A credit card is a simple way of getting a credit rating and used smartly, can help provide flexibility in spending and even bonuses like cash back offers or travel credits.

To obtain a gold or platinum card you will need to have a higher annual income. This higher level of income is generally needed to qualify for these cards contrary to standard credit cards.

These cards can offer several additional benefits such as free travel insurance, free purchase protection, savings on travel and/or hotels and free extended warranty for additional year(s) on many household appliances. They may also offer higher credit limits and let you access to a higher amount of cash on a daily basis. The possibilities are endless for the owner of the card.

While carrying a gold or platinum card once give a certain prestige, nowadays there is very little difference between them although some credit card companies charge a fee for a Gold card, for example.

If you can afford to have a platinum or gold card, use Internet to help you get information. Browse around as many of the major credit card companies as you can and seek out the best possible rates. You have to ensure that a deal really suits you.

There are numerous types of platinum cards. There are cards with frequent flyer programs for those who travel a lot. Business cards are ideal for those with good credit history and regularly charge business expenses to their personal credit card. Those who would like to earn rebates can choose some rewards card.

What's more, you can find very specific cards for your very special needs or buying habits, for example if you are frequent guest of Intercontinental Hotels, only interested in Sony rewards or actually are a coffee drinker.

The credit card companies don't just make their money on unpaid balances. Be careful how or where you use your card, because you may be hit with unexpected charges, so it's important to read all the terms and conditions thoroughly of the card before you apply for it.

There are some things that you also have to watch out for. For example, be wary if you are asked to pay up-front fees when the promotion or ad without mentioning that there may be additional costs. Find out the total cost before applying for this type of card.

Be suspicious about any promises to erase bad credit or to secure major credit cards regardless of past credit problems. Think twice about any offer to get "easy credit."

Marketers of 'gold' and 'platinum' cards often claim it's easy to get major credit cards after using their cards for a while. In fact, the only major cards you usually can get through these marketers are secured.