Everyone wants a credit card. It used to be a tool for living outside one's means. But nowadays many people feel they have to use credit cards regularly, simply in order to meet their daily needs. The credit card industry is well-aware of the popularity of their product, and as a result they go to every imaginable length to get you to sign up for their card.
They offer 0 percent on balance transfers and cash advances with no transfer or advance fees or purchases up to a certain date. They offer airline miles, magazine subscriptions, luxury toys, free gas for your car and a donation to your child's school. They offer 1-5 percent cash-back on qualified purchases and then offer online coupons worth more cash back if you click through the ad and make a purchase - with your card - at a participating vendor's site.
So how do you get one? You can apply for a credit card over the phone, through the mail or online. Applying through the internet usually gives you the quickest response and you don't have to wait on hold or deal with a sales-oriented operator.
But even if you decide not to apply for a credit card online, there's still no greater resource for researching and finding the right credit card for you than the internet. And since you're already here... Find a website that provides impartial comparisons on credit card offers currently available to you. If you're having trouble, search for "credit cards" on Google, and click on both financial and non-financial institution sites. Researching a credit card through a third-party site, such as a portal or directory that doesn't offer its "own" credit card, will likely give you an idea of not only a card's benefits but its drawbacks too.
Make sure the site you choose to begin your research on compares offers from all the major players such as MasterCard, Visa, American Express and Discover. Browse through the site initially to get a feel for its credibility. Is it a professional looking site or does it appear to be a banner farm (all advertising)? Are the "reviews" actually reviews or are they sales pitches? Once you've found a site you believe you can respect, begin searching for cards based on the criteria most important to you. Consider your daily needs and your spending habits to figure out your top priorities in choosing a new card.
If you don't take many out-of-state vacations or business trips, then an airline miles card will not be suitable for you. If you commute an hour each way to work every day in inner city traffic then a gas rebate card might be just the thing for you. If you have out of control debt on three other credit cards, then you'll most likely be searching for a chance to consolidate it all onto a single 0 percent card for a year or two.
Find a few cards that fit your qualifications and compare them one against the other. Is the APR a fixed rate or a promotional adjustable rate? If the rate isn't fixed, when will it change and how often; to what rate and based on what criteria? Realize that when a promotional rate expires, the remaining balance is calculated according to that new rate from then on (and in some cases, retroactively!).
What is the APR for cash advances? Balance transfers? What are the fees for both? And speaking of fees, do any of the cards carry an annual fee? How often is interest calculated - every day, every month or every two months?
It's important to remember that owning too many credit cards can be bad for your credit rating and your credit score. So can applying for credit cards too frequently, as can the habit of getting new cards and canceling old ones with too much frequency. It is far better to take the time to find one, two or three credit cards with terms that you feel you can live with for a lifetime. Establishing credit with just a few companies and maintaining a sparkling record with them for years and years on end is the best way to bolster your credit score and build a stellar credit rating.
Once you've found the card you want, applying for it is easy. Most credit card companies make sure that their websites direct you step-by-step through the online application process. Just have your social security number and income information ready.
