Although there are a number of cards that you may choose from, having a no annual fee card can be of great help. When you first get your credit card, this might not sound like a big deal, but you will realize that these are the cards that will actually make a difference. These cards with no annual fee certainly are advantageous than the rest of the cards. Once you are aware of the benefits of using these cards, you can choose the right one depending on your needs.
When there is no annual fee on the card, you may hold on to the card without having to use it. The advantage of doing this would be that you will be able to show that you do have your credit lines but without having to use the card or paying the fees on the card. This will help in maintaining a good credit score and also ensure that you will be able to use the cards when you really want to.
Also, when there is no annual fee, you are free to use the card when you feel like at any point in time, throughout the year. There is also no compulsion to surrender the card after a period of one year. This means that you would be able to make minimum payments while holding on to your card. For those who are going through a rough patch, this is really a viable option. But, you must be careful as you wouldn’t want to end up paying a lot on your card charges without paying attention to them. This will look like a sensible thing to do when you are recovering from a rough patch.
Normally, these no annual fee cards come with either 0% APR or low APR during the introductory period. This is like having a debit card and you could benefit a great deal. But if you have to benefit from the card, you must use it wisely. Ensure that you pay your bills on time and stay well within your credit limit. This way, there will be no late fees or over limit fees. You must also ensure that you don’t take cash advances on this card since the interest rates are high when compared to the regular purchases you make on your card.
Shop online for the best no annual fee cards and make an informed decision. Read the fine print before signing up.