Platinum and premium credit cards
Premium cards explained | How to compare premium credit cards | FAQ’s
Have you been known to shout SHOW ME THE MONEY? You can now reward your spending with attractive benefits that come with premium credit cards.
Gold and Platinum credit cards are premium credit cards that tend to be given to those with higher incomes. Typically incentivising spending with bonus features, rewards, travel benefits and more suiting those after some extra bang for their buck.
Gold, platinum and black credit cards explained
So you’re in the market for a premium high-end card but where do you start? First thing you’ll need to do if consider which type of premium card is right for you.
The premium cards tend to come in three tiers; gold, platinum and black.
Gold cards are good for those looking for extra features from their card without having to incur too many charges for the privilege.
Platinum cards are a notch up, and offer more benefits for those committed to paying with plastic, but are likely to come with higher fees and sign up requirements.
Black credit cards are the daddy of credit cards and offer the highest level of features typically including 24/7 concierge services, big sign up bonuses and more, but they also have higher annual fees.
How to compare premium credit cards
With so many Gold and Platinum credit cards on the market, it’s important to compare all the features to ensure you’re getting the right card for you. Gold and Platinum cards are all about the perks, so make sure you’re picking the card that suits your lifestyle.
High credit limits:
Platinum, Gold and Black cards want you to spend spend spend. Credit limits will vary depending on your salary and credit history, but typically these are on the upper end of the scale when it comes to credit on offer.
When applying for a card, it’s important to consider the credit limit you’re comfortable with so you don’t end up spiralling into debt.
High interest rates:
Premium cards generally come with a higher rates of interest and fees, which can be problematic should the extra card features not fit your lifestyle.
Make sure the benefits you’re getting from the card out-weigh the interest or there is little point going for a premium card. If you carry a balance, you could end up paying a lot in interest which is also another consideration.
Reward points:
You’ll tend to get higher membership points with premium cards, these vary but range from $0.50 – $2.25 per $1 spent depending on the card provider.
Gaining more reward points can be a faster way for you to get closer to that bucket list holiday or put towards everyday expenses, as long as you’re not overspending purely with the motivation to get more points. Points should only be acquired through your regular spending habits.
A good feature of premium cards in the points capping if far higher than standard cards.
Bonus points:
100k+ bonus points may be well and good, but don’t forget you’re only eligible if you spend a specified amount within a required period of time.
If your goal is bonus points, but you wouldn’t usually spend anywhere near the minimum spend limit, then it’s not a wise way to earn.
Income requirements:
Don’t forget, premium cards are designed for those with higher incomes, so you might find you’re not be eligible if you do not earn over the required threshold.
All the bells and whistles:
“Complimentary” insurance, concierge services, lounge passes you name it -these cards can be great for features, especially if you usually fork out on these types of things each year.
Just make sure these extras are things you’ll actually end up using.
Fees:
Annual fees on premium cards can range from $99 to over $1,000! While the extras and rewards may justify the cost, do your due diligence to ensure the fees are not troublesome in the long run.
FAQ’s
Which is better; gold, platinum or black credit cards?
No card is necessarily better than the others, it’s important to compare the features and benefits of each card to choose which one is better for your lifestyle and circumstances.
At the very least, purchase rates, bonus sign ups, rewards, fees and interest rates should all be considered when figuring out which card is best for you.
What are premium credit cards?
Premium cards are all about the rewards baby! Usually always with an annual fee and higher purchase/ interest rates they offer cardholders a range of exclusive benefits in return. If you don’t use a credit card very often, you might want to consider a low rate or no annual fee card instead.
Which is the best premium credit card?
The best premium credit card is the one that suits your circumstances – and as a general rule the ones that gives you the best bang for your buck.
Depending on your goals, whether it be big sign up bonuses or all the exclusive benefits, make sure perks outway the expensive fees and interests that come along with gold and platinum cards.
Is a premium card worth it?
If you trust yourself to use the cards benefits to your advantage without getting into a ton of debt then premium cards can be a great way to get exclusive perks for your everyday spending.
It’s important to do your research before committing as there’s no point paying high fees for a card with benefits you’ll never use. The biggest mistake with Gold and Platinum cards is choosing features that don’t offset the costs.
How do I get a premium credit card?
Premium cards aren’t for everyone. Most haveminimum earnings requirement and your previous credit history will matter. If you have black marks on your credit file, such as late payments or defaults, you may not be eligible to apply for a gold, platinum or black credit card.
Conclusion
Hey Big Spender! Ready to put in on the plastic? If you’re looking for a card that gives you the bang for your buck, then a Gold or Platinum card may be the right choice for you.
Premium gold, platinum and black credit cards are designed for people who regularly use credit cards… sounds like you? Compare premium credit cards today to reap the rewards.
General Advice Warning
The information provided is of a general nature only and does not take into account any personal objectives, financial situation or needs. Before making a decision you should consider the appropriateness of the information having regard to your personal circumstances. Always read the full terms and conditions.
