Credit Cards

Compare credit cards from some of the best credit card companies available, then apply right here 

Last updated by Zaving Editorial Team, on April 4th, 2024

We understand that finding the perfect credit card can be a daunting task, but don't worry – we're here to simplify the process and help you make an informed decision.

Imagine having a credit card tailored to your unique needs, offering exceptional rewards, low interest rates, and exclusive perks. With our comprehensive comparison tool, you can explore a wide range of top-tier credit cards, all in one convenient place.

Want to earn cashback on your everyday purchases? Looking for travel rewards that can take you around the world? Seeking a card with a low introductory APR or no annual fee? Our comparison site has got you covered. We've handpicked the cream of the crop, ensuring you have access to the best credit cards on the market.

Our user-friendly interface allows you to easily compare the features, benefits, and terms of each card side-by-side. No more endless searching or overwhelming information overload – we've done the hard work for you.

So, why settle for less when you can have the best? Start exploring our selection of top-rated credit cards today and find the one that perfectly complements your lifestyle and financial goals.

What is a credit card and how do they work? 

A credit card is a financial tool that allows you to make purchases on credit. It is a plastic card issued by a financial institution, such as a bank or credit union. When you use a credit card to make a purchase, you are essentially borrowing money from the card issuer to complete the transaction. You are required to repay the borrowed amount to the issuer within a specified period, usually on a monthly basis.

Credit cards work on a revolving credit system. Each month, you receive a statement detailing your transactions, outstanding balance, and minimum payment due. You have the option to pay the full balance by the due date or carry over a portion of the balance to the next month, incurring interest charges on the remaining amount.

Credit cards offer several benefits, including convenience, security, and rewards. They allow you to make purchases without carrying cash and provide protection against fraudulent transactions. Moreover, many credit cards offer rewards programs that allow you to earn points, cashback, or airline miles on eligible purchases.

When using a credit card, it is crucial to manage your spending responsibly and make timely payments to avoid accumulating high-interest debt. By understanding the terms and conditions of your credit card agreement, monitoring your expenses, and paying your bills on time, you can effectively utilize credit cards and build a positive credit history.

How do I choose the right credit card for me? 

Choosing the right credit card requires careful consideration of your financial needs, spending habits, and personal preferences. Here are some factors to consider when selecting a credit card:

Rewards: Determine what type of rewards align with your lifestyle. If you frequently travel, a card that offers travel rewards and airline miles may be beneficial. Alternatively, if you prefer cashback on everyday purchases, look for cards that offer competitive cashback programs.

Annual Fees: Consider whether you are comfortable paying an annual fee for the benefits and rewards offered by the card. Some cards waive the annual fee for the first year or offer fee-free options.

Interest Rates: Evaluate the interest rates charged on purchases and balance transfers. If you plan to carry a balance, look for cards with low-interest rates or introductory 0% APR offers.

Credit Score Requirements: Check the credit score requirements for the card you are interested in. Some cards are designed for individuals with excellent credit, while others are more accessible to those with fair or limited credit history.

Additional Benefits: Review the additional perks offered by the card, such as extended warranties, travel insurance, or concierge services, and determine their value to you.

Customer Service: Consider the quality of customer service provided by the card issuer. Read reviews and assess their reputation for responsiveness and support.

It's important to compare multiple credit card offers, read the terms and conditions carefully, and assess the overall value proposition before making a decision. Remember to use credit responsibly, pay your bills on time, and avoid excessive debt to maintain a healthy financial profile.

How will a credit cards affect my credit score? 

Credit cards can have an impact on your credit score, which is a measure of how well you handle credit. Let's explore how credit cards can affect your score:

Payment History: One of the most important factors in your credit score is your payment history. It's crucial to pay your credit card bills on time. By making timely payments, you demonstrate responsibility and build a positive payment history, which can boost your credit score.

Credit Utilization: Credit utilization refers to the percentage of your total available credit that you're using. It's generally recommended to keep your credit utilization below 30%. For example, if you have a credit limit of $1,000, try to keep your balance below $300. Using your credit card responsibly and keeping your balances low can positively impact your credit utilization and improve your credit score.

