Tips for Picking A Best Second Credit Card

Tips for Picking

Picking a second card can be based on a personal decision or to expand credit experience. If you wish, you can get up to 2 to 4 credit card but these cards should be properly managed. Before picking the best second  card, be mindful of the following :Tips for Picking A Best Second Credit Card

Aim for Better Credit.

The level of experience you have determines your eligibility for the future opportunity of building credit. That is if you had positive credit experience from previous years, it will show on your credit score. Also, your credit score can be increased by the five factors of FICO when you add a credit card, including your credit utilization ratio to the mix. So as your payment history is increasing, accounting for 35% of your credit score, your utilization will at 30%.

The credit utilization compares the overall debt you owe to your credit limit. Let say you have a single credit card with a $5,000 limit and you have a balance of $1000, with a credit utilization ratio of 20%.  If you open another credit card with a $10,000 limit. Your credit limit becomes $15,000 and your credit utilization becomes 6.6%. This can increase your credit and enable you to achieve your financial goals.

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Best Second Credit Card

Best Second Credit Card: How to Choose the Right One for You

https://www.businessinsider.com › … › Credit Cards

Read Insider’s guide to the best rewards credit cards. Get the latest tips you need to manage your money — delivered to you biweekly.

5 Reasons to Get a Second Credit Card

https://time.com › NextAdvisor › Credit Cards

second credit card can help you earn more valuable rewards or pay down … Often, the best way to pair cards is by choosing one card that …

How do I pick the best second credit card? – WalletHub

https://wallethub.com › answers › best-second-credit-ca…

In order to pick the best second credit card, you must first check your credit score and narrow down your choices to cards you have a shot

How To Choose Your Second Credit Card – Bankrate.com

https://www.bankrate.com › Authors › Kendall Little

Take a look at your purchasing habits to help narrow down rewards categories that best match your spending. If you tend to eat out every night …

Are you Qualify for the Best Terms

The best second card can offer good terms and conditions but, most attractive ones that have the following features, are usually reserved for customers with wonderful credit:

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No annual fee: You are required to pay an annual fee for some credit card in order to enjoy its benefits. But you will not be charged an annual fee.

Low or 0% APR: You can be given a period of no-interest spending for the first 12 months or more. So, you will be able to repay all your balance with no problem of increased debt.

Due date flexibility: You can be given the opportunity to request a monthly due that in line with your budget. To enable you to pay off your credit card bills.

Freebies: Some credit card offers monthly Uber credit of $15 and annual travel credit of $200 which can be used to for refreshments or entertainment on flights, like the American Express Platinum card.

So if you have low credit, you will hardly get a second card that has this type of terms. Therefore, endeavor to focus on increasing your score. Tips for Picking A Best Second Card

Does the Card Serve Your Lifestyle?

You are to have a good reason why applying for a second card and stick to your budget to avoid unnecessary spending. So use your credit card wisely.

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Although, some credit card gives the following rewards to their customers :

  • Cashback
  • Travel reward /miles amounting to free trips and hotel stays
  • College saving fund
  • Discount S with partnered retailers
  • Quick access to ticketed events
  • Purchase and protection against fraud, e.t.c.

Using your credit card wisely involves reducing your budget in a suitable way when you have too many expenses, alternatively, you can have it set based on your lifestyle and goals. So review your past spending, to know the aspects that cost you the most then compare this to the credit card that gives the right perks.

Note :

The lower your credit utilization ratio, the better your credit will be, and the best second card account may extremely improve your credit.

About Christian Ehiedu

I am an SEO person with over five years of experience. I am mostly into product lunch and review. I feed on tech, Dring Tech, and Dream tech. My hobby is knowing how everything works. You are welcome to my world of content development and product review at https://logingit.com/ I am also a financial analyst with an organization. It has been my sincere interest to help people solve their issues on credit cards. There are lots of questions in the mind of many credit card users. These range from which credit card is best? How many credit cards should I have?

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