Aren’t all credit cards the same? The truth is that they are not. To make the assertion that they are is akin to saying that a rock and a bullet are the same thing. Consumer credit cards vary quite a bit from one to another and their differing terms and conditions can either save or cost you a lot of money.
There is a lot of competition among banks and other lenders for your business as a card holder – so you’ll see many different terms and conditions out there. Be a smart comparison shopper and be sure to always read the fine print; when it comes to credit cards, it can save you a lot of money.
Obviously, you’ll want the best deal for your money. What you should seek out is a credit card which offers a low APR. APR stands for Annual Percentage Rate and is the amount that you will pay to use the card – think of it as rent paid for the money you are borrowing from the credit card company.
The important thing to do here is to always make at least the minimum monthly payment on time – this will keep your credit card company from raising your APR on you.
Making your payments late can cause your APR to rise as high as 24% – and just because you make your payments on time afterwards will not result in your APR dropping back to a lower level; there is no escape clause for this penalty.
Let’s suppose that you will always make your payments on time. You should try to find a card which offers you rewards, such as points which can be traded in for goods and services; meals, travel and the like.
Whenever you use your credit card, you’ll be working towards getting something that you want. This makes a good deal an even better one through these incentives. Some people use their credit cards for every purchase that they can, paying in full each month. These people earn all sorts of rewards, even first class airfare!
The quickest way to get a credit card and start using it right away is to apply online. In a matter of minutes you can be approved. If your credit is good, approval should be no problem.
Some credit card companies will even give you a limit from the moment you are approved; meaning that you can start shopping online right away. The actual card will arrive in the mail between one and two weeks later.
If the credit card you have right now is a high interest one, you can look on the web for a better deal. There are many cards which offer 0% interest for six months as an introductory offer. You can apply for this card and transfer your existing balance to it to make it easy to pay off.