I tried to buy this app but it says I need to update iOS 5, how do I do this...?

I tried to buy the pages app for ipad2 but it says I need to update iOS 5, how do I do this??

What exactly happens when you try to buy the app ? If you are trying to gift it then you will need a credit card on your account, gifting can't be done via your balance.
If you are being prompted to review your account then how did you create the account ? Unless the instructions on this page are followed when creating an account : http://support.apple.com/kb/HT2534
then credit card details will need to be entered before the account can be used to download any item from the store.
If you are being prompted to review then you could see if this post by mountaingoatgirl lets you do so without needing to enter credit card details :https://discussions.apple.com/message/24303054
If you are buying for yourself and it's charging your card then it shouldn't, your balance should be used up first before any remainder is charged to your card. If that is happening then try contacting Support and see if they can help with why its happening : http://www.apple.com/support/itunes/contact/ - click on Contact iTunes Store Support on the right-hand side of the page, then Purchases, Billing & Redemption

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