Free Credit Cards

Society nowdays, is fast developing a 'want it now' mentality, and this includes having access to at least a credit card... Everywhere you go you see adverts from various banks and other financial institutions offering you credit card.

However, before you apply for a credit card, there are several factors you need to consider... Making it extremely important that you know more about the types of cards available, and the benefits of one that will work the best for you.

Secured Credit Card - Are cards that require a security deposit as collateral before approval... This type of card best suits the need of people with no or poor credit who are trying to build their credit history... Your collateral must be equal or greater in value of the credit amount you are applying for... It can be anything of high monetary value like car, boat, jewellery, shares, house etc.

Just like any other card, you have to make sure that you study the terms and conditions associated with these types of cards very well before taking the card... It's even more important in this case when you are building or reforming your credit history.

Business Credit Cards - These cards are available for business owners, directors and business executives... They come with several features just like any traditional credit cards, so consider the terms and condition for these types of cards too before applying.

Student Credit Cards - These are a type of credit card specifically for students... These types of cards are made for students because of their lack of credit history, and if given chance they can build their credit history with such a card.

Prepaid Credit Cards - Also know as debit cards, this type of card is usually accepted wherever traditional credit cards are acceptable, but they are not credit card... You will have to transfer money to your card before you can make use of it, and you may not be able to spend more than you prepaid for the card.

Currently this is the best card for people that want to avoid interest and other fees charged on traditional credit card... However, other charges like monthly fees, application, overlimit and ATM fees are still applicable.

In part two of this article further down the lens page, we will continue looking at other types of credit cards on the market.

Picking up where we left off, I will discuss other types of credit cards like balance transfer credit cards, low interest credit cards, airline mile credit cards, and others... Let's start with the balance credit card.

Balance Credit Cards - Are unsecured standard cards designed to allow consumers to save money in interest charges by transferring higher interest credit card balance onto a lower interest rate credit card.

Low Interest Credit Cards - These are another type of non secured standard credit card, and they offer either low introductory APR that change to a higher rate after a certain period of time or a low fixed rate... You can take advantage of the low introductory APRs to make larger purchases for now and pay them off several months later.

Frequent Flyer Credit Cards - Also known as Air Mile Credit Cards, this type of card is great for people that travel frequently or are planning to go on vacation... It's a form of reward card that allows you to obtain free airline tickets by accumulating specified air miles before entitlement... All accumulated mile points will be based on dollar amount of your credit card purchases over a period of time based on predetermined point level.

Other Credit Cards - There are also reward cards and specialty credit cards available that are standard non-secure cards designed specifically for individual business users, consumers, and students with unique and special needs... Remember, when you choose any of the reward cards make sure you study the forms, offers and fine print very well because credit card issuing companies promotional offers often change.

As with all credit or debit cards, use common sense and be sure to thoroughly look over the card's terms and conditions before applying... You will avoid risking your credit rating and putting yourself in future financial bondage.