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Guide to Making Credit Cards Comparison


When come to compare credit cards, there will be several aspects that you need to look into for you to get the right credit card that meets your needs, and also you can use the brand new card to transfer any balance from your previous card.

hold a credit card

You should make sure that the credit card that you going to choose is having all the advantages that you can get so that you can reap the most benefits from the new credit card that you apply.

Thus, when approaching any credit card company, the very first thing that most people would want to figure out is the bonuses that a particular company can offer to you.

You could apply for many different credit cards from various banks, financial institutions, or agencies. You will expect to receive distinctive rates of interest as well as incentives depending on your eligibility.

So, you should gather more information by doing a credit card comparison to get the best interest rate that you are eligible for. The moment you encounter the features of credit cards by carrying out your own comparison, it will be easier for you to discover which card is the best that you should get.

To compare the features of different credit cards, one of the best ways would be for you to browse on the websites for the banks that you are interested in and know all the details including the interest rates, bonuses, and other features that you can get.

Credit Cards Without Annual Fee

Many people prefer a credit card without the need for them to pay for an annual fee when there is a balance remaining on the card. They will think that interest rates may well be more when compared to a straightforward yearly fee when they possess a more substantial balance. Furthermore, you may need to pay interest in cash advances without a grace period available.

When you do your due diligence in comparing different credit cards, you should check on the terms and conditions cautiously especially those statements that are in fine print to understand them thoroughly.

Those consumers that possess a balance tend to be wise to shop rather than going for a credit card that carries with low interest rate. The majority of these credit cards will likely have you to pay for an annual fee however the reductions in interest could compensate for the little fee charged.

Nonetheless, the low-interest rate is quite possibly not available for those consumers who are facing huge debts with their existing credit card at the time they are trying to apply for a new card.

Two Rates of Credit Cards

In case you are not aware of, usually, credit cards are carrying with two rates where one is for purchases and the other one is for cash advances. If you are the one who tends to draws cash advances very often, then doing a comparison on the interest rates of cash advances will be important and necessary for you.

You need to aware that several financial institutions and companies impose a considerably higher interest rate on cash advances in contrast to purchases.

Anyhow, the utter important thing at the time you want to compare the benefits of different credit cards would be whether you are going to save money or spend even more money. We all know very well that the best choice for purchases is always by the way of using cash.

However, sometimes we just need a credit card like when we are out there to buy a big-ticket item like a car or a TV, it is just not convenient for us to bring along a pile of cash in our pocket. Besides, it is also possibly not safe for anyone to bring a huge amount of cash and wandering around every day.

Credit Card Rewards And Penalties

It can be said without any doubt that making card applications over the Internet is indeed safe, however, there are still some critics out there who do not agree. However, these critics should know that card institution uses a very secure technology known as the Secure Sockets Layer (SSL), which guarantees that your personal information cannot be stolen online. On the other hand, it is far more likely that mailboxes are broken into, or the mail gets lost on its way to the institution. Hence, it should be clear than applying online is not only safe but also even safer indeed!

Travel Can Be Rewarding
If you happen to travel regularly, you might benefit a lot from using an airline rewards card. These cards essentially allow you to earn points when you make a purchase, and then these points can be redeemed for a plane ticket, or possibly some other benefits associated with air travel. Also, many of the airlines associated with such a card offer additional bonuses for your initial purchases with such a card. Hence, if such a card fits into your lifestyle, then you could certainly benefit from it as it creates travel opportunities and saves you quite a bit of money at times!

“Gas” by Rewards
A unique card offering, which has come up in recent times is the ‘Gas Rewards’ Card. These cards are becoming quite popular, as it is a smart and efficient way to save some money on fuel. If you purchase fuel using such a card, you will be rewarded with a certain percentage of cashback. Not only that, but most gas reward cards provide additional benefits so you can save some more money. Some of these features could include shopping discounts, meal discounts, etc. Hence, if you need to refuel regularly, this could work as a great option.

Instant Approval Cards
In today’s fast-paced world, people are time-poor and want everything to be instant. So not only do we have the option for instant coffee and instant noodles, But, there is also the rather unique ‘Instant Approval’ Cards available to us today. Traditionally, card applications involved quite a long waiting time. The response will be provided within a matter of seconds, hence, making the entire process much quicker and convenient. Also, if your application is approved, your new card will be mailed to you immediately. So next time you wish to apply for a card, do so online and you shall know where you stand within 60 seconds!

