Jumping at the very first credit card offer that comes your way is a lazy and foolhardy way of choosing a suitable card. In order to pick a credit card that is going to suit your financial situation and spending habits, you are going to want to check out certain things before you sign up.

Here are the top 10 things that you need to know before you choose your next card:

Is there an introductory offer?

Many credit cards come with some sort of introductory offer which is designed to entice new business through the doors.

Most of those introductory offers now come in the form of balance transfer deals. These are offers that give new customers the chance to transfer an unpaid balance from another credit card onto the new card. The benefit of doing this is that the new credit card will offer a very low, or even in some cases 0% rate of interest for a set period of time.

This type of offer gives you a great way of saving money on interest charges, as well as allowing you to pay a debt off quicker than you might otherwise have been able to.

How long does it last?

Be sure to know how long the promotional rate will last for, because after this time your interest rate will revert to the cards standard rate of interest which will generally be higher than your special promotional rate.

What is the interest rate?

The rate of interest is what will determine how much you pay each month on top of your unpaid balance. Interest rates are usually shown as a percentage figure, and the higher the figure the more you will pay. For example an interest rate of 15.99% APR will cost you more than an interest rate of 10.99%.

Annual fee

Some credit cards charge an annual fee which is designed to cover the card providers cost of giving you the service. Some card fees will be much higher than others, and in fact some credit cards charge you no annual fee whatsoever.

Charges and fees

If you make a late payment you will be charged for it. Different cards will have different late fees, and other charges associated with defaults. It is worth knowing these in advance just in case.

How much will cash cost?

Credit cards will sometimes charge you a different interest rate for making cash withdrawals with your card. Often this interest rate can be much higher than the standard rate,  so it is something you should really know before you apply. It may be that the rate is so high it is never worth making a cash transaction with the card.

Interest free days

This feature of a credit card will give you a certain amount of days interest free before you begin to accrue interest on your balance. The more interest free days you have, the more time you have to pay off your balance.

Rewards

Many credit cards offer schemes that reward you with “points” each time you spend money using your credit card. You can then exchange those reward points for different gifts and merchandise. Sometimes these points can even be exchanged for air travel.

Income requirements

Credit cards will normally have a criteria you have to fill before you can apply. This will often include a minimum earning requirement. Check that you are earning enough to qualify for the credit card before you go through the application.

Who is the lender?

It seems very obvious but some people do not take notice of who is actually providing the card. Check whether it is a bank, retail outlet or other financial institution providing the service.

Some providers are bigger than others, and some have an excellent track record in providing credit card services.