Critical factors to consider while choosing credit cards

Advertising Disclosure

Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » Research » Guides » Cardholder Benefits » Critical factors to consider while choosing credit cards

Critical factors to consider while choosing credit cards

By
Add to Favorites:

Credit cards are among the most sought after pieces of plastic around the world. Considering the fact that they have a lot of benefits, this does not come as a surprise. However, on the flip side, there are a few critical factors, which determine if the credit card is going to work in your favor or not. You should review these factors in details before choosing the card you think will be your friend for life.

Factor #1: Introductory offer

The segment of credit cards is so competitive today, that banks and other financial institutions are stretching themselves thin to ensure they offer irresistible deals to prospective customers. There is no dearth to good promotional offers to avail credit cards today. So, do some research on the Internet and compare the various deals being offered prior to moving further. It is also important to see the duration of the offer signing up for it. Some offers, though very tempting, might be for just a few months, which is not worth opting for.

Factor #2: Fees and interest rate

It goes without saying that these two factors generate a lot of revenue and profits for credit card lenders. It is not surprising that most of the credit cards have high interest rates and fees associated with them. But comparing various credit cards and focusing on the fees and the interest rate being offered can help you make a wise decision. Find out about the various fees associated with the credit card. While some like the annual fees and late fees are common, there are other charges like inactivity fee that are pretty high. Beware of these fees before you sign up for the credit cards.

Factor #3: Grace period

The grace period is the duration of time the back gives to repay your dues in full without levying any interest rate on it. This is applicable for only as long as you don't carry over the balance to the following month. Opting for a credit card that offers a slightly longer grace period will ensure you have better chances of paying off your balances without incurring any interest on it.

Factor #4: Rewards being offered

If you are looking for rewards credit cards, ensure you choose credit cards that offer rewards you are sure to use. Don't offer for airlines credit cards if you are not a frequent flier. Also, ensure the fees and interest rates are not exorbitantly high, simply because you are rewarded for using the credit cards.

Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

5 Reasons to Get the Capital One Venture Miles Rewards Card

5 Reasons to Get the Capital One Venture Miles Rewards Card

By Herbert Moore, Posted: January 18, 2017

If you’re looking for a great travel rewards credit card—one that offers unlimited earning opportunities, flexible redemption, and lots of perks—look no further. This card from Capital One has you covered. Continue reading
Credit Card Tips For Holiday Shopping 2016

Credit Card Tips For Holiday Shopping 2016

By Herbert Moore, Posted: November 23, 2016

November and December are the busiest months as gift shopping reaches its peak. People rush around looking for the best gifts and the best deals leaving a lot of money in the shops. Holiday season may force you to go over the household ... Continue reading
Credit Cards to Save More on Holiday Shopping

Credit Cards to Save More on Holiday Shopping

By Herbert Moore, Posted: November 22, 2016

Discounts and special offers are available all year round. Werther you are a bargain hunter or an impulse buyer, make sure you check online discounts and special offers. Also, if you are a cardholder, see if your credit card opens the door ... Continue reading