A credit card is a type of payment card in which charges are made against a line of credit instead of the account holder’s cash deposits. When someone uses a credit card to make a purchase, that person’s account accrues a balance that must be paid off each month. Although failure to pay off the credit card on time could result in interest charges and late fees, credit cards can also help users build a positive credit history.
How to Choose the Best Credit Card?
When you start searching for the best credit card in India, you will find a lot of top credit cards with different types of facilities. There are several options available for it. You should always find a credit card that matches your spending habits. There are 5 steps to choose the best credit card for you. These are the steps:
- To Know the purpose of getting a credit card
To get a credit card you must identify your requirement. Primarily, there are three reasons why people will need a credit card — to create credit from scratch, to be able to make large purchases, and to obtain high credit limits to receive offers in different spending categories. The best credit card for you will be the one that matches your needs.
- Understand your eligibility for a credit card
Once you know clearly why you need a credit card, you should understand your credit profile and which credit cards you may be eligible for. For example, you want a credit card that offers exciting travel benefits but your income for the card may be lower. Therefore, you must ensure that the card you have applied for has a good chance of approval. In Paisabazaar, you get credit card suggestions based on your credit profile and income. Click here to start searching for the right credit card.
- Shortlist Credit Cards
Depending on your eligibility, you can shortlist some credit cards. This will ease your search for the right card. To shortlist the cards, you can ask yourself some basic questions, such as whether you can afford its annual fees or whether it matches your main requirements.
- Pick Up the one that offers the best value
From the shortlisted credit card, choose the one that gives you the highest value overall. Take a futuristic approach here. Ask yourself if you would like to use this card 5 years down the line. See if the bank gives an option to upgrade to another card later.
- Choose how to apply
You can apply either directly through the bank’s website or a third-party website. With the latter, you get the option to compare cards from different banks to find the best credit card for you.
FAQs
Which bank has the best credit card in India?
Some of the most popular banks offering credit cards in India are HDFC, ICICI, Amex, Axis, SBI Card, Citibank, Kotak Mahindra Bank, and Standard Chartered Bank. However, the best credit card for you will be the one that matches your needs. To make your search easier for you, we have listed some of the most popular and best cards in India above. Go to the credit card list.
Which credit card is great for online shopping in India?
Some of the great credit cards for online shopping in India are SBI Simply Click Credit Card, Axis Bank Neo Credit Card, HDFC Moneyback Credit Card, and ICICI Amazon Credit Card.
Do all the great credit cards in India charge high annual fees?
No. In India, there are some credit cards with the best offers which are either lifetime free or charge a minimum annual fee. Some examples include HDFC Moneyback, HSBC Platinum, ICICI Amazon Pay Credit Card, and Citi Cashback Credit Card.
Which credit card is the best rewards program in India?
With every purchase almost all credit cards in India offer reward points. But some credit cards offer higher reward points with certain purchases and have many redemption options. Click here to read about the best rewards credit card in India.
Which credit card is best for travel in India?
Many banks offer travel credit cards in India with benefits such as complimentary airport lounge access, air tickets, extra rewards, air miles, and more. Some good travel credit cards are HDFC Regalia Credit Card, Axis Bank Vistara Credit Card, Citi Premier Mills Credit Card, and American Express Platinum Travel Credit Card. Click here to read about the best travel credit card in India.
To know more about, which credit card to choose read our article where we’ve compared the top 10 best credit cards in India for 2020.
