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Have had this card for about 4 years now and have never had any problems - quite the contrary, in fact as I have earned large numbers of points with which I have bought items from their Store. The latest being an excellent microwave.
I do pay off my card every month as I do not like paying interest charges and sometimes I have done this through my on-line Bank Account and sometimes on Tesco's on-line banking. ( this is quite often because I want to check what has gone through on my card). I have found their on-line system and security very good and easy to use.
I have received lots of different offers with this card, most of which I don't take up but, obviously I do take up offers for the Tesco points. (we are also with E.ON aka Powergen, who also give Tesco points for money spent on Gas and Electricity).
All in all I would say this is an excellent card and worth taking on, just for the points alone. They soon mount up and you are sent vouchers for them at approximately 3 to 4 month intervals. I quite often forget about them and put them away - when I do remember, it's a nice surprise that I have the equivalent of cash to buy something we need for the house, a present or whatever or even put them towards the grocery bill.
There are offers in store at the moment whereby you can double your points for certain items you wish to purchase - well worth it if you need those particular items.