tap’s term for drawing credit down to your nominated business account as a transfer. It is classed as a cash withdrawal, so the same interest rule applies. If you need working capital rather than a payment card, our card vs loan vs overdraft guide explains when a drawdown makes sense and when it does not.

Late and missed payments: a £0 charge for missing the minimum payment, but real consequences

Schedule 1 of the credit agreement lists the charge for missing the minimum payment at nil, applied four days after the due date if you still owe anything. The FAQ still warns that “late payment fees may be applied as detailed in your credit agreement”, which is technically true but currently amounts to nothing in pounds. What you should worry about instead:

• Interest keeps running on the balance, and once you have missed a full payment, purchase interest is charged daily until you next clear a statement by its due date.
• The rewards terms say that points can be lost if you are more than 14 days late, and you earn nothing while in arrears.
• Capital on Tap says a failed Direct Debit can restrict card use, and the account may be suspended if it cannot reach you.
• Two consecutive missed minimum payments give Capital on Tap the right to close the account and demand the whole balance immediately. Because a director signs a personal guarantee, that demand can follow you personally; our personal guarantee guide covers what that means.
• Reasonable enforcement, legal and tracing costs are recoverable from you if it comes to that.

The practical protection is a Direct Debit for the full balance, or Smart Repay, set up on day one. Capital on Tap requires minimum payments by Direct Debit anyway, so the only decision is whether it collects the minimum or the lot.

Bill Pay fees: two options, same net cost on the free card

Bill Pay lets you pay a supplier invoice by bank transfer from your credit line, which is useful when the supplier does not take cards. It has two fee options, chosen in the portal:

On the free card the two routes cost the same overall: pay 2% and get 1% back as points, or pay 1% and get nothing. The first option leaves you with points to convert to Avios; the second keeps the accounting simpler. Two warnings from Capital on Tap’s own FAQ: Bill Pay payments are bank transfers, so Bill Pay payments have no chargeback rights, and once authorised for immediate processing they cannot be cancelled. Our guide to paying HMRC and suppliers by card works through when the 1% is worth paying.

Interest and APR: as low as 13.86% APR (variable), no representative rate published

Capital on Tap advertises rates as low as 13.86% APR (variable) and does not publish a representative APR; your rate depends on your credit history and Bank Rate. We checked the homepage, the card page, the cashback and Pro pages, the FAQ, the rates guide and the credit agreement on 15 September 2026, and none of them states one. Third-party sites quote conflicting figures, so we do not repeat any of them.

How the rate is built, from clause 4 of the credit agreement and the FAQ:

• Two parts. Your rate is your fixed business rate plus the Bank of England Bank Rate. The FAQ puts it as: “Your monthly variable interest rate is made of two parts: our fixed business rate plus a variable portion that tracks the Bank of England Bank Rate.”
• Set individually. “Your final rate depends on your personal and business credit history and the Bank of England base rate.” Capital on Tap also says it reviews accounts regularly and may offer a lower rate over time.
• Changes at the billing boundary. When Bank Rate moves, the new rate applies from the billing period after the change; rate only changes at the start of a billing period. A Bank Rate change does not count as a change to your agreement, so there is no two-month notice for it.
• Purchases can be interest-free. The agreement says: “We do not charge interest on Card Purchases shown on a statement if the closing balance is paid in full by the payment due date shown on that statement.” Cash withdrawals never are.
• Cash interest is daily. It runs from the moment the cash is debited until it is repaid, with no grace period.

The floor rate of as low as 13.86% APR (variable) works out at roughly 1.09% a month. Most applicants will be offered something higher, and you only find out your own rate when the decision comes back, which is why the worked examples below use a clearly labelled illustrative figure rather than pretending to know yours.

The real cost of carrying a balance

The table shows what a balance costs per month and, if you carried it all year, per year, at two rates: the advertised floor and an illustrative 25% APR. The 25% figure is not a Capital on Tap rate; it is a round number chosen to show the shape of the cost. Substitute your own rate from your credit agreement.

Two things jump out. First, at any realistic rate the interest on a modest carried balance wipes out the 1% you earn in points: £3,000 of spend earns £30 of points, and carrying that same £3,000 for a single month at the illustrative rate costs £56.31. Second, the minimum payment of the greater of 10% of the balance or £100 is designed to keep the account in good standing, not to clear the debt; paying only the minimum on a £10,000 balance leaves £9,000 attracting interest into the next month.

If your business genuinely needs to carry debt for months, a card at any of these rates is the wrong instrument. Compare the alternatives in business credit card vs loan vs overdraft before you spread anything.

What is free on Capital on Tap

For balance, here is the list of things you might expect to pay for on a business card and do not:

• The card itself: £0 annual fee, no joining fee, no monthly fee.
• Spending abroad: 0% non-sterling transaction fee.
• Cash machine fee: £0 ATM fee (interest still applies).
• Employee cards: unlimited free employee cards, each with its own limit. See how we run employee cards in a small agency.
• Virtual cards: instant virtual cards, at no charge.
• Accounting sync to Sage, Xero, QuickBooks, FreeAgent and more, included.
• Missing a payment: £0 charge for missing the minimum payment, though see above.
• Going over your limit: no over-limit fee (the card is declined instead).
• Converting points to Avios or Virgin Points: no conversion fee on either tier, only a lower rate on the free card. Details in our Capital on Tap rewards guide.
• Paying early or settling in full: the agreement gives you the right to repay whenever and as often as you like, with no early-settlement charge.

Three things are not free and are easy to overlook: interest on cash from day one, the Bill Pay fee, and the Pro membership if you upgrade. Section 75 protection is also absent, because Section 75 does not apply to business lending of this kind; Visa chargeback is the route for disputed card payments.

How the fees compare with high-street business cards

The banks charge for things Capital on Tap gives away, but they also publish a representative APR, which Capital on Tap does not. All figures are from each issuer’s own product page, checked on 15 September 2026.

Sources: NatWest Business Credit Card, Lloyds Bank Business Credit Card and HSBC Commercial Card. The bank cards also require you to hold a business current account with the same bank, and their rewards are thin or absent. Where they win is transparency on rate and, for Lloyds in particular, a low headline representative APR if you know you will carry a balance. The full comparison, including eligibility and application effort, is in Capital on Tap vs high-street bank business credit cards.

If you are still weighing up the card overall rather than the fee schedule, my full Capital on Tap review covers the parts that are not about money: the credit limit problem, the employee cards and the accounting feed.