Credit cards offer a simple yet effective means of handling your finances, and can help you achieve the lifestyle you want on terms that you can manage. Most banks will help you to select the right type of credit card based upon your earnings, credit history and financial standing.
You can, however, assess these factors yourself. Take the guesswork out of choosing the right credit card by using the handy credit card selection tools offered by credit card comparison websites. Alternatively, read on to find out about the different types of credit cards to match your lifestyle.
Credit card options
The classic solution
If you’re a new credit user, or someone seeking a straightforward credit card solution, a classic personal credit card is ideal. Depending on your income, you can apply for a classic, or basic, credit card option. If your application is successful, your credit limit will be based upon your credit score and your earnings.
The gold solution
For those seeking a credit card that reflects their status and achievements, a gold credit card is an intelligent choice. These credit cards provide a range of exclusive cardholder benefits, and generally offer greater credit limits and more competitive interest rates than their classic (or more basic) counterparts. These are only available to higher income individuals.
Platinum and private banking solutions
These are some of the most prestigious types of credit cards issued by banks in South Africa. Some of these cards are offered by invitation only, and are mostly only available to higher earning individuals and private banking clients. The benefits linked to these types of cards reflect the elevated status and significant achievements of their owners, and can include concierge services to match your lifestyle.
How to choose the right credit card
First of all, consider your income. Your spending requirements will generally be based upon your income. Next, consider the credit card options available. If you earn an average salary and require a simple credit solution, opt for a classic credit card that offers versatility, convenience and peace of mind. If you’re a higher earner with fairly substantial credit requirements, then it would be well worth your while to consider a gold credit card, and all the benefits that come with it.
If you consider yourself a high net worth individual who enjoys the convenience and individualised service that comes with a platinum credit card, then this should be an option to consider.
Over and above the card type, you also need to consider what additional offerings the credit card has, such as the rewards programme linked to it, the interest rates as well as the fees – particularly the annual fees. Compare credit cards online to find the card that matches your lifestyle, your income and your spending requirements. Then apply for the credit card that suits you best.
Plastiq showcases top South African credit cards, as well as American Express credit cards, designed to meet the differing financial needs of credit users. Use Plastiq to find, compare and apply for credit cards online.