How To Select A Credit Card That Suits You


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most 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. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » Research » Guides » Cardholder Benefits » How To Select A Credit Card That Suits You

How To Select A Credit Card That Suits You

The content is accurate at the time of publication and is subject to change.
Credit cards are everywhere. Chances are that most everyone you know has at least one of their own, if not more. There are so many different offers swirling about, how on earth is it possible to pick one? Selecting a credit card to apply for is not an “eeny-meeny-miney-mo” situation; consideration and care should be exercised when deciding exactly which kind of plastic to tuck into your wallet. First things first. The very first order of business is to figure out what type of credit card user you are. According to a documentary which aired on FRONTLINE a few years back, banks lump credit card users into one of two categories: “revolvers” or “deadbeats.” A revolver is someone who typically carries a balance from one billing cycle into the next, accruing interest on their outstanding balances. A revolver is more profitable for the credit card company because they pay additional fees and interest charges, and thus are desirable customers for banks. Deadbeats are the people who pay off the entirety of their balances each and every month. They rarely accrue additional interest charges or fees. Banks don’t stand a chance of profiting much from these types of customers, hence the name: deadbeats. Which category you fall into is the most important factor on which to base your decision when picking a credit card to apply for. Cards to consider if you are a revolver: If you are someone who carries a balance from month to month, your ultimate goal should really be to pay off your debt as quickly as possible. In order to do this, you should seek out a card with the lowest interest rates that you can find. Low APR cards can come in several forms – a zero or super low promotional rate that only lasts for a specified period of time, a nice competitive standard rate or, ideally, both. Special promotional interest rate periods can last anywhere from six to 21 months, depending on the offer. The promo rate may be applied to balance transfers, new charges or both. For balance transfer cards, there is almost always a balance transfer fee involved – generally between 3 and 5 % of the total amount being transferred – so this should be taken into account when figuring out whether or not transferring a balance from one card to another will save you money. The catch, if you want to call it that, with credit cards that offer the lowest interest rates is that they almost never come with any sort of rewards program. However, if you are a revolver you really shouldn’t be concerned about earning rewards. You should instead be focused on paying off your outstanding balance as fast and as cheaply as possible. Also be sure to look for a card with no annual fee. Cards to consider if you are a deadbeat: This may be the one and only time being called a deadbeat is an extremely positive thing. Because you are disciplined enough to pay down your balance every month, you should look into applying for a rewards credit card and take advantage of some of the extra perks many credit card issuers have to offer. There are tons of different rewards credit cards available to choose from – miles or travel rewards, cash back, miscellaneous points that can be redeemed for various goods and services – no matter which one you pick, make sure you find one that affords you the greatest value. Some of these types of cards come with annual fees attached, so take that into consideration too when you are making your decision. It might be worth it to pay a fee each year if the card offers you some truly exceptional rewards. You may, in fact, receive a bonus for opening one of these rewards accounts. Often these bonuses require that a minimum spending requirement be met in order for you to be eligible to receive the additional perks, so just make certain that you can comfortably meet it without overextending yourself by overspending. No rewards program is worth spending extra money just to get perks.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

Top 5 Cards for Travel from Our Partners: Summer 2018 – Expert’s Choice

Top 5 Cards for Travel from Our Partners: Summer 2018 – Expert’s Choice

Posted: February 12, 2018

The sun shines more and more each day, flowers are in bloom and you already feel how hot it is getting - summer is here. Summer holidays are almost here, and you are in need of dire preparation. You can lift in spirits and let CreditLand ... Continue reading
Cash Back or Travel Rewards? Here’s How to Decide On The Right Card

Cash Back or Travel Rewards? Here’s How to Decide On The Right Card

Posted: February 10, 2018

If you're trying to find the perfect rewards credit card, you might feel like you're drowning in options. There are just so many out there, and many of them look similar. This can make it tough to decide on a card. One thing people often ... Continue reading
Price Protection: Credit Cards That Will Refund a Price Drop

Price Protection: Credit Cards That Will Refund a Price Drop

Posted: February 8, 2018

Those who often find themselves buying stuff and then discovering that they could pay less for the same item they've just bought, will appreciate this credit card benefit – price protection. This is the least known and the most neglected ... Continue reading
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!