Which of these items is not important to consider when selecting a credit card?

Which of these items is not important to consider when selecting a credit card?

A. The look of the credit card

B. Credit limit

C. Penalties and Fees

D. Annual Percentage Rate (APR)

Answer: A. The look of the credit card

The look or design of a credit card can least be considered when choosing the best credit card to apply for. A visually attractive card might grab one’s attention, however, this aspect does not correlate with the actual card rewards and their monetary value. Consumers should consider factors that relate more to the quality of the card, and features which have a drastic effect on their financial status of the consumer.

For instance, such a condition as the credit limit within the transaction (option B) is vital as it defines the extent of your purchasing power on the credit card. A higher limit is useful for buying expensive items or during any exigency; however, the limit should be selected based on the applicant’s financial capabilities to prevent them from going over the limit. Penalties and fees which are captured in option C are also very vital. They may be things like penalty fees, or transferring a balance over to the credit card from another card with another company, or spending money internationally and some other fees. It is thus imperative to learn these costs so that one does not fall prey to unreasonable charges and use credit in the right manner. For instance, an AB that does not have foreign transaction fees could help travellers greatly since they do not have to worry about the attractive fees any time, they are using their cards in foreign countries. Thus, comparing the given options, the Annual Percentage Rate (APR) (option D) would be the most significant for people with occasional balances. This aspect defines the interest that you will be charged on the balances that you have failed to fully settle, which dictates the overall price of credit. Even a small difference in the APR variants might help to save or spend several hundred dollars over time. That shiny plastic card suffering in your wallet may give you a warm feeling about having a credit card, but it is the financial terms that will make a real difference to your pocket or credit rating.