What's the best credit card, which one is right for me?

This is not a simple answer, because there is no single product that can fit everyone's needs (sorry folks, I'm not the one to tell you which card is the best).

The first step to make the right 'match' is to be clear about what you want to do with the card and to be clear about how it works, especially if it is the first time you will be processing this credit product.

Six out of every 10 cardholders go for the bank's main option, even when there are special cards for those who travel, shop in certain stores or need a shield because they have a very high credit line.

56.9% of cardholders are not direct spenders, that is, they do not pay the full balance of the credit card each month. This indicates that the Total Annual Cost and the interest rate is an important factor to consider for six out of 10 users who do pay interest, but in terms of costs, users should pay more attention to the cost of the annuity.

Let's explain that there are three basic points to consider when choosing a card:

1. What do I want it for?

The user must know what the purpose of the card is: current expenses (meals, gasoline, etc.); work expenses (paying for what the company you work for must reimburse); purchase of concert tickets; expenses when starting your own business; payments during travel, etc.

2. What do I need?

Depending on what you want it for, you can define what kind of product you need, if you want your card to have insurance against theft, if you want a higher annuity for a 24-hour concierge service… the offer varies.

3. Which bank do I want to have a relationship with?

The fact that they pay your payroll can be an incentive to have a card in the same bank; however, it is important that before accepting the card they offer you, you carefully compare the options.

It is not a bad idea to keep an eye on what the different banks offer if you are looking for a credit at a very low rate, insurance coverage or miles.

A little bit of help

The worst nightmare when having a credit card is having a card that you can't pay. Therefore, before applying for a card of any kind it is important that you generate a budget of how you will use it and how you will pay for it; you can set the cut-off date to better schedule your payments.

Recently, Amex made changes to its official website. One of the most relevant points is a comparative tool that includes 100 credit cards issued by the company with different banks; you can compare credit and debit options.

On the website you will be able to answer questions about what you will use your card for and what complementary services you need. You can also find out which banks issue certain types of cards.

Doing this test can help you make decisions; the important thing is that before accepting a card you are sure that it is the product you need.

Advice for the first-timers

Some of the things a first-time credit card holder should know are:

Your card will come with a predetermined cutoff and payment date; you can change it to better fit your budget schedule.

Beware of not paying in full. If, for example, you owe $100, but on the due date you pay only $80, the most common mistake is to think that the bank will charge you interest only for the $20 you didn't pay; however, interest is calculated on the average balance. Always check contract in full, and take your time.

Report your cards whenever you travel abroad. Failure to do so may mean that you get stranded somewhere enjoyable with no financial abilities, which is never a pleasant experience.