4 Easy Steps to Choose the Right Credit Card
Secure and convenient, credit cards today are readily available and widely accepted. With companies offering a range of cards loaded with attractive features, choosing one that suits your needs can be challenging. Here are our top four tips to help you make an informed decision when choosing a credit card.
Understand Your Purpose for Getting the Card
When choosing a credit card, you should understand what you want from the card. Credit companies offer cards that can help you achieve different goals, like earning loyalty program rewards, getting discounts on purchases, improving your credit score, and getting low-interest rates.
Choose the Type of Card
Some of the common types of cards include:
Travel cards: Tailormade for frequent fliers; these generally include travel perks like airline miles, discounted hotel rates, and car rentals. Typically these cards don’t carry foreign transaction fees.
Credit-improving cards: By paying a deposit at the time of opening, these secured cards can help you create or improve your credit history. They typically have no annual fees and offer free credit score monitoring.
Rewards cards: Rewards on these cards typically include flat-rate cashback and discounts on eligible spends. To make them more enticing, they often come with a welcome bonus for reaching a minimum spend.
Money-saving cards: Ideal for those who need a longer time to pay off large expenses, these cards typically offer a 0% interest rate for a limited period.
Compare What’s Available
Several websites offer online comparison tools that break down all the selected cards’ features and fees. Look for hidden fees and select a card that provides the best benefits while offering a low interest on payments.
Apply for Your Card
Applying for a new card is as easy as clicking the ‘Apply Now’ button on your chosen card’s webpage. After typing your personal information as required by the credit card company, you can submit your application. While some companies offer instant approvals, others may require further checks. Once approved, your card should be in the mail.
Now that you know what to look for in a credit card, you can make an educated decision while choosing one that suits your needs best.
