Key Things To Look For When Applying for a Credit Card

Credit cards are essential financial tools. And whether this is your first card, second, or even third card, you want it to be worth your while! To help you choose a credit card that best suits your needs and personal situation, we go over five key things to look for when applying for a credit card below.


The first thing to look for when applying for a credit card is a reasonable APR. The APR, or annual percentage rate, is the yearly interest rate you must pay if you have a balance on your card. The average APR is 18 percent; anything lower than this is a great deal.

Annual Fee

Some credit cards make you pay a monthly or annual fee for using the card. These fees typically range from $99 to $150. If a card charges a fee, make sure the perks it provides are worth the additional expense!

Extra Fees

Most credit cards will charge you a fee in certain circumstances, such as if you go over your credit limit or pay late. If you want to avoid these extra fees, read the credit agreement closely so that you understand when and where they apply.

Minimum Repayment

If you don't fully pay off your card's balance each month, you'll need to pay a minimum amount to avoid a late payment charge. The minimum payment is usually a flat percentage of your statement, around 2 to 4 percent.


Who doesn't love getting rewarded? Credit cards offer an array of enticing rewards, from cash back to loyalty points to miles. You can use these rewards to travel, try new experiences, or buy products you're interested in.

That said, while rewards are nice, you might find it more beneficial to choose a card with a low interest rate and no rewards over one with a high rate and plentiful rewards. Consider your needs carefully prior to selecting a card.

Ready to apply for a credit card? Democracy FCU can help you find the perfect fit. We have a variety of low-interest credit cards to choose from, each with its own unique features, perks, and rewards. To learn more about your options or apply, contact us today!