How long have you got at least one credit card in your wallet? Is it more than five years? If the answer is yes, you surely can’t imagine your life without them. After this time, you most probably already have more than one, and you’re used to getting more depending on the features they provide.
When you get more cards, and you want to get another one, the financial companies providing them might tell you that you’re not eligible for another one because of your credit score. If it is too low, then you’ll need to improve it to get one.
In some cases, though, you’ll be eligible, and you’ll get approved for getting one no matter the score. You’ll be provided with several options to choose from, all coming from different companies. It’s your job to know what is important for you and find the one that suits you best.
That’s exactly what we will do in this article. We will show you what are the things that you need to know when purchasing the billige kredittkort, or the affordable credit card? If you follow these points, you’ll know what needs to be done to get a truly useful and respectable one. Read on if you want to know more about these things.
1. Go for the 0% interest rate
The 0% interest rate is a reality for many companies, and you just need to look for it. There are lots of them that will provide this option for a particular amount of time. Of course, no bank or other financial institution will provide this forever. They are here to make a profit, so expect a higher interest after some time.
In general, most credit card issuers will provide 0% in the first year or more. After this, you’ll need to accept a high interest rate of often more than 20%. This is a huge number and you must be aware of it. If you spend $10,000 with a yearly interest of 20%, you’ll lose a ton of money.
This is why you want to look for a lower interest rate after this. Of course, the 0% is crucial for the beginning and until you get back on your feet after spending the first amount. After this, you’ll need to pay for everything you put on the card, so make sure you’re getting something valuable.
2. Provide a security deposit before getting one
Before opting for any credit card, it’s best to provide a security deposit. You may want to save for some time before getting any. Why? Because when you provide a security deposit you’ll instantly get better terms. The financial institution would love to see that you’re a safe player and they’ll be able to get their money back in case of an emergency.
How does this work? By showing that you have enough money to cover for eventual expenses that you can not repay, the bank will take this money from your account to cover their losses. At the same time, you’re going to be eligible for using their services and spending money from your credit card.
The card issuer will also provide better terms for you. If they say that you have enough funds to cover eventual problems, they’ll give you better terms knowing that they can’t lose. In general, the banks give their users poor terms if they can’t be sure that they are going to get their borrowed money back.
3. Avoid annual fees
When the bank issues the card, they have particular expenses. Keeping it alive also has expenses, but they are not so big to be imposed on your back. You are not supposed to pay anything for having the kredittkort. See more about annual fees here.
After all, if some companies provide free providing and maintaining, then everyone can do it. If it wasn’t possible, no one would’ve given you something like this. Some companies will also provide free production, but will then ask for a yearly maintenance fee.
It is best if they don’t charge you anything. Look for the option that will make you free from these payments. This is only another way to steal from their users and every serious financial company will give you their services without asking for something like this.
4. Ask for the kind of insurance coming with it
Before accepting anything or applying for a piece of plastic, ask about how protected you are from fraud. In most cases, the bank will insure your card and the funds on it automatically, but it’s best to ask about this feature. You don’t want to learn about negative things too late.
The money on your account is both yours and to the bank. When a hacker intrudes, they may steal everything from it, but if the account and the money on it are insured, then you won’t lose a dime. The bank will also be protected, which is why this is in the best interest of both parties.
Learn about the insurance, whether you have it or not, and what are your options in this kind of situation. Some companies will also provide other insurance benefits and options. Learn about them too, as they might come in quite handy in some situations.
For example, a lot of companies will provide car or home insurance that is billed automatically every month, but you won’t be aware of it unless a tragedy happens and the bank wants to cover itself. If you have this option, then why not realize it in time and use it wisely.
5. Have the best rewards tailored for your needs
All credit cards have their rewards and games with them. They are made to stimulate their users to spend more money, so the banks can make more profits. Put this way, it may sound like a bad thing for you, but if you find yourself in the middle, this can only be good for you.
Find a card whose rewards will be a great fit for your spending habits and the lifestyle you have. If you do, the rewards might be highly rewarding and useful for you. They are going to get a lot of money back in your account. The more you spend, the more you’ll get back.
Of course, you can never earn from these programs, as they are only designed as stimulation, but you can still get something back for your loyalty and using the card often to buy the things that are described in the program. It is only in your best interest to learn what they offer and spend more on these things.
The final words would be for you to pay more attention to details when you’re applying for a kredittkort. There are lots of tiny things that should be paid attention to. If you spend some time researching and realizing what would be best for you, be sure that you’ll have a lot of benefits.
The rewards, the benefits, and the features of a credit card make your life a lot easier and make you enjoy those moments when you need cash, but you don’t have enough on your account.