Spending is a part of one’s life. By spending, individuals can improve their lifestyle. It can also help them make their future better. However, there are cases when individuals forget to bring their money. Luckily, banking institutions have come up with a brilliant idea by creating credit cards.
By having credit cards, individuals can purchase almost anything safely. Not to mention, they can also pay for items purchased online. Because of this, more and more individuals are applying for credit cards. But, not everyone has the privilege to get one.
In order to get a credit card, it is important for individuals to choose the right credit card offers. In UAE, reputable banking institutions like HSBC cite some of the most common factors you need to know when choosing credit cards. Below are some of the following.
Interest rates
The first thing individuals need to know when applying for a credit card is the interest rates. Banking institutions have different interest rates. Therefore, it is important to look for banks that provide lower rates. As for students, getting a credit card is quite stressful since student credit cards have higher interest rates. But, getting a student credit card is easier.
Credit limit
The next factor individuals need to know when choosing credit card offers is its credit limit. A credit limit is the maximum amount of credit that a financial institution or other lender will extend to a debtor for a particular line of credit. Credit limit may vary on individuals depending on their cash flow or ability to repay the credit. Therefore, if you wish to have a sizeable credit limit, it is best that you have a good track record.
Cash advance
Cash advance is a service that allows cardholders to withdraw cash, either through an ATM or over the counter at a bank or other financial agency. In case that you do not know about this service, it is best to talk to your agency in order to get more accurate information and to help you use this service to your advantage.
APR
Finally, it is also important for individuals to know about APR. It is also known as Annual percentage rate and it describes the interest rate for a whole year rather than just a monthly fee/rate. Fortunately, APR can be removed by giving collateral. However, this option comes with strict rules. So, it is important for individuals to go through the rules of the banking institution to get better features when choosing credit card offers.
preparationandhardwork 