India has witnessed a consistent rise in credit card users post demonetization in 2016. Online transactions and purchase of accessories, gadgets, groceries, among other things, has captured the consumer market.

With over 44.2 million credit cards currently in use in India, individuals are looking to avail of the exclusive benefits of plastic money. They can apply for credit cards online at maximum ease. 

Individuals should consider a few pointers before applying online for a credit card. These include the right choice of the product and also following credit card rules.

Things to consider before applying for a credit card online

Financial institutions issue credit cards to users for online and POS transactions. Credit card providers compete with each other to offer the best deals to potential customers.

As an application for credit cards is an online process, individuals should consider the following factors before choosing the credit card they need –

• Spending habits

An individual can analyze his/her spending habits while choosing a credit card from a pool of options. A clear idea about the user’s intention helps to opt for a suitable credit card.

Responsible credit card use by paying bills within the stipulated period does not accrue interest charges. 

However, if there are chances of carrying the balance forward beyond the billing cycle, one must look for a credit card with wide grace periods. 

Browse online for lenders offering flexible grace periods to repay credit card debt without worry while making high-value purchases.

• Interest rate or APR

Companies charge interests or Annual Percentage Rates (APR) on credit card transactions. The interest can be levied on a fixed basis, where the rate remains the same throughout a period. Floating interest rates suggest that interest rates are subject to the lender’s discretion. 

Individuals should use their credit cards responsibly to reduce interest and save money. This decreases the financial burden on the user.

• Credit limit

Credit limit refers to the maximum amount of money that cardholders can draw to make purchases. Different users have different credit requirements for their purchases.

Thus, individuals should apply for a credit card online that extends reasonable credit limits. Although the limit for a particular user depends on his/her creditworthiness, selecting a credit card wisely from a financial institution is advisable. 

• Rewards and incentives

Several credit card vendors provide attractive sign-up offers, cash-backs, and reward points for first time users. An individual can compare the incentives to choose the best credit card.

In addition, some credit cards are available for specific purchase categories such as traveling expenses, gadgets, and groceries. 

Individuals can compare credit cards online to choose one that provides the maximum benefits. Reward points can be redeemed later to earn gift vouchers, discounts, and merchandise. 

One of the most important credit card rules is security from online threats and frauds. While applying for a credit card online, individuals should make sure the products come with security measures.

For instance, credit cards like the Bajaj Finserv RBL Bank SuperCard come with features like In-hand security and Zero fraud liability cover, which makes online transactions safe.