How to get a free credit card
Many people want to know how to get a free credit card. The reality is that all credit cards come with associated costs when used to make purchases – even if it’s simply the cost of making repayments.
However, many lenders offer incentives for customers such as a $0 annual fee or 0 per cent interest on purchases during an introductory period. You may be able to cut down on the usual costs associated with a credit card by comparing and choosing the right card to suit your requirements.
Additionally, paying off your balance in full during an interest-free period means you could only have to pay back the cost of purchases without interest. You could also be eligible for additional rewards such as cashback during that time, saving you more money.
Credit card debt can cripple your finances. If you’re wondering how to get rid of credit card debt, here are a few steps to get you back in the black:
Calculate your debt – Knowing the magnitude of your credit debt is important. Online credit debt calculators make it easy to determine the debt size, and repayments required.
Work out a repayment plan – Take some time to formulate a credit repayment plan. Consider increasing your income, scaling back your lifestyle or refinancing.
Talk to your credit provider – If you’re still struggling with your debt, talk to your credit provider. You may be able to come to a new arrangement.
A balance transfer credit card lets you transfer your debt balance from one credit card to another. Designed to incentivise customers to switch banks, a balance transfer credit card generally has a 0 per cent interest rate for a set period of time. When you roll your debt balance over to a new credit card, you’ll be able to take advantage of the interest-free period to pay your credit card debt off faster without accruing additional interest charges. Applying for a balance transfer credit card is relatively straightforward. When your application is approved, the provider will pay out your old credit card and transfer your debt balance over to the new card. There are plenty of balance transfer offers available on the market with 0 per cent interest rates available from six to 24 months.
Credit cards offering rewards can be great if you know you’ll use the card enough to get significant rewards points, and use the rewards you earn.
They can also come with high annual fees that may end up nullifying the rewards, so think how often you use the card to decide whether the benefits outweigh the extra cost for you. A card with a lower annual fee might require a lot of spending to get any useful rewards, while another card with a higher annual fee might need fewer purchases to get a reward.
Also, think about the types of benefits you’d like. There’s no point in getting a card with rewards for retailers you never visit, or travel you don’t have time to use.
Your credit card will be charged interest when you don’t pay off the balance on your credit card. Your card provider or bank charges you the individual interest rate that is associated with your card, which is usually between 10 and 20 per cent.
The interest will be added onto your bill each month or billing period if you don’t pay off the balance, unless you are in an interest-free period.
You will be charged interest on anything that hasn’t been paid for inside the interest-free period. Usually you will receive a notice on your bill or statement saying you will be charged interest so you have some form of notice before you’re charged.
If you don’t have your wallet available but need cash, you might be wondering how to get cash with just a credit card number.
Banks and merchants usually will not allow you to access cash without a physical card, because doing so would open up opportunities for fraudulent activities. Even most non-cash credit card transactions (such as shopping online) require you to know the expiry date and CVV on your credit card in addition to the card number.
However, some banks offer cardless cash for transaction accounts – meaning you can access your cash without having a card. Using a secure app installed on your mobile phone, you can log onto an ATM and withdraw the money you need. This could be a practical and secure solution if you don’t have a card and need cash.
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