Credit card companies charge fees on balance transfer. This fee can be anything from 3% to 5% of the outstanding balance transferred. Alot of times this fee is capped by an upper limit. Again, a credit card with no upper limit on balance transfer fee can offset any savings we were going to make. So, it is better to have a credit card with an upper limit on the fee. For example. A credit card with balance transfer fee at 3% of the outstanding amount with Rs.100 as minimum and a maximum of Rs.750 is definitely better than one with balance transfer fee at 3% of the outstanding amount with Rs.100 as minimum and no upper limit. Transferring a big amount to the latter credit card can cost more than doing it with the former. So, a credit card with lowest balance transfer interest for the longest period along with low balance transfer fee with an upper limit cap on balance transfer fee is a better choice.
Reward credit cards bring additional savings to a credit card holder as cashback, reward points, gift certificates and other privileges. The credit card which offers maximum rewards along with minimum restrictions and no limits on reward redemption definitely scores over a credit card with higher reward qualifications, lots of restrictions and rewards which are difficult to redeem. Also when you evaluate the rewards, always keep in mind how the benefits will affect you. For example getting a Fuel reward credit card from Hindustan Petroleum is only useful if there is a HP petrol pump nearour office or home or on the way to office.
These parameters should be kept in mind while comparing different credit cards. Remember, there are lots and lots of traps in credit card fine prints. A credit card offer which appears lucrative can cost a lot if proper attention is not given to the hidden fine prints. Carefully acquainting oneself with the credit card terms and condition and knowing every fact that affects the credit card usage will be of a great help to the credit card holder.