Credit Cards and How To Choose Them:
It may seem like a simple question but its important to take into account a few factors when choosing your credit card. If you are in the enviable position of being able to pay off your card every month then you are amongst the few. If like most you don't then we can offer you some guidance.
1.Interest rates: This is the most important factor to consider when managing your credit card debt. Every day we are offered 0% introductory rates for 6 to 9 months. These are usually for balance transfers and are a great way to transfer high interest loans or credit card balances to a 0% interest rate. Watch out for statements, which only refer to the monthly interest rates as well. Something like 'rates of 1.5% per month' on your statement may not sound like much but this is equivalent to 19.6% per year!
2. Annual fee: Most cards now do not charge an annual fee. Make sure you get a card that does not charge these fees.
3. Cash advances or withdrawals: This usually represents very poor value for money. Credit Card companies will charge in the region of 2% per month. If you can avoid it do not use this facility.
4. Reward points or Loyalty Schemes: These kinds of cards are gaining in popularity. Air miles and cash back rewards are being used to entice customers. Many people base their credit card choices on these kinds of benefits. If you read the fine print you will find that you have to spend are large amount to qualify for the points. Saying this if you are a frequent traveller paying for your air ticket with your credit card will help you build up substantial air miles.
5. Insurance: All credit cards should come with insurance, which covers you for fraud or theft that results in your card being used before you can cancel it. With the rise in the number of people buying on the Internet nowadays this is a vital requirement. The consumer credit card act outlines what the credit card company should be liable for. Some credit cards also offer free travel insurance, again a handy benefit if you are a frequent traveller.
6. Gold and Platinum cards: These may look good in your wallet or purse but they usually not the most competitive cards on the market. Firstly you have to earn a certain salary to qualify, although surprisingly these salary levels are set pretty low. There is also an annual fee for the use of the card, which in today's market is a cost you shouldn't have to pay. Don't be blinded by the image there are many cards out there that offer far more.
Grant Marwick is a freelance writer and owner of http://www.only-credit-cards.co.uk where you will find advice and more articles on Low interest Credit Cards and advice on 0% Credit Cards
MORE RESOURCES:
 |
|
|
RELATED ARTICLES
10 Simple Steps to Manage Your Credit
By far the greatest invention the banks have ever come up with came out in the 20th century. Also the new field of Credit Management was born with the invention of the credit card.
New Credit Advice: Dont Pay off Those Credit Cards!
Credit needed for real estate mortgage financing differs from credit needed for consumer loans. If you need help getting a home mortgage, these credit tips will help you.
Credit Cards -- What You Should Know
There are a lot of questions about using credit cards. Here's some important points for you:A quick look around on the Internet this morning shows that more than 9 million people in the UK do not pay off their credit card balances each month.
Simple Identity Theft Protection
How many of you bank, shop, or transact other business online? There are at least 4 million Department pf Defense employees that access their pay records online only. Even offline, stored financial data can be placed at risk in computers that are used on the Internet as well.
Why Should You Use Credit Cards
Believe it or not, the way society, especially the commercial side, is set up these days, the only alternative to using credit is to pay cash for everything. But it's actually quite hard to do that.
Triple AAA in 30 Days
Have you ever wonder about how to get good credit with spending alot of money. Well here is a little secret I used to get my credit back up to par.
The Three Largest Factors In Your Interest Rate
There are three major factors that affect how much you pay for a loan. Understanding these factors can save you time, money and frustration.
Everything You Always Wanted To Know About Your Credit Report
Your credit report is a very powerful report that essential controls what you can and cannot do in your life. Unfortunately many people aren't aware of what a credit report actually is and what information is contained on the report.
Warning: Free Credit Report Imposter Websites Springing Up on the Web
A recent amendment to the federal Fair Credit Reporting Act (FCRA) requires each of the nationwide consumer credit reporting companies to provide consumers with a free copy of their credit report, upon request, once every 12 months.Access to the free credit reports has been phased in beginning last December in the West and will finally be nationwide by 1 September.
Which Citi Mastercard Is Right For You?
You've decided to apply for a Citi MasterCard, but with so many different cards to choose from, how do you know which one is right for you? Here is a brief guide to the different types of MasterCard available from Citibank.A great MasterCard program is the Citi Platinum Select Card.
Is Plastic Making You Happier?
If you're like most people, you probably own at least one.And like most people, you've maybe never thought what it's really costing you?At a recent conference held by the Fabian Society at London's Imperial college, one of the issues discussed was happiness, and, more specifically, why it seems to elude so many of us.
Credit Worthiness
Credit Worthiness is an important business and personal asset each person has to manage. I mean this is an asset which could make or break business relationships and interestingly in some cases personal relationships.
Useful Tips When Choosing Credit Cards
Chances are you have received your share of "pre-approved" credit card offers in the mail, some with low introductory rates and other perks. Many of these solicitations urge you to accept "before the offer expires.
Five Reasons to Repair Your Credit Score - You Can Do It Yourself
There are multiple reasons that tell us why we should have a 700+ Credit Score, but these five facts will definitely give you the big picture and hopefully will drive you to want to fix your credit score starting today.Fact #1: Did you know that consumers with Credit Scores of 700+ are likely to get interest rates up to four points lower than those with scores under 640.
Using Credit Cards Wisely
"I think money was stolen from my card" or "I might have blocked my card in the ATM" - these are frequent problems that bank customer-support officers usually hear from agitated clients. Incorrect use of credit cards or wrong interpretations of their functions are frequent even after tens of years of credit-card extensive use.
Commercial Collections And Credit Granting
It is estimated that billions of dollars in delinquent commercial credit is currently being carried on the books of both American and international businesses. This figure changes as our economy grows or contracts.
Beginners Guide to Credit
I remember back when I was 18 and completely oblivious to the concept of credit. It seems like eons ago! If only I had known then what I know now about credit.
Compare Credit Card Offers and Reward Yourself
Here's a simple system on how to pay zero interest and get tons of free stuff. Almost everyone uses credit cards.
Protect Yourself Against Identity Theft
Identity theft is when someone uses, without permission, your personal information in order to commit any frauds or crimes. Identity theft is a felony that is becoming more and more common.
The Ghost of Expected Surprises
Here, Cratchet, what do you think you're doing?Uh, er, leaving sir.Leaving? It's 5 minutes to the hour.
|