There are two main things to consider when you apply for a credit card. Firstly you should look for competitive interest rates, secondly look for any benefits; for example you might be rewarded for using the credit card or offered a 0 per cent APR for a period of time. However, you should always look at the overall, longer term APR of the credit card and not be enticed just by the low or 0 per cent rates.

Using a financial comparison website is also a good way to ensure you’re getting the best credit card. On financial comparison websites you can see what a credit card is best for, like cash back, rewards, balance transfers or purchases. Everything is easily readable in table format, or you can enter a few simple details regarding the rates and, or benefits you’d like your credit card to have.

Every credit card or loan application you make will be noted on your credit report so applying for lots of different credit cards or personal loans at the same time is not a good idea. This could affect your future credit rating so make sure you apply for the right card first time and no more than once every 6 months but ideally every 12 to 15 months.

Make sure you read the small print. Credit card companies will pay off the least expensive of your debts first. For example, if you transfer a balance to a new credit card on a 0 per cent deal for 6 months but continue to spend on the credit card, I bet the purchase rate will be something like 12 to 16 per cent. Any payments you make will probably pay off the balance you have transferred rather than the purchases you have made. Obviously the credit card company will be making 12 to 16 per cent APR on the purchases.