Credit Card DecisionWhen it comes to choosing a credit card you must be sure that it is the right one for you. Before applying for a credit card, you should ensure that you undertake plenty of research into the different options available.

Credit cards vary in the interest that is payable on the money you owe and the benefits that are on offer. These could come in the form of air miles or money being given to a charity of your choice every time you make a purchase with your card.

Choosing a Credit Card

When choosing a credit card you are the one who is in control and can choose between the different offers available. Because the credit card market is slowly but surely improving, more and more offers are being made, putting you in the position where everyone always wants to be: the person who has the power to say ‘no.’


Credit cards tend to be the most convenient source of borrowing. On the whole, using a credit card is far easier than taking out a loan from one of the high street banks. So, before you start thinking about taking an overdraft out from your bank or making enquiries about a loan, maybe you should think about getting a credit card.

Advantages of a Credit Card

The advantages of obtaining a credit card are numerous. For example, credit cards enable you to take out short-term credit interest for free so long as you keep up with the re-payments. If you fail to pay off all you have spent on your credit card however then penalties will be applied in the form of a fixed late payment fee and an additional fee which is determined by applying the rate of your APR onto the outstanding balance. This only further stresses the need for you to choose wisely when you are deciding which one is for you.

Terms and Conditions

Before you commit to applying for a credit card, you need to ensure that you’re well-informed about the terms and conditions you’re signing up for. Many credit card companies offer zero per cent interest charges for the first few months, which may influence your decision. However, you need to make sure that you know how much you will be charged once the zero per cent offer ends. It’s always worth bearing in mind that if you make your payments in full and on time these rates will not be of particular concern.

Credit Card Protection

Credit cards are also very convenient and very safe to use in all four corners of the globe. Long gone are the days when you had to be there in person to actually use a credit card to buy something. They can be used online and over the phone to buy all kinds of goods. Also, if for some reason there is a problem with your payment or the product you are buying is faulty then under the terms and conditions of the 1974 Consumer Credit Act, you are entitled to receive a certain amount of your money back. Credit card companies and retailers actually take joint responsibility in this instance and however much you get back will depend on the value of your item (typically between £100 and £30,000). This is also the case should the company you are buying from go under in the middle of your purchase.

What is most important of all when it comes to taking out a credit card and what cannot be stressed enough is ensuring that you choose the right one for you and the circumstances in which you find yourself. Never be afraid to do research by asking extra questions because a credit card can be a potentially risky thing to use. But all in all if you do everything properly and you ask the right questions then you will more than likely save yourself hundreds of pounds every year. Now that can’t be too bad, can it?

ABOUT THE AUTHOR:

Peter has received many accreditation’s including many from the Times Online. As founder of You Could Save (2005) and What Stationers (2007) Peter regularly helps consumers and national organisation ‘save money’. He believes that the only successful way to bring people together online is to provide an open marketplace where people can all work together in a friendly, unbiased environment. You can contact Peter Millikin either through his Google+ account or via his websites.

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