There have been revolutionized in the mode of living of man and the payment sector has not been left out. The forms of payments have revolutionized over the years. A credit card is a type of card that helps you make payment electronically thus saving you the need to always carry money around when you want to make some purchases. It is a more efficient mode of payment that cash payment. There are several banks that offer these credit cards in the market but come to differ in its use and For example in Singapore, there are numerous card deals on offer by multiple bank providers such as Citibank credit card that can help you pay for goods and services. The guidelines that you should employ prior to taking a credit card are here.
Establish the interest rate that is offered by the bank. Based on the banks nature of getting to calculate the interest rate that you should pay them, they use either the fixed or variable interest rates. The two differ in terms of variability. Therefore it very essential that you liaise with the bank beforehand so that you can determine the interest rates that they are charging on their credit cards and by this you can make an informed decision.
You should check the amount that you are permitted by the bank that issues you the credit card to take up as credit. This is the maximum amount that you can receive as credit from the bank. How well you are rated by the credit control bureaus is used to set your credit limit. It is good to have a credit card that does not limit you the way you handle your activities. Get to know how the bank rates your credit scores.
Establish how much you are required to pay the bank for the usage of the credit card and the likely amount that you are likely to be penalized. In this you should seek to establish what the bank is charging as transaction costs such as balance transfers and cash advances or by requesting your credit limit. These are charges that can influence greatly on the cost involved in having the credit card. You should also determine the penalty charges that the bank can charge you when you late in paying your bills or when you go above your credit limit. You should seek to look for a bank that is offering reasonable fees.
Consider the balance computation method that is used by the bank on your credit card. Get to know how the issuer get to know the finance charge that you are obligated to pay them. This is one of the most used methods of calculating the balances of your credit card employed by most banks that issue credit cards. Banks that tend to charge you twice should be completely be avoided at all cost.