Credit cards are of many different types, varying based on the annual percentage rate, the fees charged on the customers and the rewards. It is important to make sure you pick a credit card that suits you and your financial situation. The wrong card can get you into further debt. There are many things to consider when you are applying for a credit card. Firstly, you will have to make a choice between a card with lower APR and fewer rewards and a card with a higher APR rate but with greater rewards.

If you have a bad credit history and a poor credit score, you will need a credit card that can actually help you improve your finances. When you want to pick a credit score friendly card, you have to go for the one that helps you save money as well as improve your credit history. The ideal credit card would be the one which has a very low APR even though it might not offer too many rewards. Such a credit card will offer more than one benefit. Firstly, your credit score could be poor because of a high outstanding debt. In such a scenario, it is important that you don’t pay too much interest on your credit card debt, which can be achieved with a low APR card.

Those with a revolving debt should go for a low APR credit card so that the debt doesn’t increase a lot due to the interest mounting over the debt. The other benefit offered by the card is that without too many rewards, the card holder wouldn’t be tempted towards extravagant expenses which are unnecessary and made to benefit from the rewards. You should try to go for balance transfer credit cards which come with an introductory rate which is quite low allowing you some time to pay off a bigger chunk of the debt.

There are some credit card companies which can help you by working out a plan with minimum monthly payments to repay the debt. The card holder will give you a target for a period, allowing you to keep your expenses under control and repaying the debt as quickly as possible. There are cards with 0% introductory rate on both purchases as well as balance transfers that can help card holders too. Lastly, cards that come with tools to manage finances, especially with a detailed monthly report could help.

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