Is credit card variety the spice of life?

Credit card companies are constantly fighting for consumers, offering a range of sometimes mind-boggling offers, complete with their own added bonuses.

However, are air miles, store cards, zero-interest cards or gold and platinum credit cards right for you?

A number of stores and credit card companies now offer rewards cards, designed to increase loyalty to the brand and increase incentives for consumers to spend. Rewards often vary from company to company, but currently include air miles, discounts on travel or health insurance and money off vouchers at restaurants.

Store credit cards are very similar to rewards cards, offering incentives to shop at that store. Incentives usually come in the form of discounts on goods. However, according to Money Spotlight, interest rates charged on these credit cards tend to be much higher.

If consumers are planning on paying their credit card bill in full each month then consider applying for a card with interest-free days. These cards often have a higher interest rate than standard cards, however by paying the bill in full before interest is charged, you can avoid the extra cost.

Increasingly popular in the credit card market is the gold and platinum card. Generally offered only to the most high-spending members of society, such cards offer prestige and a range of discounts.

However, Money Spotlight stated: "Gold and platinum credit cards are issued as status symbols to higher earning customers. Other than providing higher balance limits, they do not usually offer any features or deals that cannot be found with standard credit cards."

Compare credit cards.

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