3 Credit Cards to Avoid in 2023
Choosing the best credit card can be a daunting task, and with so many choices out there, it can be hard to know which ones are worth looking into. The key is to find a balance between the high fees and interest, and the benefits you get from using your card. If you are interested in learning more about some of the most popular credit cards on the market, then read on.
High fees and interest
There are many credit cards out there and not all of them are created equal. Some of them levy higher than average interest rates and other fees. It’s best to do your homework before making a credit card decision. One of the perks of having a credit card is being able to make purchases on your terms. However, there are times when you’re going to be in a pinch. If you’re planning on using a credit card for large expenditures, you might want to do some research to be sure you aren’t wasting your hard earned cash.
You’re going to want to look for a credit card that has a zero percent balance transfer fee. This is particularly important if you’re planning on using your new card to get out of debt. Also, you might want to consider a card that offers a free one-time replacement for a lost card. After all, if your card has been compromised, you’re going to want a fresh start.
Another way to save a few bucks is to switch from a high-interest rate to a low-rate credit card. Many credit card companies offer this service in conjunction with other products and services, so be sure to ask if yours is one of them. Of course, it pays to compare like products and services to be sure you’re getting the best deal.
The biggest challenge is knowing when and how to make the switch. For instance, if you’re currently paying a hefty amount of interest on your existing card, you might want to wait until your statement comes in so you won’t have to worry about overspending on your new one. Likewise, if you have a good credit score, you might be able to skip the new card entirely and continue using your current one. A reputable bank or credit union will be able to help you make the switch, and you may even get a few extra points in the process.
There are many more credit cards than there are years in a row, so you’ll want to do some research and comparison shopping to make the most of your hard earned dollars.
Experian Boost(r)
If you’re a new credit user or you have a less than perfect score, you may be wondering if you should consider Experian Boost. This free service is designed to help you boost your credit score. However, not everyone will benefit from this type of program. You will need to take the time to weigh your options before signing up for one.
Experian Boost is a tool designed to improve your score through positive payment history. The system works by looking at your online banking data and finding positive payments. Using this information, the system will then report these payments on your Experian report. These include utility bills, rent and cell phone bills.
Experian Boost does not affect your credit scores with other major credit bureaus, such as TransUnion and Equifax. It’s only applicable to certain accounts. To use the service, you will need to create a free account and link your bank and credit card accounts.
You will also be required to provide some personal information, such as your Social Security number and credit card number. Although this isn’t a huge deal, it’s important to remember that you will be sharing your information with a third party. Luckily, Experian is working hard to keep your information secure.
Experian’s site uses SSL encryption to ensure that your information is protected. They also offer an easy dispute process.
However, it’s important to consider the fine print before deciding whether or not you should sign up for this product. Some people might be put off by the idea of allowing a third party access to their financial information. Also, not all payment records are boost-eligible.
While the Boost program does provide some useful tools, it doesn’t work for every user. For example, you won’t receive any improved approval odds if you’re already approved for a mortgage loan.
If you’re still not sure if the Experian Boost plan is right for you, you can use their consumer website to check out the many free tools they have to offer. Their list of free personal finance tools includes a free credit report, a FICO(r) Score, and a credit monitoring tool.
Blue Cash Preferred Card from American Express
The Blue Cash Preferred Card from American Express is a credit card that is designed for shoppers who spend a lot of money at the grocery store. This credit card offers a generous rewards rate.
In order to qualify for the Blue Cash Preferred Card from American Express, you must have good to excellent credit. To find out if you qualify, check your FICO score. A good score is typically around 700.
If your credit score is higher, you can expect better approval rates. However, you should also be aware that this credit card has a $95 annual fee. During the first year of account opening, you don’t have to pay the fee.
Depending on your spending habits, the rewards earned from the Blue Cash Preferred card can more than make up for the annual fee. You can earn up to $450 in rewards in your first year. These rewards can be redeemed for statement credits or merchandise purchases.
Blue Cash Preferred is an excellent choice for families. Its 6% cash back on groceries and streaming services makes it a popular option among parents. Families who spend a lot on groceries can get the most from the card.
While the rewards are high, the spending limit in the bonus categories can limit how much you can earn. For example, you’ll need to spend at least $6000 in the grocery category to qualify for $360 in cash back.
You’ll be charged a 2.7% foreign transaction fee when using your Blue Cash Preferred card to buy things in foreign countries. Since you won’t be able to use your card internationally, you might want to consider a different type of card.
Fortunately, you can earn additional perks if you use your Blue Cash Preferred card often. Among these are secondary car rental loss and damage insurance, a global assist hotline, and monthly statement credits.
As you can see, the American Express Blue Cash Preferred(r) Card offers some of the best rewards in the market. But, if you aren’t sure whether you’re eligible, you might want to check with your credit agency before committing to this card.
Capital One Quicksilver Cash Rewards
Whether you’re a fee-averse credit card holder or you want to add value to your wallet, the Capital One Quicksilver Cash Rewards credit card is a great option for you. It offers a solid introductory APR and a generous sign-up bonus. The card has no annual fees and doesn’t charge foreign transaction fees.
The Capital One Quicksilver is a simple rewards credit card that pays back an average of 1.5% cash. Compared to other cash-back credit cards, it’s a solid option for everyday spending. Plus, you get the benefit of a 0% introductory APR offer for the first 15 months of your account’s existence.
While the bonus isn’t huge, it can make a difference in your first year. In addition, the Capital One Quicksilver doesn’t have a cap on how much you can earn in cash. Unlike some other credit cards, you can redeem your rewards any time, including for statement credits and gift cards.
You can redeem your Capital One Quicksilver Rewards as a paper check or via PayPal, and there is no minimum redemption amount. Additionally, the card provides travel accident insurance and extended warranty protection. If you’re looking for a more sophisticated rewards card, you may prefer to apply for a card that has a higher cash-back rate.
The Quicksilver card is a good credit-building option, but it’s not ideal for someone who wants to take advantage of travel rewards. If you’re looking for a way to save money on dining, drugstores, and other non-bonus categories, you might consider the Wells Fargo Active Cash Card instead.
Alternatively, the Capital One QuicksilverOne offers the same cash back rate as the regular Quicksilver, but it’s a good choice for people with less than perfect credit. As long as you make on-time payments, Capital One will review your account after six months.
The Capital One Quicksilver’s rewards are best maximized through frequent use. It’s also worth noting that a Capital One cash back credit card can be used for online shopping with PayPal, as well as Amazon. These benefits aren’t as impressive as the bonuses you’ll find with other rewards credit cards. But the simplicity of the card and the rewards earned make it a good fit for those who value ease of use.
