Credit card popularity is on the rise, which is why this market is expected to grow at a CAGR of 25% between 2020 and 2025. As more individuals opt for such cards, there is a need for proper assessment of the various types of credit cards on offer.
Furthermore, one must undertake a detailed credit card comparison to ensure that he/she picks the most suitable product. Fortunately, individuals can easily compare the features and drawbacks online.
Credit card factors to compare
The first step of credit card comparison is gauging which aspects play the most vital role for a card. Listed below are some factors that one should focus on during such research.
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Eligibility criteria
The criteria to avail cards tend to differ based on its benefits, credit limit, and more. Thus, an individual needs to determine whether he/she is eligible for a particular card.
Before comparing all available cards, shortlist the credit card options you are interested in avail. Shorten the list further by eliminating those options which you do not qualify to avail.
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Credit limit
A credit card holder’s primary motive should be to increase the credit limit and make higher spending. Before opting for a card, one must check the pre-approved limit that he/she qualifies for. This limit depends on an individual’s credit rating and monthly income. Nevertheless, some card issuers can offer increased limits when compared to others. It is always beneficial to pick a card where the credit limit is substantial.
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Charges and fees
The majority of credit cards come with an annual fee. Additional charges may also be involved with some of these cards. Before applying for a card, one must check all such associated costs thoroughly.
Individuals should also know about credit card interest rate calculations to understand their liabilities arising from such cards. Extensive credit card comparison should help you determine the product that charges the least amount of interest and joining fees.
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Reward points and redemption
A credit card generates reward points when you pay for products and services using it. Still, some cards tend to offer higher points on expenses than others do. Picking a card with a decent reward point program can help maximize your savings.
Reward point redemption is another factor that potential credit card applicants should compare. Check how and when you can redeem the accumulated points while considering the maximum monetary savings to be made using these points.
For example, the Bajaj Finserv RBL Bank SuperCard offers up to 20,000 reward points as a welcome bonus. Cardholders will also be able to earn points after crossing milestones. The card enables customers to save up to Rs.55,000 every year, explicitly through reward point redemption.
Credit card apply online process
After a thorough comparison of all eligible products, one can proceed to make the application. Listed below is the general procedure for the online credit card application.
- Step 1: Visit the official website of your preferred credit card issuing company.
- Step 2: Find the credit card you are looking for and click on apply.
- Step 3: Fill up an online application form, detailing your personal information, employment information, and income details.
- Step 4: Submit this application.
- Step 5: Provide all necessary documentation.
Thus, with such a simplified process, you can avail of any credit card you want from the comfort of your home. However, make sure you undertake a credit card comparison to find the right product.
