Credit Card Benefits – Okay, asking yourself what benefits you should look out for when shopping for a new credit card? Here’s what you need to know first. A credit card is, at a very basic level, a credit—a loan that is extended to you because of your credit rating, income and your ability to pay back the said amount with interest. It is merely a loan that you pay back either in parts (minimum payments, part payments) or in full at the end of a period.
The long and short of it is that all credit cards are the same when assessed from this standpoint. And that is the truth. As a loan, they are all the same. The difference comes in from the way you use it, where you use it and for what you use it. For example, when one card might require that you pay the amount used in full at the end of the cycle, another may let you pay every cycle a certain degree that eventually adds up to the money you owe on the card.
Cycles remain, by and large, the same, but the rates differ, the annual fees differ and certain charges differ; cash withdrawal fee, late fee et al. differ from bank to bank and from card issuer to card issuer. These differences aside, the type of card you pick will decide the value it offers to you. Benefits of a particular card, therefore, are purely subjective.
Also, Check: Credit Card Eligibility Criteria
Logging on to a card issuer’s website, one can get to know all about the card’s features and special frills. It is the prudent course of action before you say yes to any card. That is one significant benefit from having everything you need to know online when shopping for a new credit card.
For instance on the Citibank Hong Kong credit card page about eight cards are shown upfront, with a description of what each card offers. A premier miles card is very different from a Citi Cash Back American Express card because one is aimed at benefiting a traveler with air miles while the other is aimed at giving more benefits for a shopper.
You can straight away pick one of the two. Cash back credit cards let you get a percentage of the spend credited back to you, and that is ideal for a shopper who saves up with each buy. But if you’re looking for some value as a traveler, your air miles program will be more useful to you than cash back.
The another benefit of going online is that comparison is also possible now. A quick compare option allows a potential card shopper, looking at cards online, to make a fundamental decision right away. Most card issuers take you through some fundamental questions before listing out all the cards in the range against some parameters like annual fee, spending periods, offers, etc.
Credit Card Benefits – The third benefit is that you can apply online. After you’ve satisfied yourself with the card’s basic features, advantages, and charges, you can from the comfort of your home make an application for the card with your relevant details. This, however, should not be construed as your eligibility for the card. Your eligibility for the card will only arrive after duly checking your important credit history and rating post the submission of information.