Travel & rewards credit cards
Balance transfer credit cards
Low rate credit cards
No annual fee credit card
Citi Ready Credit
Help with loansHow to Choose the Best Credit Card
Are you looking to earn rewards points so that you can finally book that flight to Europe? Are you after a credit card that can help manage your cash flow or to use only in case of emergencies? Understanding this will help you choose a credit card which matches your needs and complements your spend.
With so many different credit cards out there for you to choose from, it can be hard to know where to start. We have compiled a list of six key features that you should take into consideration when choosing the best credit card for you.
APR
The Annual Percentage Rate (APR), is the interest rate charge that applies to the outstanding balance of your credit card. This interest rate is calculated as a percentage of your balance and shown as an annual or per annum figure.
For example a credit card could have an interest rate of 12.99% p.a. (per annum)
The APR offered depends on the provider and the type of credit card you are applying for. It’s one of the most important aspects of your credit card as it is will determine the costs if your balance is not paid off within the statement period or within the interest free day period (if offered). Note that interest will be charged from the transaction date if no interest free period applies.
Most credit cards have different interest rates for purchases, balance transfers, and cash advances. So it’s important that you know the APR for each.
Points and rewards systems
If you like earning reward points and getting something in return for your credit card spend, then you should look at the different reward programs offered by providers. Be sure to look at what type of spend is rewarded with points and where you can redeem your rewards.
For example, if you’re a big traveller, then look for a card which accrues points with an airline frequent flyer program or a program where you can redeem points for digital gift cards with hotels.
In order to choose the best rewards card for you, you also need to find a rewards program which complements your spend. As credit card rewards point tend to be earned in correlation with every eligible dollar you spend, you want to choose a card which will earn you points for the type of purchases you make.
Some of our travel and rewards credit cards offer you the choice of earning Points through airline mile programs or through the Citi Rewards Program. Citi Points can be redeemed for flights, accommodation, gift cards and more - explore how points are earned and redeemed.
Cash back offers
Typically, reward credit cards offer rewards points for eligible purchases made with them, however, some also offer cash back on spend in the form of dollars or credit on your account. Cash back offers let you earn a percentage (usually between 1-5%) back on purchases you make up to a maximum amount.
Cash back offers vary between cards and providers, with some earning cash back rewards as part of an ongoing feature of the card and others providing cash back for a limited introductory period. Some credit card reward programs such as Citi, even allow you to redeem reward points for cash back.
Check out the Citi Rewards Classic Credit Card for our cash back offering.
Interest-free periods
An interest-free period is the length of time you have to pay your credit card balance in full before you incur interest. This period is calculated in days from the billing date and can range from 14 days or 25 days depending on the provider. However, if you are carrying a balance over from the last month then your interest-free days do not apply and you will be paying interest from day 1 of your billing cycle.
If you are someone who seeks to always pay off their credit card balance in full each month, then you should look for a credit card with an interest-free period. While these cards may come with a higher interest rate, if you are paying off your balance in full during the interest-free period then you will avoid the interest.
Fees
When choosing a credit card that is best for you, you need to consider the credit card fees. If you are looking to accumulate credit card rewards points but not planning on using your credit card that often then it pays to choose a credit card with a low annual fee. That way your annual fee won’t end up costing you more than you would have earned in rewards points.
As well as an annual fee, credit card companies can also charge late payment fees, additional cardholder fees, transaction fees, cash advance fees, and fees for exceeding your credit limit. Compare the annual fees that apply to our credit cards here.
Balance transfer offers
If you have an outstanding credit card balance and are looking to save on interest, then a credit card with a balance transfer offering could be the best option for you. Balance transfer credit cards work by offering customers a low-interest rate on balances transferred from other credit cards, store cards or loans for a set period of time, so customers are able to save by reducing the interest charged on your existing card balance and pay off their debt sooner. When choosing a balance transfer credit card you need to look at three things:
1. The length of the introductory period – to maximise the savings with the low interest rate, you need to be able to pay off the balances transferred onto the card within this period. So choose an offer with a period that’s long enough for you to do so.
2. The balance transfer rate - balance transfer credit cards typically have promotional offers (what you pay during the introductory period, usually) in which new cardholders are offered an lower interest rate on any balances transferred. After this introductory period ends, the interest rate typically reverts to the cash advance rate.
3. The fee - banks typically charge a balance transfer fee which you will need to pay at the outset however, the lower balance transfer rate offered can make up for this cost.
Generally, interest free days won't apply to credit card purchases while you have a balance transfer offer on your card, so it's important to remember that you'll be charged interest from the date you make a new purchase.
We have a range of balance transfer credit cards providing different introductory offers for you to choose from. Want to find out how much you could save during the promotional period if you transferred your current outstanding credit card balance to one of our credit cards? Our helpful Balance Transfer Calculator will help you calculate your savings for each of its credit card offered.
If you need help choosing the right credit card for you, we make it easy to compare balance transfer, travel and rewards, premium, low-rate and no annual fee credit cards. Compare credit card features, benefits, rates and fees to choose the best card for your lifestyle.
