Sat. Apr 13th, 2024

Banks and financial institutions offer a range of credit cards in India. Each type of credit card has unique benefits and rewards to offer. It is up to you to choose the credit card that suits your need. This article discusses how to choose the best credit card in India.

How to choose the best credit cards in India?

Consider to following factors to choose the best credit card in India:

  1. Annual membership charges

Annual membership charge is essential when looking for the best credit cards in India. Credit card issuers levy membership charges annually to continue the services on your credit card. Compare annual costs on various cards and their benefits and select the most suitable for you.

  1. Finance charges

Finance charges are the monthly fees levied on your credit card expenses. These charges are applied to the outstanding amounts paid after the due date. When searching for the best credit card, look for the card with the lowest finance charges, as it will reduce the financial burden.

Currently, IDFC FIRST Bank credit cards have the lowest finance charges. They also offer unique benefits and rewards that help you save and earn more.

  1. Rewards and benefits

Every card issuer offers loyalty benefits to the credit cardholder through rewards and cashback. You earn reward points and cashback on every expense you make using the credit card. While choosing a credit card, ensure that you select a card that provides the highest rewards and cashback. You can use the reward points to avail yourself of additional discounts.

In addition, also check the terms and conditions for using the reward points. IDFC FIRST Bank Millennia credit cards are one of the best credit cards in India because they offer up to 10X rewards on every expense.

  1. Penalties

Ensure you verify the penalties on your credit card. The best credit cards have lower penalties. Moreover, check the terms and conditions for late payment to avoid falling into a debt trap if you miss a payment.

  1. International expense offers

You should also check whether your credit card can be used overseas. Credit cards enabled with international uses can improve the credit card’s geographical scope.

  1. Instalment plan benefits

Look for credit cards that allow you to convert large expenses into EMIs. Therefore, checking the EMI (Equated Monthly Instalments) interest rates on credit cards is crucial. The best credit cards in India offer the least interest rates and charges on your purchases.

  1. Grace period

The grace period is the duration between the last billing date and the due card date, during which no interest is charged. A longer grace period gives you a long time to repay your credit card bills and helps you manage your finances better. When looking for the best credit card according to your needs, choose the credit card with a longer grace period.

  1. Credit insurance

Several credit card issuers offer credit shield insurance. Credit shield insurance helps revoke your outstanding amounts and reduce financial burdens. Verify to look for such credit insurance when searching for the best credit cards in India.

Choosing a suitable credit card per your requirements is crucial as a credit card can dictate your finances. You can consider the abovementioned factors to select the best credit cards based on your financial needs.