In Australia, there are 4 main types of credit cards: Visa, MasterCard, American Express and Diners Club. All of these offer 3 categories of cards to choose from depending upon your requirement and previous track records of usage of your credit cards. These are Silver, Gold and Platinum credit cards. The major difference between them is the credit amount attached to it, special benefits, annual fees etc.

Silver Credit Cards: Silver credit card is the lowest in the hierarchy of these 3 types of credit cards. So, they are commonly called as ‘standard’ or ‘basic’ credit cards. For many Australians with a very basic credit card usage this type is the best deal. There are many advantages that silver credit cards have over the other two types. Zero or low annual membership fees, lower threshold salary requirement etc. are some of the benefits of silver credit card. The disadvantage could be lower cash withdrawal limits, less rewards in rewards promotion packages and less prestige, if it really matters.

Gold and Platinum Credit Cards: These cards are basically aimed at the high end users whose spending power is towards the upper side. These cards generally come with higher interest rate, more annual fees and late payment fees as compared to Silver credit card. Gold or platinum credit cards come with terrific products attached. So, though they come at a higher price but many special benefits and products come attached with it. Some most common free products which most credit card companies offer are some kind of Insurance plans, entertainment offers, gifts and store deals. These cards give the customers not only higher status but it also gives them some preferential service with any card enquiry’s you may have. The gold and platinum credit cards also have the rewards program for frequent flyers. Many of these credit card companies have tie-ups with other companies so that if you are using your card at one of the program partners you receive more reward points or some discounts. While choosing between the gold or platinum credit cards, you should go through the details and see the full list of benefits associated with the different gold and platinum credit cards. Many credit card companies even give option for add-on cards with gold and platinum credit cards.

It’s simple, if you are not concerned about the ‘image’ you portray while flashing your credit card, and are more concerned about how you manage and take benefit your credit card, then silver credit cards are certainly the best deal to go for, even in terms of saving some extra annual fees.