Monday, April 2, 2007

Online Credit Card Application: Pros and Contras

More and more people apply for credit cards online. But there is a great discussion whether it is reasonable or not. The biggest pro is the convenience that special credit card sites offer. The main contra is the security issue.
Lets examine the process of applying for a credit card online. To be more objective we'll compare the two sites and
Both sites provide you with basic information about credit cards. It's not very detailed but at least you can figure out the kind of credit history you have (if you know your score, of course, but if you don't there is the 'apply for a free credit report' option.
Then you need to consider the left navigation area. If you are looking for a specific type of reward credit cards choose the corresponding option. But in order to make the right decision you need to know exactly what for you need this card. Consider having several cards for different purchases: a gas card, a frequent flyer card , etc.
consider all the deals carefully. Make a separate chart and calculate everything.Always read the details.
You can also compare credit card offers by banks but I think this makes less sense than comparing credit cards by reward types.
If you have made up your mind to apply take a close look at the application form. Here comes the security issue. Identity theft is BIG. People feel very insecure applying for a credit card online because they don't want to show their personal information such as address or Social security number. Yes, it's dangerous. But remember that you are vulnerable every time you use your credit card! Nothing ventured, nothing gained! Credit cards are a necessity and getting paranoid won't do much good for you.
So, to apply or not to apply online? I will say apply. When using a good site you are able to get all the information you need, compare the best deals and even ask a question by using the immediate credit card care service. And as for the security issue, as I have said, nothing ventured, nothing gained.

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