Before you apply for your next credit card, it makes sense to stop and look at several cards before investing. Think of getting a credit card as taking a loan out from a bank. You would not go to just any bank to get a mortgage loan, would you? You would take the time to find out about rates, costs and fees. The same thing is true when it comes to a credit card. The more you know about the credit card, the better a decision you can make in regards to what that card can offer.
The following are five features that some credit card companies are now offering. Before you invest, be sure you have the right tools to make the right decisions about these cards. More so, be sure the benefits of the card fit your needs.
Introductory Offers
If you have excellent credit, take advantage of introductory offers, including a period of six to twelve months of zero percent interest. Use these cards to transfer higher interest rate debt to so you can pay it off at a lower cost. The key to making this offer work for you is to pay off the balance before the introductory period ends, helping to guarantee you a better rate.
Rewards Programs
Rewards programs can be beneficial in many ways, but only if you use them wisely. Rewards now offer discounts on fuel, flying and travel discounts. Look for discounts on vehicle purchases and on dining offers, too. To make the most of this offer, pay off your balance in full each month to avoid the heavier than usually interest rates that rewards credit cards often charge.
Bad Credit Rebuilding
If you have bad credit, choose prepaid debit cards to help you to rebuild. However, choose those that report to the credit agencies instead of just prepaid cards. This will help you to rebuild your credit effectively, without having to worry about the overhead costs involved in bad credit, credit cards.
Customizable Credit Cards
Some credit card companies are now offering customizable credit cards. This feature allows you to choose the features important to you, such as a longer grace period, lower interest rates or better rewards programs that work for the way you want to use the card. Keep your financial goals in mind as you consider these offers, though.
Low Interest
The least expensive way to choose a credit card is to look for a low interest rate card. These cards offer fewer perks, but they cost less and for many people this is the best feature to look for. The good news is that lenders will offer lower rates for those who have good to excellent credit. The bad news is that some companies negate these benefits by charging higher fees than normal.
The best way to get the best credit cards is to compare your options. You can do this online easier than contacting individual credit card companies. Remember, you need to read the terms of the offers before agreeing to any line of credit. Further, the credit card offers you get in the mail are rarely the best offer for you. Check out numerous options before investing.
