by: Jeremy Zongker

Are you looking for that perfect credit card? If so, you may be confused about what exactly to look for in order to begin your credit card company comparison.

There are many great and credit cards out there, but unfortunately, many companies target the young and financially inexperienced, who aren’t knowledgeable enough to make a wise and informed decision about which credit card will be the best one for them. Consequently, these individuals who haven’t done their research tend to pick a random credit card—or the first company who makes them an offer—which may not be the best option for them.

The first thing you should do is determine what your financial needs and goals are in using a credit card, and make a physical list. This way, when you’re looking for that perfect credit card, you’ll know exactly what the credit card must have and you can stay focused on this instead of being sidetracked by attractive deals and special features that you don’t really need.

For example, if you plan to use your credit card for larger purchases that you can’t afford upfront and want to pay off on a long-term basis, the APR, or annual percentage rate—which basically refers to the accumulated interest—will definitely need to be high on your list of considerations. The lower APR you can get, the better—although credit cardholders with no or bad credit will have a harder time being accepted for credit cards with low APRs than those with good credit.

On the other hand, if you decided to use your credit card for emergencies only and plan to pay the balance back in full each month, the annual fee and other possible incurred charges will matter to you more than the APR.

When you know exactly what you want in a credit card, do your research online and through local banks to determine which credit card will fit the bill most for you and your financial situation. Study the offers that are sent to your mailbox and compare them, specifically looking for the features that you will need the most. Call the different credit card companies themselves and tell them precisely what you’re looking for, and what kind of deal they can offer you. Tell them you’re “in the market for the right credit card” and you’re calling many different companies.

However, if you know you want a credit card but you’re not entirely sure what you will all use it for, here are some general factors to take into consideration when comparing credit card companies’ deals and offers.

First, determine where the card is accepted. The broader the range, the better—such as nationally or internationally. Some credit cards are only available regionally or are specific to one store. Also, find out what the interest rate is and whether it is fixed or variable. The APR is also something to take into account, and it may vary for purchases, cash advances and balance transfers. You will also want to find out about and compare the annual fee (if there is one), penalties and grace periods, and extra features like rewards programs, rebates, protections, other warranties, insurance and discounts, to name a few. You’ll also need to discover whether these extra features are covered or if they will cost extra.

Basically, finding the right credit card comes down to knowing what you’re looking for, what you think you might be using the credit card for, and what kind of extra features you might be interested in.

Once you’ve found the credit card with the right features and terms you are comfortable with, call the credit card company to see if the advertisement (whether you’ve found it online or elsewhere, such as a letter or flyer) can verify the information. You might also inquire of any other plans or offers.

The process of searching for and choosing the right credit card for you can be long, daunting and complicated. Nevertheless, if you take the time to do your homework, you will be on the way to getting a good deal and a credit card you can live with and enjoy.