Are you looking to earn rewards points so that you can finally book that flight to Europe? Are you after a credit card that can help manage your cash flow or to use only in case of emergencies? Understanding this will help you choose a credit card which matches your needs and complements your spend.
With so many different credit cards out there for you to choose from, it can be hard to know where to start. We have compiled a list of six key features that you should take into consideration when choosing the best credit card for you.
APR
The Annual Percentage Rate (APR), is the interest rate charge that applies to the outstanding balance of your credit card. This interest rate is calculated as a percentage of your balance and shown as an annual or per annum figure.
For example a credit card could have an interest rate of 12.99% p.a. (per annum)
The APR offered depends on the provider and the type of credit card you are applying for. It’s one of the most important aspects of your credit card as it is will determine the costs if your balance is not paid off within the statement period or within the interest free day period (if offered). Note that interest will be charged from the transaction date if no interest free period applies.
Most credit cards have different interest rates for purchases, balance transfers, and cash advances. So it’s important that you know the APR for each.
Points and rewards systems
If you like earning reward points and getting something in return for your credit card spend, then you should look at the different reward programs offered by providers. Be sure to look at what type of spend is rewarded with points and where you can redeem your rewards.
For example, if you’re a big traveller, then look for a card which accrues points with an airline frequent flyer program or a program where you can redeem points for digital gift cards with hotels.
In order to choose the best rewards card for you, you also need to find a rewards program which complements your spend. As credit card rewards point tend to be earned in correlation with every eligible dollar you spend, you want to choose a card which will earn you points for the type of purchases you make.
Some of our travel and rewards credit cards offer you the choice of earning Points through airline mile programs or through the Citi Rewards Program. Citi Points can be redeemed for flights, accommodation, gift cards and more - explore how points are earned and redeemed.
Cash back offers
Typically, reward credit cards offer rewards points for eligible purchases made with them, however, some also offer cash back on spend in the form of dollars or credit on your account. Cash back offers let you earn a percentage (usually between 1-5%) back on purchases you make up to a maximum amount.
Cash back offers vary between cards and providers, with some earning cash back rewards as part of an ongoing feature of the card and others providing cash back for a limited introductory period. Some credit card reward programs such as Citi, even allow you to redeem reward points for cash back.
Check out the Citi Rewards Classic Credit Card for our cash back offering.
Interest-free periods
An interest-free period is the length of time you have to pay your credit card balance in full before you incur interest. This period is calculated in days from the billing date and can range from 14 days or 25 days depending on the provider. However, if you are carrying a balance over from the last month then your interest-free days do not apply and you will be paying interest from day 1 of your billing cycle.
If you are someone who seeks to always pay off their credit card balance in full each month, then you should look for a credit card with an interest-free period. While these cards may come with a higher interest rate, if you are paying off your balance in full during the interest-free period then you will avoid the interest.
Fees
When choosing a credit card that is best for you, you need to consider the credit card fees. If you are looking to accumulate credit card rewards points but not planning on using your credit card that often then it pays to choose a credit card with a low annual fee. That way your annual fee won’t end up costing you more than you would have earned in rewards points.
As well as an annual fee, credit card companies can also charge late payment fees, additional cardholder fees, transaction fees, cash advance fees, and fees for exceeding your credit limit. Compare the annual fees that apply to our credit cards here.
Balance transfer offers
If you have an outstanding credit card balance and are looking to save on interest, then a credit card with a balance transfer offering could be the best option for you. Balance transfer credit cards work by offering customers a low-interest rate on balances transferred from other credit cards, store cards or loans for a set period of time, so customers are able to save by reducing the interest charged on your existing card balance and pay off their debt sooner. When choosing a balance transfer credit card you need to look at three things:
1. The length of the introductory period – to maximise the savings with the low interest rate, you need to be able to pay off the balances transferred onto the card within this period. So choose an offer with a period that’s long enough for you to do so.
2. The balance transfer rate - balance transfer credit cards typically have promotional offers (what you pay during the introductory period, usually) in which new cardholders are offered an lower interest rate on any balances transferred. After this introductory period ends, the interest rate typically reverts to the cash advance rate.
3. The fee - banks typically charge a balance transfer fee which you will need to pay at the outset however, the lower balance transfer rate offered can make up for this cost.
Generally, interest free days won't apply to credit card purchases while you have a balance transfer offer on your card, so it's important to remember that you'll be charged interest from the date you make a new purchase.
We have a range of balance transfer credit cards providing different introductory offers for you to choose from. Want to find out how much you could save during the promotional period if you transferred your current outstanding credit card balance to one of our credit cards? Our helpful Balance Transfer Calculator will help you calculate your savings for each of its credit card offered.
If you need help choosing the right credit card for you, we make it easy to compare balance transfer, travel and rewards, premium, low-rate and no annual fee credit cards. Compare credit card features, benefits, rates and fees to choose the best card for your lifestyle.