Best Credit Card : We are constantly asked questions like, “what is the best credit card deal” or “how do I find the best credit card”. The answer to these questions is, –there is no single credit card that is best for everyone. It really depends on your goals, planned usage, and financial strength. For example, a person who is able and willing to pay off credit card balances each month would normally look for a top rewards or cash back card. However, someone who knows they will carry a balance each month is better off with a low interest rate card. The first step to finding the best credit card for you is to be realistic and understand your goals and how you plan to use the card.
If you are looking for a long term credit card its best to look past the introductory offers which usually vanish in 90 to 180 days. It’s best to look for combinations of on-going benefits that meet your goals. Again, be realistic; consider your goals, lifestyle, and ability to pay off monthly balances. After you understand these things it’s a simple matter of comparing available offers and choosing the one that provides the most benefit to you. There are many good online resources for comparing credit card offers. Here are some things to consider when looking for the good card.
How to find the Best Credit Card
- Interest Rates
- Don’t jump at the first offer
We all know that lower interest rates are best. Interest rates become much more important for people who will carry monthly balances. Unchecked credit card rates can easily soar above 25% and will more than eat-up any rewards you might earn. People who are likely to carry balances should look for a low rate credit card. Any rewards opportunities on top of low interest rates are just icing on the cake.
Reward earning opportunities are always a huge bonus for those in a position to pay off balances in full each month. Consider your goals; if you want to lower your daily expenses you will want to explore the cash back cards. Many people have more than one cash back credit card. For instance, a cash back gas card, and another cash back credit card for purchases in grocery stores and department stores. It’s all about maximizing the reward and getting the most cash back for common purchases.
Depending on lifestyle others may look for a great travel card that allows them to earn free airline miles or hotel stays to offset their vacation costs. A great option for people who love to travel.
A note of caution: People who tend to carry monthly balances should not give up low interest rates for rewards. As has been stated many times, high credit card interest can quickly cost you more than any rewards earned.
When comparing credit card offers pay special attention to fees such as annual fee and application fees. The best cards have no fees attached. People with no credit history can be targets for companies and banks charging excessive fees. These fees get added to the credit card balance due as soon as the card is opened. Look for cards with no fees. If none are available to you then look for the lowest fee structure. Be sure to understand the annual cost of a credit card before you apply.
Don’t jump at the first offer
There is a good chance the latest credit card offer that came in the mail is not the best offer available to you. Be patient and use online resources to understand what offers are available, rates, fees, and rewards. You will then be positioned to choose the best card for your lifestyle, goals, and financial strength.
As a final word, there are times when it pays to close your current credit card and open a new one. This can make sense if your card does not measure up to the offers available today. If your fees or interest rate is high versus other cards available to you, or if cash back rewards are too low, etc.