Credit History Length: The length of time you've had credit cards can also influence your credit score. Having a longer credit history shows that you have experience managing credit over an extended period. It's beneficial to maintain a positive credit history by keeping your credit cards active and in good standing over time.

New Credit Applications: Applying for multiple credit cards within a short period can have a negative effect on your credit score. It may indicate to lenders that you're in desperate need of credit or facing financial difficulties. To minimize any potential negative impact, it's advisable to space out your credit card applications and only apply for new cards when necessary.

Using credit cards wisely can help you improve your credit score over time. Make sure to pay your bills on time, use only a portion of your available credit, and avoid applying for too many new cards at once.

What are the benefits of having a credit card?

Having a credit card offers several benefits that can positively impact your life. Here are some advantages of having a credit card:

  1. Convenience and Ease of Use: Credit cards provide a convenient and widely accepted method of payment. You can use them for in-store purchases, online shopping, bill payments, and even when traveling abroad. Carrying a credit card eliminates the need to carry cash, making transactions quick and hassle-free.
  2. Building Credit History: Using a credit card responsibly can help you establish and build a positive credit history. Making timely payments and keeping your balances low demonstrate your creditworthiness to lenders. A good credit history is essential when applying for loans, renting an apartment, or even securing better insurance rates. It opens up opportunities for better financial options in the future.
  3. Rewards and Perks: Many credit cards offer rewards programs that allow you to earn points, cashback, or travel miles on your purchases. By using your credit card for everyday expenses, you can accumulate rewards that can be redeemed for travel, merchandise, or statement credits. Some cards also provide additional perks like travel insurance, extended warranties, and access to exclusive events or airport lounges.
  4. Purchase Protection: Credit cards often provide purchase protection, which can be valuable if your purchases are lost, stolen, or damaged. Many cards offer buyer protection policies that may reimburse you for eligible purchases or provide coverage against fraud.
  5. Emergencies and Financial Flexibility: Having a credit card can provide a safety net in emergencies or unexpected situations. It allows you to cover immediate expenses when faced with unexpected bills or emergencies, providing financial flexibility when needed.
  6. Budgeting and Financial Management: Credit cards offer detailed monthly statements that help you track and manage your expenses. By reviewing your statements, you can gain insights into your spending habits, set budgets, and identify areas where you can save money. Some credit cards even provide online tools and mobile apps to help you monitor your finances more efficiently.

However, it's important to note that responsible credit card usage is crucial. By using your credit card wisely, you can maximize its advantages while maintaining a healthy financial profile.

What are some of the risks of credit cards?

Here are some of the risks associated with having a credit card:

  1. Accumulating Debt: One of the major risks of having a credit card is the potential to accumulate debt. Credit cards offer a line of credit that allows you to make purchases even if you don't have the funds readily available. If you're not careful with your spending or fail to make timely payments, you can easily fall into debt and incur high interest charges.
  2. High Interest Rates: Credit cards often come with high interest rates, especially for those with lower credit scores. If you carry a balance from month to month, the interest charges can add up quickly, making it harder to pay off your debt. It's important to be aware of the interest rates associated with your credit card and try to pay off your balances in full each month to avoid unnecessary interest charges.
  3. Negative Impact on Credit Score: Mismanaging your credit card can have a negative impact on your credit score. Late payments, high credit utilization, and maxing out your credit limit can all lower your credit score. A lower credit score can make it difficult to qualify for future loans, mortgages, or even affect your ability to rent an apartment or get a job.
  4. Overspending and Impulse Purchases: Having a credit card can tempt you to make impulsive purchases or spend beyond your means. The ease of using a credit card without physically parting with cash can lead to overspending and financial instability. It's important to exercise self-control and only use your credit card for purchases you can afford to pay off.
  5. Identity Theft and Fraud: Credit card information can be vulnerable to identity theft and fraudulent activities. If your credit card details are compromised, unauthorized transactions can be made, leading to financial losses and potential damage to your credit history. It's crucial to monitor your credit card statements regularly, report any suspicious activity immediately, and take steps to protect your personal information.
  6. Fees and Penalties: Credit cards may come with various fees and penalties, such as annual fees, late payment fees, balance transfer fees, or cash advance fees. These fees can eat into your available credit and add to your overall debt. It's essential to understand the terms and conditions of your credit card agreement to avoid unnecessary fees and penalties.

