Different Credit Card Types

Today, credit card has made life easier for all kinds of people, from students to employees and businesses, as it increases their purchasing power. People apply for credit cards for a variety of reasons. If you need a credit card for certain needs, you will need to check if it is actually the one you are applying for.

Here are some Credit Card Types
1. Standard credit cards

These are the most common Credit Card Types. Credit cards are commonly used by most users for personal expenses and are mainly of two types: prepaid cards and low-interest cards. Typically, customers are offered money transfers so that they can transfer high-income on-account balances to other cards on a single debt at a low-interest rate. Some companies initially offer 0% per annum. However, consumers should be careful when accepting such offers and make sure they are familiar with all the terms and conditions.

2. Travel credit card

Also known as frequent flyer tickets or airline miles, this cargo plaque collects points each time the owner uses it while traveling. When the accumulated points reach a certain amount, they can be exchanged for a free ticket. If you travel regularly, a frequent flyer card comes in handy. However, pilots are sometimes required to pay an annual fee.

3. Student credit card

The student card is very different from the more traditional credit Card Types. They work like traditional cards, but allow you to learn to plan your budget like prepaid Visa cards with monthly payments instead of paying your bill with prepaid Visa.

This card is specially designed with the needs of a student or teen in mind, and many of them work like a bank account or student loan. Before making a transaction, you must understand the terms of use of this type of card. One of the advantages is that the student card has a low percentage. This allows the student to save their own money.

4. Business credit card

A business credit card is usually offered to those who work daily. These types of cards come with a variety of bonuses and incentives to help the average businessman or businesswoman with monthly spending. They typically have a longer loan term, which allows business executives to make more purchases to keep the business running smoothly.

Choosing a credit card can be a very tricky decision as some have their own terms and conditions. Before deciding before applying, make sure you know exactly what the card is for, so as not to overwhelm your requirements.

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