There are so many credit cards out there right now. So, obviously, choosing the right credit card for yourself is a pretty difficult task. Every other card has its own unique set of perks and benefits. So, it’s hard to figure out the one that suits your bill. One thing that you should know is that no card is better than the other. It’s all about figuring out what your needs are and aligning those with the credit cards that are available.
Things To Keep In Mind While Choosing Credit Cards
Credit cards are a bit tricky. They are definitely handy because they give you access to instant credit. But, you need to keep your spending habits in check otherwise you will keep racking up debt. Think about why you want a credit card in the first place. Once you figure that out, then you will know whether you can pay back the bill every month without fail.
Keep in mind that credit cards come with interest rates. But if you plan on paying your bills in full every month, then you don’t need to be worried about this. However, in case you want to carry a balance then you need a card with the lowest interest rate possible. And, in case you want a card that you will use to make most of your purchases, then you need to go for a card with a greater spend limit. The amount of credit that the credit card issuer is willing to lend you depends on a lot of things. Your credit score and salary are two important elements that help decide your credit limit.
The greater your credit score, the higher will be your credit limit. The same goes for your salary as well. These two are indicators that you can repay your bills on time. But, in case you choose not to pay your bills on a monthly basis, then you need to take note of the annual percentage rate or the APR that your credit card offers. This rate can be fixed or variable but even fixed rates can change depending on certain triggers.
The next thing that you need to keep in mind is that credit card issuers need to profit too. Some of the common charges include joining fees and renewal fees. Then there are the charges that you might incur while opting for cash advances, or balance transfers or fines for not sticking to your credit limit.
The final piece of the puzzle lies in the incentives that credit cards have to offer. You should choose the card with the right set of incentives depending on your lifestyle. If you like to dine out often then go for a card that rewards you based on the number of times you go to a restaurant. If you have to travel frequently then your best bet would be to opt for a travel rewards card that gives you frequent flyer miles. Of course, there are more perks out there and these are just a couple of examples to help you choose the right card.
FinTech Makes Everything Easy
The most difficult part about choosing a card is comparing the cards. People don’t even have that kind of time nowadays. This is where the FinTech companies come in. Instead of visiting all the websites of card issuers, you can simply open an account with a FinTech firm. They sell a wide variety of financial products for a large number of banks and financial institutes.
So, once you log in and head over to the credit cards section, you will be able to see all the credit cards that they have to offer. More importantly, you get to compare the cards right then and there and see which issuer is giving you a better deal. You can compare key features like the rate of interest, annual fees, rewards, and perks so that you can make the right decision.
All you need to do is fill in a few details like your age, salary, and company. Once that’s done, you will be able to see all the credit cards that are applicable to you. Depending on the information you have put in, you can also qualify for a few extra offers and benefits. This is because you are opting to go through a FinTech firm instead of going directly to a bank.
The entire process of credit card approval is paperless. This means that you apply online and you receive approval right away without having to visit any bank. FinTech companies use technology that allows real-time integration with financial institutions and credit bureaus so that you don’t have to waste any time at all. So, if you apply for a credit card right now, chances are, you will get a new credit card approval in just a few minutes!