Top 10 best credit cards in South Africa in 2022 and more
Often when we think of credit cards, the negative thoughts of debt, blacklisting and repossession come to mind, but this need not be the case since credit also has positive connotations. It is essential to be disciplined and calculative when using credit.
Source: UGC
Credit is vital for building a credit score, a determining tool used by most lending institutions to check whether or not you qualify for credit. This article gives you some of the things you need to know about credit cards in South Africa.
South African credit cards
South Africa has a variety of credit cards offered under different banks or financial institutions for uses tailored to clients. Some of them are listed below:
RCS store credit card
RCS store credit cards allow clients to use their cards at accredited retail stores in South Africa, such as Builders, Boxer, Adidas, CNA, Checkers and many others. Based on a client’s needs, credit ranging from R1000 to R40 000 can be granted. Furthermore, clients must select a repayment plan before their credit transaction can be processed.
ABSA student credit card
ABSA has a credit card for students that helps them build their credit profile at an early stage. The card has no monthly fees, and students earn rewards when they pay for their purchases using their ABSA student credit card. To qualify, however, you need to be a student at a registered South African institution of higher learning, be 18 years or older and at least have a minimum monthly income of R800.
Discover Bank Platinum credit card
To qualify for this credit card, a client must earn an annual salary of R350 000 to R850 000, and a monthly card fee of R130 is payable. With this credit card, you get 55 days of interest-free credit on a selection of transactions, access real-time forex accounts, and get discounts on flights and rewards for staying fit.
African Bank Black credit card
The bank’s credit card affords clients so much convenience such that they can instantly access their personalized cards once their application has been approved. This card is also accepted globally at merchants with the visa logo displayed, and clients can earn interest on their positive balance.
Best credit cards in South Africa
A considerable number of South African banks offer credit cards at entry-level, often to assist young adults in building their credit scores. With low service fees, these credit cards also come with added benefits. Below is a list of the top 10 best credit cards in South Africa:
- Capitec GlobalOne
- Discovery Bank Gold
- FNB Aspire
- Nedbank Gold
- Standard Bank Blue
- TymeBank Credit
- African Bank Silver
- Woolworths Black
- FNB Private Clients
- Absa Gold
Which credit card is the easiest to get in South Africa?
A few banks in the country offer credit cards for clients who are beginners in acquiring credit. Even though this is the case, requirements, terms and conditions must be adhered to.
The Absa Flexi Core credit card falls under the credit cards that are easy to get in South Africa. A minimum monthly salary of R2000 is a requirement for this card, and it has a monthly service fee of R44, including access to a credit limit of up to R90 000. It also has an allowance for making interest-free purchases within the first 57 days of receiving the card.
Source: UGC
A minimum monthly salary of R5000 can get you African Bank’s Gold credit card. To apply for it, you need your most recent proof of income, proof of residence not older than three months, be 18 years or older and present your latest three months statement that reflects three salary deposits.
Which bank credit card is the best in South Africa?
Discovery Bank’s Purple Wealth Suite is the best and most exclusive credit card in South Africa. Being offered only to applicants with a minimum salary of R208 000 per month, the credit card also comes with exclusive benefits like 100% off on international and local flights for a cardholder and their spouse, a free gym subscription at Planet Fitness South Africa, luxury hotel accommodation and more.
Which bank offering credit cards is best?
Source: UGC
Standard Bank is the best bank offering credit cards in the country, primarily because the bank focuses on ensuring that its products are tailor-made for its clients, with results extending to their families.
Additionally, the CEO of Standard Bank, Sim Tshabala says, “As we continue to build these capabilities, we will stay close to the evolving needs of our clients across Africa to ensure that we deliver relevant and impactful solutions that drive inclusive and sustainable growth”.
Is it good to have a credit card in South Africa?
Having a credit card in South Africa has its pros and cons. For one, it is good insofar as clients use their credit cards for their needs. Therefore, improper spending of credit results in being suffocated by debt, in which failing to repay it can get clients blacklisted and denied future credit. South Africa’s repo rate has increased by 75 basis points, thus increasing the prime lending rate from 9.75% to 10.50%, which means that for every borrowed credit, banks hike up interest fees and clients end up repaying more.
According to RCS, credit cards are an excellent financial tool if used right. On the one hand, they can finance a child’s education, pay for a wedding or even inject capital into a business, helping clients reach milestones. Positively supplementing your financial life with credit involves crucial responsibilities like sticking to a budget and consistent monthly credit repayment.
It is no doubt that South African banks have the best credit cards to offer. From students to beginners and affluent people, credit when used right can yield greater results for clients' personal lives and their businesses. As stated above, credit is not only about the negative connotations it is known to have, but it is also about the rewards awarded to clients who stick to the stipulated credit conditions.
READ ALSO: Top 10 cheapest share trading platforms in South Africa 2022
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Source: Briefly News
