Credit Card Comparison by Company
I’ve already talked about the general pros and cons of credit cards, but now let’s look at some of the positive and negative attributes of individual card issuers and their related credit cards.
American Express
When I think about American Express, I think convenience. They truly have the best customer service out there, which can be quite poor in the credit card industry. They take care of things quickly and efficiently, making them my go-to credit card issuer. It’s easy to dispute charges and there’s never a wait to get a live representative on the phone. They also provide large lines of credit, which is always a plus for the responsible cardholder.
The only drawback with American Express is the fact that not all merchants accept their cards. In fact, it’s relatively common to encounter a merchant who will not accept American Express as a payment option. This is partially because Amex charges higher transaction fees, and also because they tend to side with cardholders over merchants in the event of a dispute.
Capital One
The one major benefit of a Capital One credit card is the lack of an international transaction fee. This is a huge selling point if you travel outside the United States often, as the foreign conversion fee charged by all other card issuers can get quite expensive. Their card lab is also helpful, as you can select exactly what you need/want, without settling for a generic credit card.
On the downside, the customer service at Capital One is quite poor. When I received a credit card from them, it didn’t even contain important information related to my specific card. Things like the purchase and balance transfer APR, fees, or how long I had introductory 0% APR were all left out. I had to call their customer service department to ensure the terms I agreed to when I signed up for the card were actually what I received. That’s inexcusable to me.
Chase
Chase credit cards have pretty good rewards programs, including good cash back benefits. They’ve also had pretty good balance transfer offers in the past as well. Their website is user-friendly, making it easy to complete a number of tasks like change of address or credit line increases.
A negative at Chase is the lack of a cap on balance transfer fees. Typically, balance transfer fees are capped at $75, but Chase recently got rid of this ceiling, making it potentially expensive to transfer a balance. They’ve also recently added fees and increased minimum payments for cardholders who carry a balance.
Citi
Citi has some of the best credit cards and related offers around, although most of their best offers, like no fee balance transfer credit cards, have all but disappeared. They tend to have the greatest range of options available and the best benefits. Customer service is also pretty solid, and they tend to have American reps at their call centers. They’ve also got a great interface on their website, making it easy to execute balance transfers and take care of other account duties.
The negative is that most of their hot offers aren’t so golden anymore, and the fact that their existence as a bank going forward is in question nowadays. If they go under, it’ll be a pain dealing with the transfer of accounts.
Discover
Discover is a less widely used credit card, but comes with some good benefits. Namely, their 1% cash back on all purchases, which has been a big draw for years now; of course, most other card issuers offer similar rewards cards nowadays as well. They also have cash back specials for certain expenditures, making it beneficial to hold onto for those particular purchases.
Like American Express, Discover isn’t accepted by all merchants. In fact, I would gesture to say that fewer merchants accept Discover than Amex, though I could be wrong. Additionally, they use a two-cycle billing method, which can cost you a lot more in finance charges if you tend to carry a balance.
Related Topics:
- Another Great Reason to Use American Express
- Steer Clear of Customer Service Credit Card Offers
- Watch Out for Multiple Balance Transfer Fees
- The Cost of Credit Card Use
- Credit Card With No Foreign Conversion Fee
Posted Under: Credit Help and Tips