Compare Dutch credit cards (2024)

FAQs

What are 3 ways to compare credit cards? ›

The 2/3/4 rule: According to this rule, applicants are limited to two new cards in a 30-day period, three new cards in a 12-month period and four new cards in a 24-month period. The six-month or one-year rule: Some issuers may only let borrowers open a new credit card account once every six months or once a year.

Annual Percentage Rate (APR).

You can compare the APR for different cards which will help you to choose the cheapest. You should also compare other things about the cards, for example, fees, charges and incentives.

Mastercard and Visa are the most widely accepted credit cards in the Dutch retail space; American Express tends to be accepted only by major retailers in the Netherlands who have an international client base – although Amex acceptance is growing.

You make one payment 15 days before your statement is due and another payment three days before the due date. By doing this, you can lower your overall credit utilization ratio, which can raise your credit score. Keeping a good credit score is important if you want to apply for new credit cards.

The factors that determine your credit score are called The Three C's of Credit – Character, Capital and Capacity.

The golden rule of credit card usage is to do everything you can to pay off your entire balance each month. If you can do this, you won't be charged any interest. You'll be enjoying free credit and all the other benefits your card offers.

The 20/10 rule of thumb is a budgeting technique that can be an effective way to keep your debt under control. It says your total debt shouldn't equal more than 20% of your annual income, and that your monthly debt payments shouldn't be more than 10% of your monthly income.

Our 50/30/20 calculator divides your take-home income into suggested spending in three categories: 50% of net pay for needs, 30% for wants and 20% for savings and debt repayment. Find out how this budgeting approach applies to your money.

What is one of the most common guides for comparing costs of credit? ›

The annual percentage rate (APR) is the percentage cost (or relative cost) of credit on a yearly basis. This is your key to comparing costs, regardless of the amount of credit or how long you have to repay it.

Key takeaways. A good credit card APR is a rate that's at or below the national average, which currently sits above 20 percent. While there are credit cards with APRs below 10 percent, they are most often found at credit unions or small local banks.

That being said: the Dutch are averse to debt and try their best to avoid it - so much so that the word for "debt" in Dutch is schuld (guilt). Which is why the concept of a credit card would be something that the Dutch try to stay away from.

In the Netherlands, Visa Debit cards are recognised as being credit cards, and many Dutch stores do not accept credit cards. This is because Visa Debit cards work on a dual-message debit system, which is the same system used for credit cards.

Using credit cards and debit cards in the Netherlands

Major credit cards and debit cards, such as Visa, Mastercard and American Express are widely accepted in the Netherlands at restaurants, hotels, and tourist destinations.

The different types of credit

There are three types of credit accounts: revolving, installment and open. One of the most common types of credit accounts, revolving credit is a line of credit that you can borrow from freely but that has a cap, known as a credit limit, on how much can be used at any given time.

Credit cards generally offer one of three reward structures: cash back, points or miles.

Fortunately, most cards can be classified into three major categories based on the features they offer: rewards credit cards, low interest and balance transfer cards, and credit-building cards.

Compare Interest Rates

APRs for purchases, balance transfers, and cash advances, for example, typically vary. When comparing different credit cards' purchase APR, consider whether you plan to pay off your statement balance in full every month. If you're able to pay the balance off, you can save on interest.