Looking for Taking a Credit Card? Here’s How To Choose athe Best Credit Card For You Before Choosing

When choosing certain banking products, such as the best credit card, we have to take into account what our needs are, since based on these we will choose one or the other. In addition to financing, credit cards offer many more services that we have to consider in order to find the best one, so we ask ourselves, what should we take into account when choosing the best credit card ?

How to choose the best credit card
How to choose the best credit card

How to choose the best credit card

Depending on the credit card you choose, you will be able to access some advantages or others, therefore, in order to help you choose the best one for you, we are going to list the most important characteristics of credit cards, which you should take into account when choosing one.

Know your credit score

If you have a positive credit history, have not fallen behind with your payments or have had any problems with your past debt, then you can probably access any credit card without problems, but if not, you may have certain obstacles and limits.

Know your credit score
Know your credit score

Remember that for financial entities that serve you such facilities, it is important that you have a good record. Before you consider a credit card, try to maintain the best possible payment behavior by boosting your cibil score.

In case you do not have previous credits, it can be even more complicated to access these cards, but there are companies that offer special loans to start your history with smaller amounts.

Credit card fees

The expenses that we will have to face not only for using the card but for having it, keeping it, withdrawing cash from the ATM. Financial entities must detail the commissions that they are going to apply to their clients and inform users in detail before making any type of modification so that they know what they are contracting. The main commissions are:

  • Charge for issuing the card
  • Fee for renewal
  • Commission for non-payment claim
  • Over-limit commission
  • ATM cash withdrawal fee

Many entities offer free credit cards and many others will offer them free for a period of time, which is usually the first year, and during the rest of the years a maintenance fee will have to be paid, so it is important to look at whether we are only exempt from paying it the first year or it is free forever.

Another thing to keep in mind is in which ATMs we can withdraw money for free with the credit card and all the services that we can access with it (transfers, discounts…)

Credit card interest

To know the interest that the use of a credit card entails, you must look at the APR, the Annual percentage rate.You must pay special attention to this aspect, since it is an indicator that reveals the effective cost of deferral of purchases that we make with the card as the APR includes the interests, commissions and expenses of the credit card and helps us to compare the cards offered by different financial institutions.

Preset payment method

Keep in mind that default credit cards usually have a payment deferral of about two months with interest that is around 20% APR. When we choose a card, we must contact the financial institution or access our client area to choose the financing option that suits us best. 

Credit card grace period

The grace period consists of the time from the end of the billing cycle to the due date of the payment you have made. It does not mean a period during which the bank finances you for free, but the time during which you can “put in order” the balance of the card, and thus avoid the interest charge.

Credit card debt limit

Each one must know what their debt limit is, that is, the maximum they can spend now and pay back in the future, since the money spent by credit card is a loan that must be paid back and the sooner it is done, the less costs we will have to bear.

It is best to avoid having a high limit on the card, as it is easy for the debt to accumulate, either in the end it becomes a huge ball that we cannot cope with. But, in this regard, the best credit card will be the one that suits our financial possibilities.

Does the credit card have discounts?

Some credit cards provide discounts for making purchases in certain stores, fuel discounts or welcome promotions.

Insurance that includes the credit card

A little-known feature is the insurance that credit cards have, some very useful, such as travel insurance, which can have important coverage and cover you in case you have bought the ticket with it. For example, the credit card includes free accident insurance and 24-hour travel assistance and purchase protection insurance, among others, with some of the following coverages:

Free accident insurance and 24-hour travel assistance in a credit card
Free accident insurance and 24-hour travel assistance in a credit card

Free accident insurance and 24-hour travel assistance in a credit card

  • Travel accident coverage
  • Medical assistance in country
  • Repatriation due to death
  • Covers hospitalization for more than 10 days
  • Coverage for loss or delay of luggage

Must have credit card feature

  • Theft or hack of credit card for any purchases
  • Robbery at an ATM


It is reality that many times we stay away by the announcement of the bank that offers us a free credit card but as you can see there are many more characteristics to look at and to find out which is the best credit card for us.

Credit cards can be an excellent option to have access to a certain amount of money before you collect your payroll, but make sure you manage them correctly so that they do not become a snowball that is impossible to pay in the future.