Choosing the best credit card in India, among a plethora of options, can be quite tricky. Each card has its set of welcome benefits, rewards programs, interest rates and fees. Then, how do you zero in on the best deal? That’s simple. Assess your personal spending behaviour and evaluate your needs before you select a card.
Feeling overwhelmed? There’s no need to stress; just follow these simple tips.
Understand Your Personal Preferences and Spending Habits
Your needs and preferences may be different from others. Whether it’s shopping for your favourite products, planning a dream vacation, or covering the financial needs of your business, evaluate your needs properly.
Remember, there is no one-size-fits-all option when choosing a card variant. So, before selecting an ideal option that meets all your needs, assess how you plan to spend the funds. This way, you can understand which card will suit you best, and you can apply for it strategically.
Check the Eligibility Criteria and Paperwork Requirements
Like any other financial product, there are certain formalities and eligibility parameters that you need to follow and meet for hassle-free approval from the issuer. Knowing these requirements beforehand can help you apply for the right card and avoid unnecessary rejections.
The eligibility criteria vary across card issuers. Here’s a list of some parameters that decide whether or not you’ll get approval:
- Your age and residence
- Your credit history and score
- Your income and employment
In addition, you need to submit some paperwork to the issuer for verification purposes, which include:
- Identity proof documents
- Residence proof documents
- Income and employment proof documents
Explore and Compare the Available Options
With a number of credit card providers dominating the credit card arena, this market is getting competitive. After all, it’s the healthy competition that helps you choose the best card after exploring numerous options. Some of the different types of cards that you can apply for include:
- Student credit cards
- Travel credit cards
- Rewards credit cards
- Business credit cards
- Fuel credit cards
After choosing the right type of card, compare the offering with various credit card providers and then apply. Here’s a brief snapshot of factors to consider:
- The maximum credit limit offered
- Applicable interest rates
- Associated fees and charges
- Other features and benefits, such as reward points system, discounts, shopping perks, etc.
Check the Interest Rate and Other Associated Charges
To ease your repayment process, issuers insist you to pay only the minimum amount due at the end of your billing cycle. While this approach is feasible during instances of financial crunch, don’t make it a regular norm. Why? Simply because you’ll be charged interest on the remaining unpaid amount. And this can result in a huge debt accumulation overburdening your finances.
So, check the interest rates and other charges before finalising a card to get an affordable offer. Other charges include:
- Late payment charges
- Annual renewal charges
- Reward points redemption charges
- Overlimit fees
- Foreign transaction charges
- ATM cash withdrawal fees
Pay Attention to the Joining or Welcome Benefits
To entice new customers, issuers offer attractive joining or welcome perks when you activate a card. These benefits include:
- Waiver of annual renewal charges on exceeding specific milestones
- Complimentary reward points
- Travel and accident insurance
- Discounts and offers on top brands
- Free airport lounge access at airports
- Concierge services
- Discounted flight tickets and hotel bookings
Research thoroughly to make the best use of your card’s benefits.
Assess if the Offered Credit Limit is Suitable for You
When you apply for a credit card, the issuer grants you a credit limit, and you can’t exceed that value. So, checking the potential limit well in advance can help you evaluate if the card you choose will be able to address your needs while helping you maintain a low credit utilisation ratio.
If you’re not satisfied with the offered limit, you can contact your issuer and request an increase in the limit. To assess the right credit limit, consider these points:
- Your income and expenses
- Your ongoing EMIs
- Your spending patterns
- Your future financial goals
- Your credit utilisation ratio
Employing these tips when choosing the right credit card can help you zero in on the best credit card in India. If you’re looking for a card that lets you spend confidently while giving you complete control of your finances, the One Credit Card is the perfect fit. It comes with exclusive perks, such as 5X rewards on the top two spending categories and hassle-free conversion of expensive purchases into affordable EMIs.
This card is easy on your pocket, as you don’t need to pay a joining fee, annual fee, or charges for redeeming your reward points. In addition, the mobile app helps you manage your transactions easily. Apply now to start your credit card journey and enjoy exciting discounts on shopping and dining.
