Worrying about fees and interest on credit cards? Managing credit while minimising costs is a trick in modern financing. A free credit card can be a problem solver in such cases as it offers flexibility to manage your payments and expenses without hidden costs.
Here’s everything about these cards at a glance.
Guide to Free Credit Cards
Being a cost-effective way to manage your finances, these credit cards do not charge an annual fee. This means you can enjoy the benefits of a regular card without worrying about the recuring fees of annual payments. Apart from that, these cards provide you with all the benefits of regular cards.
Why to Choose Free Credit Cards
When comparing a lifetime free credit card and a card that comes with an annual fee, the former may be preferable. Here are some reasons why:
- No Annual Fees
A regular credit card requires annual fees that you need to pay, whereas a free credit card does not charge you any fees. This allows you to keep the costs down. If you are not a frequent user of credit cards, this feature can help you save a lot.
- Instant Approval
These cards come with a minimum approval time; you just have to apply, and within seconds, it gets approved. It can be advantageous if you need a credit card urgently.
- Credit Building
Despite being fee-free, this card still provides the opportunity to build and improve your credit score. For this you need to use your card responsibly, meaning making timely payments and maintaining a low credit utilisation ratio. This way, you can enhance your credit history.
- Rewards and Perks
These cards come with additional benefits like cashback rewards, discounts, and travel perks. These perks vary depending on the issuer and card type. Note that these are no different than those on a regular credit card. The only benefit is that you don’t have to pay a yearly fee to keep your card active and enjoy it.
How to Choose the Right Card
When annual and joining fees are out of the question, you can focus on other factors to choose the best card for your needs. Thus, while selecting such a card, consider the following factors.
- Credit Limit
The issuer decides the maximum limit for your card based on your credit profile. Nevertheless, you can choose the best offer to get access to maximum funds and keep your utilisation ratio low.
- Rewards and Benefits
Look for cards that offer rewards and benefits that match your lifestyle. This helps you save on every purchase and makes it a more rewarding experience.
- Interest Rates
Make sure to review the interest rates for purchases and cash advances. These rates have a direct impact on your finances, which makes it important to keep them low.
- Customer Service
Always choose a card that provides excellent customer service and support. This way, you can get assistance quickly when needed and enjoy a stress-free experience.
While there are too many top-tier options on the market, one great option to choose is One Credit Card. This card is convenient, free of charge, and provides an app-based experience. On top of that, it provides 5X reward points on your monthly top two spending categories.
You can also get dine-out benefits, air ticket discounts, and no-cost EMIs to pay your bills effectively! Why wait longer? Apply now and get instant access!
Read Also: All You Need to Know About Credit Card Apps
