Credit cards have so many benefits that nowadays most people have started using them. However, there are only a few people who are able to use it properly. Most people do not even know whether they should take a credit card with annual charges or a free one.

Credit cards have so many benefits that nowadays most people have started using it. However, there are only a few people who are able to use it properly. Most people do not even know whether they should take a credit card with annual charges or a free one. Most people think that they should take a card on which no annual charge is levied, but one should not take a credit card on this basis alone.

First understand lifetime free credit card

Lifetime free credit card means that no annual charge will be levied on your credit card. Whenever a bank wants to sell a credit card, many people think that let's take the card, even if we do not use it, there will be no charge.

Who is this card good for?

Such cards are good for those who are starting to use credit cards or want to keep a credit card only as a backup. Its biggest advantage is that whether you use the card or not, you will not suffer any loss, you will only benefit.

What are the drawbacks?

Banks often give less benefits on such cards. Banks often give less reward points on such cards. Also, the benefits that come with it are also less.

Also know about cards with annual charges

Credit cards with annual charges have a fixed charge every year. This charge can be Rs 500, Rs 1000, Rs 3000, Rs 5000 or even more. Banks offer a lot of benefits on these cards, such as huge cashback, lounge access, benefits in foreign travel.

So which card should you get?

If you are getting a credit card for the first time, you can get a free card so that you can understand the right way to use it. However, you have to keep in mind that you will get fewer benefits. If you feel that you can use the credit card well and spend money up to a certain limit, then you can get a card with annual charges. If you want, you can also get a card in which your annual charge is waived off if you spend up to a certain limit.

Do this before getting a credit card

First of all, you should calculate what your monthly expenditure is. Once you understand your budget, it will be easy for you to decide which card you have to get. Before getting a credit card, also calculate where most of your expenses are, such as grocery, dining, travel. Let us tell you that different cards are given for different categories. Some give more benefits on grocery, while some on dining or travel. If you take a credit card after calculating all this, then you will benefit.