While it can be tempting to proudly pull out your black card and watch the faces around you (at least for anyone who pays attention to credit card colors), there are other things to think about before applying for one of these luxurious accounts.
One of the first things you should consider is whether you will be able to pay off the balance in full every month. If you cannot, a premium card may not be the best choice, since you could easily find that you are swimming in a sea of interest. Additionally, if you do not have the capacity to pay the annual fee, an alternative type of card might be a safer option.
One of the main reasons that people are drawn to the premium credit card is the concierge service that comes with them. With so many other rewards, using these cards in the right way could save you a lot of dollars elsewhere. However, they only actually work if you were planning to use those rewards in the first place or if you were already going to meet the sign-up bonus requirements.
Eligibility is important when thinking about getting a premium credit card. For the most part, cardholders are expected to have an excellent credit rating and an annual income of at least $50,000. If you do not meet these criteria, you will more than likely be turned down on applying, which could further lower your credit for no reason. If you meet these criteria, however, a premium credit card may be right for you!