How to Choose the Best Credit Card – Picking out a new credit card can sometimes prove to be a very tedious task. They are lots of things to be considered, and it is simply not a decision to be rushed. It is important you pick a credit card that is best suited to your lifestyle and credit situation.
This article seeks to help you narrow down your options and enlighten you more on what you should be looking out for when choosing a credit card. No single credit card is the best; they are so many categories of credit cards. It all depends on which is best for you.
Tips to Choosing a Credit Card for the First Time
- Consider your credit position: knowing your credit score will help determine which credit card you will be eligible to get. So, the higher your score, the greater your chances of getting approved for the card of your dream. You can check your credit score through the card issuers. Also, you can also check online for much available free access to credit scores. You can click here to check your score at NerdWallet. Now after checking your credit score and its poor, you’ll need to evaluate your credit reports to see specifically where to make amends on your credit.
Note: you are by law entitled to a free copy of your credit report once a year from the major credit bureaus (Equifax, TransUnion, and Experian).
- Ask the right questions and do your research: as already stated, they are many available credit cards out there. You need to specifically pick a card that best suits your lifestyle and your credit situation. Typically, there are three types of cards;
- A credit card which will help you improve your credit situation
- The cards which you can use to save on interests
- The ones that earn you rewards.
So from the above, you know best which type of card you need. For example, if you don’t frequently deal on cars via buying or leasing, you definitely won’t need the Capital One BuyPower credit card. So you need to narrow your choices to your specific needs by asking the right questions and making good choices.
- Apply for a card that gives you value: when applying for a credit card ensure you apply for a card that would provide you with the best overall value. This is the tricky part, after narrowing your choice of card to maybe 2 or 3, choosing the perfect one can be tricky. This now brings us to another subheading, best credit cards.
How to Choose the Best Credit Card
Below is a breakdown of best credit cards available based on specific needs;
- Best low-interest cards: if you need a credit card that offers low-interest rates instead of other perks, then check out the following;
- USAA Rate Advantage MasterCard: this has a 6.9% APR (Annual Percentage Rate), the card is perfect for those with good credit, but it is only available to military members and their immediate family.
- Chase Slate: with a 0% introductory APR for your first 15-months of purchase and balance transfers, this is an interesting offer. The Chase Slate also offers varying APR after the initial introductory period.
- Iberiabank Visa Classic: this offers one of the lowest APR in the industry and was the first company to get rid of the over-limit fees.
You can check out more low-interest cards and compare to help you make the best decision.
- Best reward points cards: if you are looking for a card that offers perks based on usage, try the following;
- Chase Visa Cards for Amazon.com Rewards: Amazon is arguably the biggest online shopping platform. If you frequently shop online, try the Amazon card to get 3 points on your deals and pay with rewards at checkout when you earn enough rewards of course.
- Capital One BuyPower Cards: this card offers amazing reward points for those who frequently purchase or lease cars. The catch here though is that the cards work for limited car manufacturers like Chevrolet, GMC, Buick, and Cadillac. But again this is not a problem because these are some of the best American car producers. You get 5% rewards on a $5,000 purchase.
- Best Travel Miles Cards: for the frequent flyers, the following cards help you accumulate travel miles on trips;
- American Express PenFed Premium Travelcard: with no annual and foreign transaction fee, and a 5-points per dollar on airfare purchase this card offers amazing rewards. The catch here is that you must be a PenFed Credit Union member to apply for this.
- Venture Rewards card from Capital One: with this card, you get 40,000 miles one-time bonus if you spend $3,000 on airfares within the first three months. On this card, miles do not expire, and there’s no limit to how many miles a user can earn. No foreign transaction fee and $0 introductory annual fee for the first 12 months. This is definitely among the top travel rewards credit card available.
In conclusion, choosing the best credit card for you is only the first step. You must ensure to use the cards in a way you get the most out of it. Try to establish good credit while using the card and don’t misuse your available credit.
Make sure you choose a credit card that will help you build your financial goals and never settle for less. They are many available articles and site where you can compare different credit cards; we recommend you check them out also.