What Is A Good Credit Card?

Apply Now

28 APRIL, 2023

A credit card issued by banks and financial institutions is one of the most sought-after payment methods. It allows cardholders to instantly borrow money from card providers to pay for goods and services available through sellers online and offline. It is unsecured funding provided by banks or NBFCs with a predetermined credit limit to credit card applicants.

You can make transactions up to the specified limit and pay them off on time. You can also convert purchases into EMIs and spread costs over a few months. Credit cards have a revolving credit account instead of instalment loans like personal or auto loans. As long as you keep making payments to your account, you can borrow money repeatedly.

Applying for a Credit Card

After you decide on a credit card, you need to figure out how to apply. A credit card application can be submitted using a few common procedures.

Bank Website

If you are applying for a Kotak credit card, you can visit our website and apply. This is a good strategy if you want to begin your credit journey with a well-established and trusted bank in India.

You can apply for a credit card on Kotak Mahindra Bank's website by entering your information in the relevant section. If you already have a salary or savings account with our bank, you can log in to your online banking account and submit your application.

Bank Branch

If you are not well-versed in online operations, you can also apply for a credit card in person at your nearest Kotak Mahindra Bank branch. Make sure to bring copies of all pertinent documents to attest to your identity, address, and income.

A successful application will require each of these. Throughout the entire application process, a bank representative will come and help you.

How to Search for a Good Credit Card?

Here are a few simple suggestions to help you search for a good credit card:

Examine your spending to determine where you spend the most and least. Be sincere with yourself about your spending patterns. While it is critical to consider the card issuer's reputation, assessing your financial situation is equally important to ensure you have enough money to pay off the card debts.
Make a list of the top benefits you would like to receive from credit cards.
Be aware of your spending limits and how much you can pay in EMIs.
Check whether or not the card issuer imposes an annual fee for a card.
Do your research instead of relying on the advertised offers.

You can shortlist a few credit cards and determine your eligibility for them based on the suggestions mentioned here.

You can continue with the application if all your concerns are addressed.

Things to Consider in a Credit Card

Nowadays, you can find credit cards for all needs, from earning rewards to receiving travel benefits. When looking for a good credit card, your choice may depend on the benefit you want to use it for. Consequently, choosing your credit card goals should be your first step.

You might have a few options if you are starting with credit. No single credit card is superior to all others in every situation or for every individual. The best card for your spending patterns and credit situation can be found, though, if you know your options and ask the right questions.

You should look for the following before finalising a credit card to ensure you get a card with various benefits. These considerations can help you pick a good first credit card:

Rate of Interest: Many credit card providers use the 0% interest rate policy to draw customers. To save money in the long run, experts advise prospective credit card users to research and select a credit card with the lowest interest rate.

Good Rewards:You can choose a credit card with good rewards and points to plan a vacation. When you choose the right credit card and manage your spending, you can get redeemable points and rewards like complimentary travel and airport lounge facilities.

Not only that, but some credit cards also reward you with discounts and cashback. So, finding the best credit cards with good rewards for your lifestyle and spending is the key. For instance, using a fuel credit card can be advantageous if you drive many miles. For each rupee you spend on fuel, credit cards give you benefits.

No Annual Fee: Credit cards with no annual fee are available to eligible applicants. One should opt for credit cards with no annual fee to ensure comprehensive benefits. Such credit cards attract more and more applicants looking for credit cards without an annual commitment.

Penalties: This is a crucial component of getting a credit card. Not only should you take the time to understand the penalties and fees, but you should also enquire with the bank about the fee it levies if you default on your debt payment. For even one late payment, some card providers impose higher penalties. Ask about them before choosing a card.

Also Read: Best Laptop Brands in India (2024) at No Cost EMI

Credit Card Benefits

Credit cards are convenient to use and carry around; they are far preferable to carrying large amounts of cash.
Due to the user's limited liability in the event of credit card fraud, they are significantly safer.
Credit cards give you additional financial security. When funds are insufficient, you can use them.
Several perks, including access to airport lounges, gift cards, and freebies as milestone benefits, are provided with credit cards.

The Endnote

On the one hand, applying for your first credit card is a significant accomplishment, but it requires research and self-assessment. You should first understand the real purpose and meaning of a credit card. You should also carefully read all the terms and conditions associated with a credit card and fully understand its functions. Choosing the right credit card can save money and improve your credit score. If you are looking for a suitable credit card, check out our website and apply for one of our credit cards now!