The uncertainties of life often compel people to break their pledge of maintaining a good credit score. People encounter many situations that entail sudden high expenditure and take them by surprise despite the best planning they try to do. Unforeseen circumstances compel people to cross their credit card limits even though they might be quite cautious in using credit cards to protect their credit score. In such situations, having multiple credit cards can help to avoid crossing the credit limit of any particular card and prevent damage to the credit score. Credit cards can save your day. However, it does not provide relief from the financial stress arising from the sudden requirement of additional finances.
Referring to credit card reviews like the Legacy Visa Credit Card Review is the best way to pick your credit cards that help achieve your goals in travel, financial management, and even in supporting the cost of your education if you are a student. One thing that is common when choosing credit cards is the rewards and bonus programs that come with almost all types of credit cards.
Travel credit cards
Regardless of the types of credit cards in your possession, if you are an avid traveler, you must have travel credit cards. Banks created them to meet the specific group of cardholders’ needs. Several companies from American Express to Bank of America and Citi and Orbitz offer a range of travel credit cards. The rewards are usually in the form of travel perks consisting of accumulating points or miles not only on travel but also on the associated activities like hotels, dining, and shopping. The redemption method of the rewards varies according to the terms and conditions of the Credit Card Company or bank.
Cashback cards are most attractive because of the easy redemption of the rewards accompanied by savings. Cashback rates may differ from some companies’ flat rate, while others offer higher bonuses in specific categories like groceries or gas. You will find a long list of cashback cards of the review sites, with some cards not having any annual fee and some even creating different rates of cashback according to the spending slabs. For example, some cards offer 3% cashback during the first year on spending $10,000. It is 1.5% flat for the remaining years, which is the prevailing rate for all cards. Some cashback cards even offer a bonus, which is an added attraction.
Balance transfer cards
To manage your finances better by leveraging credit cards, you must look for balance transfer credit cards. It helps to save on high interest by transferring the balance from a credit card with high interest to another card that attracts lower interest. To maximize the gain, you can avail of the 0% introductory of some credit cards. Besides allowing you to pay off debt without incurring interest, some of the cards like the Amex Everyday Credit card offer decent rewards.
Your strategy for achieving your financial goals determines which type of credit card you need.