It is indeed a greatly frustrating and strenuous process to configure and decide upon a credit card service. Credit cards have become a necessity and are preferred greatly over cash when it comes to shopping. Considering or deeming a credit card to be the best of all is wildly subjective.
Canadians like most other countries inhabitants face the decision of scrutinizing the pros and cons of each credit card available, the terms and conditions that come with them, and finally deciding on one. If it makes life easier for the Canadians out there, here is a list of the types of credit cards available to help you with your evaluation.
Bank Issued Cards or Credit Cards
Credits cards offered by banks feature interest percentages, rewards based on usage, travel insurance, a spending limit, and other benefits and rewards. Canadian banks issued credit cards have varying interest rates over the outstanding balance.
This rate varies from being as high as 20 percent or more and to as low as 9 percent with an annual payment requirement of 0 to a 150$ or more. All these interest rates and outstanding balance payment basics range from card to card depending upon the types of card and what it offers.
An undeniable benefit of using a bank card is that you get points collected on every purchase that pile up for you to pick a reward of your choice, based on the booklet of rewards that come with the credit card.
Travel or Entertainment Cards
Travel and entertainment cards are spontaneous endeavors that people indulge in occasionally without any sort of pattern. Travel and entertainment cards often come without a spending limit but are based on a monthly payment of all expenditures.
Since these cards have no limit, they hence come with a higher interest rate over late payment that goes up to 30 percent.
Store cards are credit cards, which are issued by retail markets and shops of different brands. The benefits of store cards are majorly characterized by discounts and rewards based on purchases made on products and merchandise from specific stores and retailers.