There are many, many types of credit cards – rewards cards, balance transfer cards, low interest cards, the list goes on! Typing ‘credit cards’ into Google can be like entering a maze of credit card jargon. But fear not, we’re here to see you through it!
There are many reasons why getting a credit card is a great idea, and we’re not just talking about it being seen as an easy way to borrow money. You can build your credit, earn rewards on everyday purchases, get cashback, discounts, and much, much more.
Here’s a quick guide to the different types of credit cards available:
- Rewards credit card: A rewards credit card allows you to earn something back on your purchases. This can be in the form of cashback, meaning every time you make a purchase, your card will give you a % of money spent back. You can also gain rewards in points which you can collect overtime and then spend at selected retailers. You can also receive rewards in the form of air miles. Air miles are essentially points you can redeem for airline tickets. The number of miles you can earn varies, as does the number of miles needed to purchase a flight.
- Low-interest credit cards: These cards can offer you more control over your finances. If you acquire debt from month to month, this is the best card for you. You can pay back the borrowed money with no additional charges of interest for a selected, and often long period of time.
- Balance transfer credit cards: If you already have a lot of credit card debt, this type of card could be a good solution for you. This card enables you to transfer cash from one card to decrease the debt of another card. It is useful as it often gives you a lengthy period of time to pay it off by, usually between 6-21 months.
- Secured credit cards: This is a great option for those looking to improve or rebuild their credit score. These cards often, but not always, require you to place a cash deposit that is equal or greater than the credit limit on the card. With this card, you can build your credit, and if you miss any payments, money will be taken out of the deposit. This makes it a viable option for both the credit card company and the customer.
At Curve, we’re more than welcoming of credit cards. In fact, Curve and credit cards (along with bank cards) go hand in hand. Unlock your financial freedom by downloading the Curve app and add all of your existing Mastercard and Visa cards. In return, you’ll receive a sleek Curve card and you may receive the perks of your underlying cards with even more benefits on top.* We’re the icing on the cake!