Credit cards have become an essential financial tool for many individuals. In 2018, the credit card market was vibrant, offering various options to suit different financial needs and lifestyles. This article delves into the 2018 best credit cards, highlighting their benefits, features, and what made them stand out that year.
Understanding Credit Cards in 2018
Credit cards offer users a line of credit that can be utilized for purchases and balance transfers, helping individuals manage cash flow, earn rewards, and build credit scores. By 2018, the landscape of credit cards had evolved, with numerous options available catering to diverse needs, from travel rewards to cashback benefits.
Factors to Consider When Choosing a Credit Card
When evaluating credit cards in 2018, several key factors were essential in determining the best fit for consumers:
- Rewards Programs: Many credit cards offered generous rewards schemes, including points for travel, cashback, and discounts on purchases.
- Interest Rates: Understanding the Annual Percentage Rate (APR) was crucial. Lower rates saved cardholders money on balances carried over month to month.
- Fees: Consideration of annual fees, foreign transaction fees, and late payment fees was important.
- Credit Score Requirements: Each card had different requirements, and knowing one’s credit score helped in choosing a suitable card.
Types of Credit Cards Available in 2018
In 2018, consumers had access to various types of credit cards:
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Cashback Credit Cards
- These cards rewarded users with a percentage of their purchases as cash back.
- Example: Citi Double Cash Card offered 1% on every purchase and an additional 1% when payments were made.
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Travel Rewards Cards
- Ideal for frequent travelers, these cards offered points that could be redeemed for flights, hotels, and more.
- Example: Chase Sapphire Preferred Card provided 2x points on travel and dining, making it a favorite among travelers.
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Balance Transfer Cards
- These allowed consumers to transfer high-interest debt from other cards at low or 0% introductory rates.
- Example: Discover it Balance Transfer Card offered 0% APR for 14 months.
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Student Credit Cards
- Designed for students with limited credit histories, these cards often had lower credit limits.
- Example: Journey Student Rewards from Capital One offered rewards and flexible payment options.
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Secured Credit Cards
- Targeted at individuals with poor or no credit history. These cards require a cash deposit as collateral.
- Example: Capital One Secured Mastercard helped users rebuild their credit scores.
Top 5 Credit Cards of 2018
Here are some of the standout credit cards from 2018, each excelling in different categories:
1. Chase Sapphire Preferred Card
- Annual Fee: $95 (waived for the first year)
- Rewards: 2x points on travel and dining, 1 point on all other purchases.
- Benefits: Flexible point redemption for travel, valuable transfer partners, and great sign-up bonus.
2. Citi Double Cash Card
- Annual Fee: $0
- Rewards: 1% on every purchase, 1% when you pay your bill.
- Benefits: Simple cashback structure, no rotating categories to track.
3. Discover it Cashback Match
- Annual Fee: $0
- Rewards: 5% cashback in rotating categories (up to the quarterly maximum) and 1% on all other purchases.
- Benefits: Discover matches your cash back at the end of your first year.
4. American Express Platinum Card
- Annual Fee: $550
- Rewards: 5x points on flights booked directly with airlines or on amextravel.com.
- Benefits: Extensive travel perks, including airport lounge access and travel insurance.
5. Capital One Venture Rewards Credit Card
- Annual Fee: $95 (waived for the first year)
- Rewards: 2x miles on every purchase.
- Benefits: Flexibility in redeeming miles and no foreign transaction fees.
Conclusion
The 2018 best credit cards provided consumers with various options tailored to their spending habits and financial goals. Each card stood out for specific benefits, whether it was cashback, travel rewards, or low-interest rates. When choosing a credit card, it is crucial to consider personal financial situations, spending patterns, and long-term financial goals. With the right card, consumers could maximize their rewards and benefit from lower interest rates, paving the way for a healthier financial future.
For those looking to explore their options in credit cards, it is advisable to compare offers, read the fine print, and understand how each card aligns with personal financial needs. Credit cards can be a powerful tool when used wisely, enabling users to earn rewards while responsibly managing their finances.
