| Here are some guidelines -
1. Don't get a CC that requires an annual fee.
2. Always pay off the CC at the end of the month so you never pay interest. If you do this the interest rate of the card doesn't matter.
3. Don't be taken in by 'low initial interest rate' cards - the rate invariably goes up (but it doesn't matter if you always pay it off).
4. Get a free cash-back or airline miles card if you can. This way they actually pay YOU to use the card. I get paid about $500 cash per year to use a CC!
5. Don't get any more cards than you really need. IMO there's no need for gas station, department store, or other specialty cards since they all take Visa or Mastercard. One card is typically adequate - two max in case there's an issue with one of them. Any more than this will be more difficult to handle the monthly payoff.
6. It might be easier to get the card at wherever you bank but it might not be the best deal (see above points). |