subject: Types Of Credit Cards For Rockbottommerchant Accounts. [print this page] Selecting your first credit card can be a difficult decision. There are hundreds of different credit cards in the market with their own advantages and disadvantages for using them. Before finally making a choice one must consider various factors like; interest, additional fees, rewards and more.
But, knowing a little bit about the different types of credit cards will help you choose the best one for your requirement. Here are a few of the different types of credit cards you can choose from:
1. Secured Credit Cards :
secured credit cards are for the new users or who does not have a credit history yet. Secured credit cards does not make for the appropriate choice for someone who has reasonably good credit, because they have higher interest rates and fees than a traditional credit card. For secured credit cards, the users are required to deposit a sum of money as collateral with the bank issuing the secured credit card. These cards come with a credit limit equal to, a percentage lower than or higher than the money deposited. Cardholders are authorized to make purchases up to a specific limit.
2. Rewards Credit Cards :
People who prefer to do most of their purchases and other expenditures on a credit card every month, and are serious enough about paying off their balance in full after a specific period makes for the best candidates for a rewards card. Rewards card quickly becomes unrewarding if the user does not follow the financial discipline to pay it off in full each month, so take your decision carefully while considering for a rewards card.
3. Low or No Interest Credit Cards :
Low interest credit cards are good for anyone who carries a monthly balance on their current credit card. These credit cards have a low fixed APR, which allows you save big in accumulated interest every month.
4. Affinity Cards :
Affinity cards are similar to the general cards except the factor that these are not issued by the bank alone. It is co-issued another sponsoring organization whose logo appears on the card. If the sponsoring organization is a charity, the cardholder will basically be donating to it every time he or she uses the card.
