Besides, the cards mentioned above, there are many more available matching the day to day credit requirements. The present credit card usage criteria of an individual may help him or her to determine the credit card type which suits him the best. By analyzing various aspects like paying back limits etc. one can determine the credit card which best suits to the individual needs. The present usage criteria are the best measure to decide about the credit card type.
Possessing a good credit card is an honor. And to possess gold or platinum stripes on it thaws light on an individual’s high knowledge about finance. But one needs to be enough careful and captious which choosing a credit card these days as the rat race these days has provided the platform to the financial institutions to provide services which are not up to the mark. So one needs to be enough cautious while choosing a credit card.
As there are numerous cards available in the market, one needs to choose the card, which provides maximum benefits to him/her. Credit cards are only good up to the extent they pacify an individual’s need and because having an extra credit card could cause harm.
Choice of the appropriate credit card might involve:
- If the condition is like a full monthly bill and features like frequent flyer miles do not seem to be worth then a credit card with no annual fee and a long grace period shall be appropriate.
- If the balance is to be carried monthly then cards with low interest rate are the best choice.
- If cash advances are the main preference the cards with lower APR and lower fees on cash advances are the best choice.
How to order a new credit card?
Instrument is a sort of one strip shop for choosing the appropriate credit cards, by comparing the APRs (Annual percentage Rates) rewards, programme and incentives. And another feature of this is that one can apply for credit cards on line and with a secure connection.
The easiest way of searching a website for comparison between the features of various credit cards is to search in any search engine, with an easy procedure. Some precautions to be taken while choosing a credit card on line are:
- Choose a website that offers comparison
- Look in for any of website offering all the banks/financial institutions offering credit cards.
- Go in for a detailed feature comparison.
- Going in for a website offering mere details on each individual credit card is a better option.
- Compare credit cards on various aspects like bonus/reward programs, credit limit, annual fees etc.
- All information provided above is an important yardstick so as to find a credit card only.
- Also find a permanent website offering solution to your day-to-day credit card problems. But the most preferential credit cards should best meet individuals daily needs
Grace Period – Credit cards
- Grace period refers to the number of days one has to pay bills in full without triggering a finance charge.
- It basically is applicable to new purchase.
- Mostly credit cards do not give grace periods fore cash advances and balance transfers. If a balance of credit card is brought forward from previous month, the conditions of grace period might not apply.
Credit Limit – Credit Cards
- Credit limit refers to the maximum total amount for purchases, Cash advances, balance transfers, fees and finance charges- charged on credit card.
Fees or Cost of Credit Cards. Some of the important charges, which need to be paid by the credit card holder, are: -
- Annual fee, charged for possessing
- Cash Advance fee, charged for any cash down payments
- Late payment fee; charged if payment is received after due date
- Over-the credit limit fee charged if credit limit is overdrawn
- Credit limit increase fee; charged if credit limit is increased
- Set up fee: charged for a new credit card account
- Return item fee, paid if the payment made by cheques/bank drafts is dishonoured.
- Other fees: charged by some companies for all the auxiliary services provided
Facilities provided by credit cards
Credit cards area boon for some people and bone for the others. There are numerous ways of using credit cards and to stay debt free.
Some of the advantages offered by credit cards are :
- Buying at present and paying in future.
- No cash handling problems
- Free travel insurance
- Protection against losses
- Travel benefits
- Cash back facilities
- Warranty coverage on items of purchase
- Free care rental insurance
Credit card companies also provide following services at minimum costs: -
- Insurance to cover any amounts payable on credit card, in case one becomes unemployed disabled or dies premiums are usually due on monthly basis and therefore it becomes easy to cancel the benefits of insurance if the insurance amount falls beyond budgets.
- Insurance to cover first $50 charges in case of loss if the credit card and under the federal law the law applies even on charges over $50. Although the given information provides a bird eye view to the various credit card aspects but still one needs to be really careful prior to the choice of credit cards.