A credit card is a valuable source of instant credit and gives you the power to make purchases and decisions in moments. Further, you can be sure your credit score will bloom with timely repayments, allowing you to tap into credit reserves in times of need. Today, there are numerous credit cards in the market that you can opt for. However, they differ in fees, reward points, and USPs. When you obtain the right credit card, you not only take on credit prudently, but also make the most of the incentives offered. To help you make the right decision, here are 6 questions you should ask yourself before settling on the best credit card for yourself.
Do I have a sufficiently high credit score?
Your credit score is one of the first things financiers will look into. Basically, it shows how good you are at handling debt and reassures issuers about your repayment capabilities. Having an adequate credit score gives you access to a larger range of credit cards. Generally, credit card issuers require you to have a score of at least 750 points. The Bajaj Finserv RBL Bank SuperCardis one such card. If your credit score needs improvement, look for ways to boost it like paying bills on time and clearing existing debt.
Will my current financial obligations affect repayment?
Before signing up for a credit card, it is important that you chalk out a repayment plan. This is because you incur interest on the amount utilised if your balance amount is not cleared in the interest-free period. If this process carries on, an avalanche effect will be created in which you pay interest on interest. So, in order to make a good judgement, factor in what portion of your salary is already going to towards EMIs, groceries, and medication. Also consider if you have children or elderly parents who are dependent on you for financial assistance.
What are the annual and joining fees involved?
Look for a credit card that minimises the joining and annual fees. While some cards have lifetime free offers, others will require you to spend a certain amount in a calendar year to ensure that the annual fee is waived off. Each financier offers varying discounts and deals. For example, the Platinum First First-Year-Free SuperCard waives off the Rs.999 charge for the first year.
Can the reward points be redeemed for regular spends?
Today, every major company offers credit card reward points on every transaction you make. Generally, for every rupee spent, you earn 4 credit cards. Before choosing a credit card, verify that you can redeem these points for purchases that matter to you. For instance, if you fly frequently, check if you can trade reward points for airmiles, lounge access or a business class upgrade. Similarly, if you spend a lot on groceries, check if your points can be redeemed at your local store.
In terms of eligibility, do I meet the credit card requirements?
You need to meet the various eligibility criteria set by your preferred credit card company in order to avail a credit card from them. These criteria differ amongst issuers and range from credit score and income to age and locality. For instance, here are some of the criteria you need to meet when you apply for the Bajaj Finserv RBL Bank SuperCard:
● Minimum credit score of 750
● Between the ages of 25 to 65 years
● Clear of any financial default
● Residence in a SuperCard live location in India
● Existing Bajaj Finance Limited customer
● Existing EMI card holder
What are the USPs that the card has to offer?
Financiers differ from each other in the USPs they offer as well. For example, some cards come with partial to total fuel surcharge waiver. This can be profitable in case most of your expenses involve the purchase of fuel for your vehicle. This way you can save on transaction costs and also earn reward points that can be traded for valuable goods or services.Similarly, The RBL SuperCard offers you the benefits of multiple cards rolled into one. Use it at any ATM to avail yourself of 50 days interest-free cash, obtain a 90-day interest-free loan from your credit limit and convert purchases above Rs.3,000 to convenient EMIs! The Bajaj Finserv RBL Bank SuperCard comes in 6 different card variants allowing you to fine tune your selection and maximise your financial gains. Getting started with the RBL SuperCard is easy and convenient. You can apply for your credit card online and hasten the onboarding process by checking your pre-approved credit card offer.