Review of the Best Credit Cards for 2016
Now that we are well into 2016, let us review a few of the best credit cards currently being offered. Choosing the right credit card that suits your purchasing habits best will let you maximize these cards’ rewards program. Credit card companies now offer various perks and bonuses, such as 0% APR, no annual fees, cash back promos, points and miles programs as well.
Here are the criteria we used in scrutinizing the top 4 credit cards available now.
- Rewards: Different cards offer different rewards systems and cater to different segments of users. Some may be geared towards travel, others to entertainment and dining, while some are focused more on everyday purchases. Choose the card that offers the best perks and also know what kind of bonus deals each has.
- Interest Rates: The best are those that offer introductory rates with 0% APR. Those with low regular APR are a plus as well, but if you pay your card in full every month this wouldn’t matter.
- Credit Needed: Naturally, the best rewards are offered to those with excellent credit ratings. But not all of us have these kinds of scores, so included in our list are cards offered to those with average credit.
The Best Cash-Back Credit Card
This card is so versatile that it also offers travel points options. All purchases entail a 1% cash back, while there is an additional 5% cash back for up to $1,500 worth of purchases that fall under a rotating quarterly category. Right now, they have a promo that gives users a 12 month introductory rate of 0% APR for all purchases and balance transfers.
The Discover it® card also has no annual fee, no late fee on your first late payment, no over limit fee, and no foreign transaction fees. Plus as an added security measure, Discover monitors all of your purchases and they will alert you immediately if there is any unusual transaction. On top of this, Discover offers a $0 liability guarantee to all its customers. Meaning fraudulent and unauthorized transactions will not be charged to the card holder.
Bonus: The card currently offers double cash back during your first year of card membership. This means you get a 1% cash back upon purchase, then an additional 1% cash back upon payment of your monthly bill.
Bottom Line: If you prefer cash back over travel points, this is the card for you. Check out their quarterly rotating categories so you can plan purchases based on this and avail of the 5% cash back. If you are able to reach the maximum amount of $1,500 in that category, you get an additional $75 in cash back.
Best 0% APR Credit Card
Chase Slate® Card
This is not the only card around that offers a 0% APR for balance transfers, but it is the only card that has a no balance transfer fee. If you do the transfer within the first 60 days, Chase will not charge any balance transfer fees. The introductory rate of 0% APR is also offered for 15 months. There is also no annual fee. Sweet!
Best Travel Rewards Credit Card
Barclaycard Arrival PlusTM World Elite MasterCard®
This card is not well known as the other cards on this list, but it is one of the highest earning rewards cards out there. For every purchase, you will get 2 miles for every $1. There is no expiration to these miles as long as your account is active and when you use these miles for travel expenses you’ll automatically get 10% miles back. Plus you can also get an additional 40,000 bonus miles worth $400, if you spend at least $3,000 on the first three months of your card.
For transfer balances made within the first 45 days, Barclaycard will give you an introductory 0% APR for 12 months. On the following year and depending on your credit score, variable APR would be between14.99% to 18.99%.
You can view monthly statements online, as well as check your FICO credit score. It is also an EMV-enabled chip card for added convenience and security.
Bottom Line: With loads of travel perks, a 0% APR on balance transfers, and a relatively low general APR this could be the card best suited for you. You may just heard of it now, but remember better late than sorry.
Capital One® Venture® Rewards Credit Card
This card is another good travel card since you can earn 2 miles for every $1 spent on any purchase at any time. There is also a 20,000 mile bonus worth $200 if you spend at least $2,000 in the first 90 days.
Redeeming your travel points is also very convenient since there are no blackout dates. You can also earn unlimited miles and these miles never expire. Book your whole holiday with your miles since they can cover your airline tickets, hotel stay, and other travel expenses.
The annual fee is waived for the first year, then it’s just $59 after that. Did I tell you it also doesn’t have any foreign transaction fees.
Bottom Line: The rewards on this card are best used for travel, since you don’t get as much on non-travel expenses. So if you are a frequent flyer this is the card for you. If you are also a heavy card user, you will need to compensate for the $59 annual fee and according to our calculations you need $3,000 worth of purchases to break even.
Best Credit Card for Average Credit
Barclaycard Rewards MasterCard®
It goes without saying that the cards with the best rewards are mostly offered to those with excellent credit scores. Until this card was introduced and made available for those with average credit scores.
This card reports monthly to all three major credit bureaus, so this is perfect for those who are trying to improve their credit scores. You can also easily check your FICO® Credit Score online through your Barclaycard account or in your monthly statement.
This card is also perfect for everyday use since your earn 2 points for every $1 spent on groceries, gas, and utilities. These points in return can be used to pay off your statement balance. There are neither redemption fees, nor limits to the points you can earn and as long as your account is active these points will still be valid.
Bottom Line: If you plan on rebuilding your credit score, this is a perfect way to do it while earning great rewards. Anyway the card is geared towards everyday spending so you don’t have to splurge on unnecessary purchases.