What are the differences between Silver, Gold and Platinum credit cards?

Status: make others envious

Undoubtedly, Silver credit cards, Gold credit cards and most of all Platinum credit cards give the cardholder an idea of ​​status such as a luxury car, a yacht, expensive clothes, jewelry and others. expensive possessions.

There is nothing wrong with that, but one may wonder if it is reason enough to order a financial product or pay substantially more money for it. If there is no other useful feature, or as we want to point out in this article, there is a tendency to reduce the differences in real economic benefits between these products, we see no reason to pay excessive issuance costs and maintenance fees just because of the color or material from a credit card.

Credit limit

At the beginning of credit card history, the main difference between these credit cards was that the amount of money you could spend with them differed substantially. Platinum credit cards had a credit limit much like a classic credit card, gold credit cards had higher limits, and Platinum credit cards claimed to have no limits at all (we say claim because there weren’t and there aren’t any. limits. However, to be honest, the credit limit is high enough to consider that statement to be true).

However, lately, the limits for platinum cards and gold cards have gotten close enough to judge the difference as negligible. Therefore, there seems to be no reason to pay the higher fees for the gold cards if that is the only difference between them. In addition, as both limits increase and reach considerable amounts, the platinum credit cards and their no-limit feature begin to become less attractive.

Income implications

Since there were income requirements to qualify for these credit cards, being a silver credit card holder meant you had certain income, being a gold credit card holder meant your income was higher, and so on. This could be an easy way for others to know how much you earned without you talking about it. Store Card accounts can be opened without credit check, etc.

However, the differences in qualification requirements have also narrowed and even platinum credit cards, in which an invitation-only type of credit card is now offered to anyone who can qualify for it and qualify. It is not that difficult to qualify for a golden credit card.

Membership fees

The only substantial difference between these credit cards seems to be the membership fees, renewal fees, issuance fees, etc. Therefore, as stated above, it appears that you are paying higher amounts just to make it clear that you can pay higher amounts. The benefits of having a higher grade credit card seem to have disappeared and therefore it would be wise to think twice before accepting an offer from a bank that includes these types of cards.

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