How Your Australian Credit Card Can Help During Emergencies

A no annual fee credit card can be a good option to consider if you only have or want a credit card incase of an emergency

Australians use a credit card a for lot of reasons. Some use it for daily spending while others have it on hand as a form of security in the case of an emergency. It is nice to know that you have a credit card put away for those just-in-case moments when you really need it.

No Annual Fee – ever!

The HSBC Credit Card is one of those cards that you thought couldn’t exist, but it does. It packs a real punch – $0 annual fee, for the life of the card, is a major benefit, combined with the competitive balance transfer offer. If you are looking for a card that could literally cost you nothing (assuming you pay your credit card back within the interest free period) the HSBC Credit Card is well worth considering.

• $0 annual fee
• 16.99% p.a. on purchases
• 0% p.a. for 6 months on balance transfers
• Cash Advance Rate of 20.75%

Click here to read the HSBC Credit Card terms and conditions

Using your credit card for emergencies

Changes in the interest rate

If you have a credit card that you want to use only for an emergency you may lose track of the rate of interest being charged on the card. Some credit cards may raise the interest rate if the card is seldom used, and you will be informed in writing if any changes take place.

Even if you only use the card for critical situations you should always open all of the correspondence you are sent by the credit card company you are dealing with. This way you will always stay informed of any changes, and be able to switch cards if you notice any changes you don’t like.

Annual fee

One of the most important things to look for when you are getting a card for an emergency only is a card with no annual fee, or a low annual fee. There is really no point in paying a high annual fee on a card you may not even use. You will probably have to pay a higher interest rate to get one of these cards, but it is well worth it if you seldom use the card.

The small print

Before applying for an emergency credit card you should read all the small print. Sometimes cards will stipulate that you have to make a set number of purchases or your interest rates will rise.

Your fees may also be set in a similar way on the card. You may have to make a minimum amount of purchasers in order to keep the fees low. The credit card companies are not going to be making a lot of money from people that don’t use the card often so you may have to pay some type of maintenance fee to hold onto the card.

You must also find out how the credit card company in Australia handles inactivity. Your account may be closed if the card is inactive for too long, so it is important to check.

Choosing the right kind of credit card that you can use when an emergency comes up is important. You want to have a card that you know will still be active when you need it and won’t charge you a lot of hidden fees for not using it enough. As long as these things are checked before applying for a card, an emergency credit card is great to have on hand.

• Comparison of Top 10 Credit Card Offers

Editor's Choice: Our Top Credit Cards

Credit Card	Card Details	Interest Rate (p.a.)	Cash Advance Rate (p.a.)	Balance Transfer Rate (p.a.)	Annual fee	Interest free days (up to)
HSBC Credit Card	Editor's Choice: 0% for 6 months Balance Transfer & No Annual Fee Featuring a $0 annual fee for life, and 0% p.a. balance transfer for 6 months, the HSBC Credit Card was voted the Best Transactor Credit Card for 2010.	16.99%	20.75%	0% for 6 months	$0	55
Suncorp Clear Options Standard Visa Card	A great 12 month balance transfer offer, combined with a low annual fee and a good interest rate on purchases.	12.24%	17.99%	1.9% for 12 months	$39	0