To mitigate these risks, it's important to use your credit card responsibly. Make timely payments, keep your balances low, and avoid unnecessary debt

What are the potential benefits and risks of mortgage refinance?

Mortgage refinance offers potential benefits, but it's important to consider the associated risks. Here's an overview of the potential benefits and risks to help you make an informed decision:

Benefits:

  1. Lower Monthly Payments: Refinancing to a lower interest rate can reduce your monthly mortgage payments, providing increased cash flow for other expenses or savings.
  2. Reduced Interest Payments: Refinancing at a lower rate or shortening the loan term can result in significant savings on interest payments over the life of the loan.
  3. Debt Consolidation: By refinancing, you can consolidate high-interest debt into your mortgage, potentially lowering overall interest rates and simplifying your monthly payments.
  4. Access to Home Equity: Cash-out refinance allows you to tap into your home equity, providing funds for home improvements, education expenses, or other financial needs.
  5. Change in Loan Term: Refinancing can enable you to switch from a longer-term mortgage to a shorter-term one, helping you build equity faster and pay off your mortgage sooner.

Risks:

  1. Closing Costs: Refinancing involves closing costs, including application fees, appraisal fees, and potential prepayment penalties. These costs can offset the potential savings, so it's important to factor them into your decision.
  2. Extended Loan Term: Refinancing to a new mortgage with a longer term may lower your monthly payments, but it can also mean paying more interest over time. Assess the long-term financial implications before extending your loan term.
  3. Potential Rate Increases: If you have an adjustable-rate mortgage (ARM) and refinance to a fixed-rate mortgage, you'll have the benefit of rate stability. However, if rates decline in the future, you may miss out on potential savings.
  4. Resetting the Clock: Refinancing restarts your mortgage, meaning you'll be making payments from the beginning. This can affect your amortization schedule and the time it takes to build equity in your home.

How do I apply for a credit card in the USA?

Applying for a credit card in the USA is a straightforward process. Here are the general steps to follow:

  1. Research and Compare: Start by researching your credit card options through zavings. Compare various factors like rewards, interest rates, fees, and credit score requirements. You can compare offers from various banks and financial institutions to potentially find a card that perfectly suits your needs.
  2. Gather Necessary Documents: Before applying, gather the required documents such as identification (driver's license, passport), Social Security Number (SSN), proof of income, and employment details. Different issuers may have specific document requirements, so be prepared with your financial information to hand.
  3. Submit an Application: Once you've chosen a credit card, you can apply online. Carefully fill out the application form with accurate information. You'll be asked for your identity and contact details, plus financial information, and your employment history. Review the terms and conditions carefully before submitting.
  4. Await Approval: After submitting your application, the issuer will review it to determine your creditworthiness. This may involve a credit check and assessment of your credit history. The approval process can take anywhere from a few minutes to a few days, depending on the issuer.
  5. Receive Your Credit Card: If your application is approved, the credit card issuer will send you the physical card by mail. Activate the card following the instructions provided, usually by calling a toll-free number or activating it online.

Remember, each credit card issuer may have specific application requirements and procedures, so it's important to review the instructions provided on their website

Can I get a credit card with a bad credit score?

Having bad credit can make it more challenging to qualify for a traditional credit card. Most credit card issuers typically look for a good credit history and a solid credit score when approving applications. However, even with bad credit, there are still options available to obtain a credit card. Here are a few possibilities:

  1. Secured Credit Cards: Secured credit cards are designed specifically for individuals with poor or no credit history. These cards require a security deposit, which serves as collateral against the credit limit. By making timely payments, you can demonstrate responsible credit behavior and gradually improve your credit score.
  2. Retail Store Credit Cards: Some retail stores offer credit cards with more lenient approval requirements. These cards are often easier to obtain and can help you rebuild your credit. However, they may have higher interest rates and limited usability compared to traditional credit cards.
  3. Credit Builder Loans: Credit builder loans are another option to establish or rebuild your credit. With these loans, the borrowed funds are typically placed in a savings account or certificate of deposit (CD) as collateral. As you make regular payments, the lender reports your payment history to the credit bureaus, helping to improve your credit profile.
  4. Become an Authorized User: If you have a trusted family member or friend with a good credit history, you may ask them to add you as an authorized user on their credit card. As an authorized user, their positive payment history can be reflected on your credit report, potentially boosting your credit score.