A Secured Card?
If your credit score is rather poor and you are serious about rebuilding your credit score, you should surely consider the option of a secured card. These cards work like a prepaid card, wherein you put in money and that becomes your limit. Hence, by opting for this type of card, you can repay your creditors on time and maintain a balance below the limit, and hence, reestablish a stronger credit history. However, do make sure to check the fees and the interest rate before you apply, as usual, it tends to be higher than the standard cards.

How Important Are Credit Card Statements?

Credit cardholders are consistently advised to review their credit card statements immediately when they receive it. This is very important but unfortunately, many credit card statements remain unopened.

Credit Card Statement or Billing Statement

Credit Card Statements, also known as Billing Statements, is a document issued monthly showing all transactions done using the credit card. These include what was bought and charged to the credit card, the payments made, and other debts and credits made to a credit card account covered or included in the billing cycle.

The Billing Statement is sent to the borrower at the end of each billing cycle. It contains the total balance, the minimum payment due, the due date, the grace period, the finance charge, the days in the billing cycle, and the annual percentage rate or APR.

Reasons Why These Billing Statements Remain Unopened and Unread

It may be an odd thing, but it is true. Maybe you can relate to this fact: Normally, when the credit card statement comes, it is just placed somewhere, to be reviewed later. Oftentimes, they are placed at the bottom of the stack of mails. If lucky enough, it may find its way to the top of the desk, in a file, but not on the “urgent” nor the “important”; just on top of the files.

The reason is probably that it is a reminder of something that is owed, and that payment is already due! Not very many people appreciate being reminded about an account that is due for payment, especially those who don’t have the means to pay them off.

Why It Is Important To Review Credit Card Statements or Billing Statements

The Credit Card Statement, more than serving as a reminder that payment is due, contains lots of information that can help people manage their finances, especially their debts.

Here’s why it is crucial to review the billing statement: by reviewing the statement, the borrower will be able to verify if all the charges made by the lender are correct. He will also notice erroneous entries or items that may be the result of identity theft or fraud. Sometimes, interest rates change, and this greatly affects the total amount of debt. There are also times when payment dates change. Hence, for a borrower to know these changes, he has to be vigilant in reviewing and checking his credit card billing statements.

Other Important Information Credit Card Holders Should Know about Credit Card Statements

Borrowers who use their credit cards on their businesses or borrowers who claim tax deductions for their purchases must keep their Credit Card Statements for seven (7) to ten (10) years. This is vital because, during the audit, you will need these documents to prove every deduction that you are claiming.

Credit Card Statements or Billing Statements are very important, so never ignore them. They are very helpful documents that can help you manage your debts. Ignoring them, tossing them away, and not reviewing entries can turn out to be a very costly mistake for you in the end.

Low Or Zero Interest Credit Card Balance Transfer Questions

When you are considering transferring the balance of a debt to a low or zero interest credit card there are some very important questions you need to ask first. Do not allow the excitement of possibly paying off debt ahead of time cloud your judgment. Once you have transferred your balances, you may not be able to move them again.

What is the lowest interest rate, and do you qualify for it?

If you already have credit card debt you may not qualify for the lowest interest rate. Your FICO credit score is also taken into account by credit card companies, if your credit score is below 700 you may not receive the lowest interest rates.

How long does the low or zero introductory interest rate last?

The normal time period for a low or zero introductory interest rate to last is six months. Some may last a year, and rarely you may find one that lasts the lifetime of the transfer. It’s best to consider whether or not you can actually pay off the transferred amount during the initial time.

What will you have to do to keep the low rate through its scheduled time?

There may be requirements you must meet to keep the offer going through its entire schedule. You may have to make at least one purchase a month, or never be late on a payment.

Do new purchases have the same interest rate as the transferred balance?

Do not assume that new purchases and transferred balances will have the same interest rate. Sometimes, new purchases fall under a higher interest rate, leading to a larger monthly bill. It can knock the feet out from under even the best financial plan. You should also know that your payment will typically pay to the balance with the lowest interest, leaving higher interest items to accrue on your bill. However, new purchases may have a longer grace period before they start accruing interest.

How is the average balance on the account figured?

If the company figures interest on a two-month average it will be an accumulation of the current billing period and the last period. This means interest is calculated on a daily average over two months, if you carry a balance you can lose the grace period on new purchases.

What is the best way to transfer a balance to the new card?

There may be several options open to you when transferring a balance to a new credit card, such as convenience checks or cash advance, each one may have different rates. You may even receive several convenience checks, each one having different terms and fees attached.

What measures does the credit card company take to protect your private information?

Identity theft has become an ever-increasing problem over the last few years. Your credit card company should be on top of protecting your personal information. Make sure that the company will notify you immediately of any problems.

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