A large number of people globally owns credit cards. The leading banks issue different types of credit cards among every prominent country of the world. These cards allow the holder to purchase various commodities and services on credit. Every credit card issued by a particular bank is unique concerning the features they possess and the benefits they deliver. Here are ten leading credit card types, along with their features and benefits.

Standard or Plain Credit Cards

The standard credit card is named so because it does not provide the holder with any rewards. The main feature of the standard credit card is it allows revolving balance. Thus, the holder is benefitted with distinct flexibility on multiple purchases.

With a standard credit card, you can efficiently grasp the working of a credit card. After the holder makes the payment against the used credit after purchase, he is eligible to get more credit. In the case of payment failure within the due date, penalties are added.

Student Credit Card

Different banks issue a student credit card for college students. Prominent features include a nominal credit limit as well as minimum application fee. As it is specially designed for the students, the banks do not ask for income proof.

The banks provide attractive perks on credit cards like cash back and discounts. Most students use the student credit card to meet the expenses related to academics like purchasing books and delivering remunerations to colleges and universities. Balance transfers can also be done easily with a student credit card.

Balance Transfer Credit Card

The balance transfer credit card works more like the standard variant apart from allowing the comfortable transfer of balances. The introductory rates are minimum that benefits the holder to transfer balances in lower interest rates from one card to another. A holder needs to have good credit to qualify for owning a balance transfer credit card.

Reward Credit Cards

The credit cards having different reward programs are issued by all leading banks globally. These cards feature various perks for the bearer on the purchases. A reward credit card holder can be benefitted by cashback, travel discounts and points. If the bearer wants, he can either retrieve cash or buy other commodities from the ends. Travel discounts attract people who are frequent travelers.

Secured Credit Card

The banks issue a secured credit card for any bearer against collateral. Naturally, getting a secured credit card can be an easy task. As per the features of the secured credit cards, the amount of collateral becomes the credit limit. This type of credit cards benefit the bearers having a poor history of credit as they get a chance to improve it.

The issuer often initiates a detailed verification of the history of credit before granting a secured credit card to the bearer. The collateral is required as per the previous credit health.

Limited Purpose Credit Cards

People often take the limited purpose credit cards to enjoy the credit perks against some particular commodities they frequently need. The leading banks deliver these cards to the bearers according to their needs for fuel, air miles or branded products.

Bearers are benefitted with outstanding discounts in fuel stations, getting more air miles and shopping in branded stores.

Charged Credit card

A charged credit card works like any other credit card, but its unique feature is related to the payment of the credit balance. The bearer of a charged credit card must pay the total credit balance during the month’s end. A charged credit card can be widely beneficial due to the absence of a particular credit limit.

Prepaid Credit Cards

The Prepaid Credit Card has a major similarity with the debit cards. As per the features of the prepaid credit cards, the cardholder must deposit a particular amount of money to ensure its usage. These cards are, however, not locked with an account. The prepaid cards help the card bearer to manage the monthly budget.

Business Credit Cards

Business credit cards are generally taken to manage multiple purchases on credit that are related to a business rather than an individual. However, the credit history of the applier acts as a crucial qualifier. These cards have higher credit limits than normal credit cards. It also features an annual fee comparatively higher than regular credit cards. The main benefit that the business credit card delivers the firms is the opportunity to develop an excellent credit history and elevate the credit limit for the future.

Subprime Credit Cards

People with a deplorable credit history are eligible to hold a subprime credit card. This card features excessive interest rates and penalty charges. The credit limit is also limited for the subprime variant. The main benefit that a subprime credit cardholder gets is a fair chance of credit history reestablishment.

All the above-discussed type of credit cards are available worldwide. However, the names might vary from one bank to another. Some leading banks often use exclusive names for their credit cards. Every new credit cardholder must always get a clear idea about the credit limit, charges, perks, and repayment procedures before taking a credit card.