How to pick the best credit card?
When it comes to credit cards, all of them pretty much do the same thing and perform the same way. This is why today’s credit cards come with so many added features, each
No – or waived – annual fees
No credit card issuer should be allowed to claim that their card is the best credit card without this feature. GoBear Malaysia reckons the best credit cards in the market are either free-for-life or have annual fees that are easily waived (e.g. with 12 swipes a calendar year, which works out to once a month). Because once you retire or otherwise stop working, those fees start looking pretty steep (up to RM600 a year).
Vigilant and safety-oriented credit card
Credit card fraud
International acceptance (at least where you’re most likely to travel)
While, in theory, credit cards linked to the major payment networks should be accepted wherever the payment networks are accepted, in practice, people still look at the card’s issuer. The best credit cards are accepted worldwide… or, at the minimum, the places you will visit the most. Going to China? The best credit card is probably a China UnionPay card or one issued by a Chinese bank (like HSBC). Visiting the USA? The best credit card might actually be the American Express charge card.
Low interestrates (especially on balance transfer)
The best credit cards offer you low-interest rates for everyday purchases and even interest-free balance transfers; this especially comes in handy if you really need that extra time to pay your statement off once in a while. If you have a card that allows you to decide which payment goes towards paying what, that really is the best credit card you can have.
High cash back or high-value reward points
This is where credit card issuers can get sneaky, so read the product disclosure sheets or fine print. The best credit cards will give you unlimited and high cash back percentages, or if they operate a rewards points/air miles scheme instead, ensure that those points are of high value. What’s the point if the supposedly ‘best credit card’ that gives 2X reward points of any other card also has redemptions that cost 2X those of the other cards?
Perks and privileges
The best credit cards operate privilege schemes that go beyond just using the cards to pay for things. From airport lounge access to additional travel insurance to even discounts and special offers worldwide, if your credit card gives you these extra bonuses for free, then you can rightfully think it’s the best credit card you can get.
Of course, no single credit card combines all of these features. The best credit card for you is the one that has the most of the features above that really matter to you – and the only way to find out is to see our other blog on credit cards.
Want an easier way to look for credit cards? Go here.