Has it been recently that you received an offer of a free credit card? If the answer to this question is yes, then congratulations are in order for your free credit card to apply. However, there are key things about the offer that you should think about before applying for a credit card.
Before settling on a particular one, you need to look at several other closely related alternatives. It would be easier for you to choose the credit card that can help you with your buying plans. You will not have any problems when repaying it back. These are the main issues to consider before getting such cards:
What is The Annual Percentage Rate Applicable on The Card?
Prior to Free Credit Card Apply, check interest rate applicable on the provided plastic money. That is what you will pay for borrowing money as long as your debit limit agreed upon has not been surpassed. In case you cannot clear monthly balances, please look at the annual percentage rate (APR). Comparing APRs of different cards would enable selecting the cheapest among them.
Paying the Minimum
It is one of the finest things about having a credit card that you can pay back a little bit every month. Making minimum payment will keep your records intact and, therefore, your credit score at an acceptable level. Even if it is always advised to do so, it may be difficult in some other cases to pay off one’s entire balance in a single month.
This is where the minimum payment percentage matters the most. Normally, there are some months when the minimum repayment terms range between 3%-5% of the outstanding monthly balances. Before obtaining any credit card, you must compare their respective minimum payments.
Renewal Fees for Credit Cards
One of the areas that matters a lot in a comparison chart for credit cards is the renewal fee at the end of the year. Normally, no fees are required for free credit cards during the first year only. However, in order to continue using it from the next day, one can pay some amount at the start of the second year and get his or her subscription renewed.
If you want a credit card that requires modest renewal fees starting from the second year, look for it. One thing about renewing fees is that it creates several rewards for the cardholders, leading to considerable value for your money. Examine what the card offers in terms of paying annual maintenance charges and bonuses.
How Much Does the Credit Card Cost?
Before apply for credit card, one needs to know about the potential fees and costs associated with its use. In case you go over your credit limit with your credit card, there are specific charges you may have to pay. Just like other penalties due to late payment of bills each month, among other charges applicable on this card, you might also have to incur a fine when making payments after the due date has passed.
It is, therefore, essential that one looks at all these expenses before getting their credit cards so as not to be confused later. This can save you from spending lots of money on not being able to repay monthly or overdrawing above borrowing limits.
First Year Introductory Interest Rates On The Credit Card
Usually, At the beginning of acquiring credit cards, the issuer charges cardholders lower interest rates. In order to reduce the risk and uncertainty of borrowing, this period may be as short as a few months or extend beyond a certain date. This is one thing that you have to take note of before getting a credit card. Where the introduction interest rate time is limited, avoid taking credit cards. It will make you pay highly for interest within a short period.
The introductory interest rate period becomes even more important when one transfers an existing balance from their credit card to another provider. This will keep interest accumulation low for some time so that it is easier to repay it all. Therefore, always consider these items carefully before applying for a credit card.
Rewards and Loyalty Programs on The Credit Card
Finally, loyalty programs and reward systems that come with using the credit card should be considered. These incentives could range from cash-back offers given through loyalty programs for using your credit card. Multiple exciting gifts will come your way just by continuing to use this type of payment method for shopping etcetera.
All of these plans will make it possible for you to amass considerable savings, which in turn will help you stay away from daily expenditures. Additionally, all purchases to be made are also rewarded and the best deals can be enjoyed.
Before opting for a free apply credit card, ensure that you have checked and compared the points above so as to enable you pick one that is suitable for your needs and brings more benefits. In essence, it is a prudent and thoughtful shopper who ought to secure the most value.
Another credit card worth considering is the Bajaj Finserv RBL Bank Credit Card.