It's important to note that credit cards for individuals with bad credit may come with higher interest rates, annual fees, or lower credit limits. Before applying, carefully review the terms and conditions, including any associated fees, to ensure they align with your financial goals and budget.

By using a credit card responsibly, making timely payments, and managing your finances wisely, you can gradually improve your credit score and work towards qualifying for better credit card options in the future.

Got further questions about credit cards?

What is the difference between a credit card and a debit card?

The difference between a credit card and a debit card is that a credit card allows you to borrow money from the card issuer up to a certain credit limit, while a debit card is linked to your bank account and uses the funds you have available. With a credit card, you can make purchases on credit and pay back the amount later, whereas a debit card immediately deducts the purchase amount from your bank account.

How can I avoid credit card debt and manage my payments?

To avoid credit card debt and manage payments, it's important to create a budget, spend within your means, and pay your credit card bill in full each month. Make timely payments to avoid late fees and high interest charges. If you're struggling to manage payments, contact your credit card issuer to discuss possible solutions, such as setting up a payment plan or exploring debt consolidation options.

What is the average interest rate on credit cards in the USA?

The average interest rate on credit cards in the USA varies depending on factors such as your credit score and the type of card. As of 2022, the average APR (Annual Percentage Rate) for credit cards ranges from around 15% to 22%. It's important to compare offers and read the terms and conditions to understand the specific interest rates associated with different credit cards.

What should I do if my credit card is lost or stolen?

If your credit card is lost or stolen, take immediate action to protect yourself from fraud. Contact your credit card issuer to report the loss or theft and request a card replacement. Monitor your credit card statements for any unauthorized charges and dispute them if necessary. It's also advisable to review your credit reports and consider placing a fraud alert or freeze to prevent further unauthorized activity.

How can I increase my credit limit on a credit card?

To increase your credit limit on a credit card, you can contact your card issuer and request an increase. They may consider factors such as your payment history, income, and credit utilization. It's important to use your credit card responsibly, make timely payments, and demonstrate good credit behavior to increase your chances of a higher credit limit.

What are the fees associated with credit cards?

Fees associated with credit cards can include annual fees, late payment fees, cash advance fees, balance transfer fees, and foreign transaction fees. These fees can vary depending on the credit card issuer and the specific card you have. It's important to review the terms and conditions of your credit card agreement to understand any applicable fees.

How does a balance transfer work on a credit card?

Balance transfers on credit cards allows you to move existing credit card debt from one card to another card with a lower interest rate or a special promotional offer. By transferring the balance owing, you can potentially save on interest charges. However, balance transfers may incur a fee, and it's important to consider the terms and any introductory periods. Read the terms and conditions carefully before initiating a balance transfer.

What is a credit card APR and how is it calculated?

APR stands for Annual Percentage Rate and represents the cost of borrowing on a credit card on an annual basis. It includes the interest rate, as well as any additional fees or charges. The APR on a credit card is typically calculated based on the average daily balance and can vary depending on factors such as the type of transaction (purchases, balance transfers, cash advances). It's important to understand how APR is calculated and review the terms of your credit card agreement to make informed financial decisions.

 

Can I use my credit card for international purchases?

Yes, you can use your credit card for international purchases. However, it's important to check if your credit card is accepted internationally and if any foreign transaction fees apply. Notify your credit card issuer about your travel plans to avoid potential card blocks due to suspicious activity. Additionally, be aware of currency conversion rates and consider using a credit card with no or low foreign transaction fees to minimize costs when making international purchases.

Can I have multiple credit cards?

Yes, it is possible to have multiple credit cards. However, managing multiple credit cards requires responsible financial habits. It's important to keep track of payment due dates, balances, and avoid accumulating excessive debt. Having multiple credit cards can offer benefits such as diversifying rewards and increasing your available credit limit, but it's essential to use them responsibly to maintain a healthy credit profile. Regularly monitoring your credit and staying organized can help you effectively manage multiple credit cards.