Help At Hand For Picking The Right Credit Card

If you are looking to apply for a credit card and can't choose from among the many on offer, help is now here at the click of a mouse.

The Udaipur-based Credit Card & Management Consultancy (CCMC), earlier this month, launched an online advisory service on the suitable selection of a credit card.

Just log on to www.infoindia.com/card consult and fill up a form and someone will help you choose a suitable card.

According to Vijay Mehta, chief consultant, CCMC, this service is a direct result of a survey conducted by his company.

The survey, which sampled 5,000 individuals and cardholders in 15 Indian cities, revealed that 71 per cent of first-time credit card applicants expressed the need for advise on appropriate credit card selection.

 

Choosing doesn't seem to get easier even with experience. Almost 57 per cent of single credit card holders also felt the need for assistance when choosing their second credit card.

You would expect at least people with two credit cards not to have any trouble making up their minds. You'd be surprised.

Even out of those who already had two or more credit cards, 38 per cent still felt they needed an advisory service which would make it easier for them to narrow down their choice of signing up for specific purposes.

According to the survey, cardholders considered convenience and acceptability as the one feature that would most influence their choice of a credit card.

In fact, 65 per cent of the respondents said convenience and acceptability was an important factor for them while choosing a card.

Other important factors included the credit limit (considered important by 62 per cent of the respondents), cash advance limit (57 per cent), fee structure (55 per cent), interest rates (45 per cent), medical/hospital services (37 per cent), balance transfer facility (28 per cent), reward points (26 per cent) and types of insurance offered with the card (21 per cent).

The least important feature was ATM connectivity, with only 18 per cent of respondents citing it as an important factor.

The survey also revealed that most people choose a particular card only because of word-of-mouth or because they were aware only of a few cards. As a result, there is frequently a mismatch between the individual's profile and a card's offering.

CCMC aims to help the consumer come to a more informed decision with its service.

Key Features For Cardholders

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Convenience and acceptability 65%

Credit limit 62%

Cash advance limit 57%

Fee structure 55%

Interest rates 45%

Medical/hospital services 37%

Balance transfer facility 28%

Reward points 26%

Types of insurance 21%

ATM connectivity 18%

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Source: CCMC survey

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