Compare Credit Cards
Credit cards are one of the most popular financial products in the world. However, you need to be careful.
Why should you get a Credit Card?
When you are given a credit card you are given a line of credit which is essentially a form of borrowing. The exact amount you can borrow is called a credit limit and this figure is based on your credit history. People take out credit cards because they allow you to pay for purchases in small monthly instalments and they give you more financial freedom.
People like spending with a credit card because they are convenient, easy to use and they have worldwide acceptance.
What are interest rates?
Credit cards have an interest rate, which is the annual rate you pay for borrowing the credit on your card. Interest rates are usually based on market interest rates, your credit history and the type of credit card you have. You will find that the better your credit history the higher your credit limit and the lower the interest. If you have a poor credit history you will be given considerably higher interest rates.
Credit cards may offer introductory rates that are lower than the standard interest rate for a specified term. This introductory rate is usually for purchases and balance transfers but it may also apply to cash advances.
Don’t fall into debt
Getting into debt with a credit card can be very easy. Do not abuse a credit card and always remember it is not free money. You will have to deal with harsh penalties for missing payments and exceeding credit limits not to mention damage your credit rating.
It can be all too easy to build up credit card debt that you cannot afford. The interest rate on credit cards can be expensive which means that they are not necessarily to most cost-effective method of carrying debt on an ongoing basis. You should at least pay the minimum amount due every month and where possible pay charges in full.
Getting the right credit card for you and your finances
Use the table above to compare different credit cards. Always make sure you read the small print fully and that you understand what the consequences are of missing payments.
As with any financial product it is important that you take the time to research the market and consider your options carefully. You need to make sure you get the right card for your personal finances.
There are a wide range of credit cards on the market from credit cards for students and cards for businesses. You can also find credit cards that come with some great rewards programmes such as cash back features, free airmiles and other discounts and offers. Some cards also come with additional features such as travel insurance so bear this in mind. To help you find the right card think about how you want to use the card.
24 April 2013
There are various types of credit cards to choose from but which is the right one for you?
09 April 2013
Nowadays life without a credit or debit card has become almost unimaginable. There are numerous benefits, like shopping on the Internet, booking events or renting cars, all of which are hardly possible if one doesn't have plastic money.
31 May 2012 16:00
Many people do not realise how much of an asset having a good credit report is. If you are thinking about taking out a loan or credit card you might want to first think about checking your credit report to ensure all the information it contains is correct and up-to-date
26 April 2012 17:00
People with a poor credit rating will struggle to obtain the credit card they want. However, On the UK market today there are credit cards specifically designed for people with a poor credit history.