With over a billion credit cards available in the market, consumers can really have a hard time in choosing the right one for them. From interest rates, to grace period, to loyalty rewards; there are so many factors to consider while shopping for one. It's not unusual to get overwhelmed by the offers received from the credit card companies and they all promise 'big'. Anyway, this article can be your shopper's guide for credit cards.

1. Determine your type: What type of a card user are you? If you carry balance on your card, you may opt for one which has the lowest ARP  or atleast would have the lowest rate for the initial period, to avoid paying huge on interests.

Similarly, if you are planning to make a big purchase using your card, like paying for tuition or making down payment on a car, you may consider a card which would offer you the highest credit limit.

2. Check out the APR: The APR would depict the actual cost of your borrowing. This is the rate that you would be charged if you don't pay your bill in full at every billing cycle. Often the annual percentage rate (APR) isn't revealed by the banks. Hence, while shopping around for the card, keep in mind the APR.

The annual percentage rate on the cards may vary between 0% and 20% with the current average rate being13% (approx). There are some websites which would let you compare the rates of different credit cards. You may search these sites before applying for a card.

3. Credit limit: While shopping for credit cards, special attention should be given to the credit limit. If you have the habit of overspending, lower limit cards would be ideal for you, as it would keep you within budget.

However, if you are planning to make a big purchase with your credit card, then you might need to search for one which would give you the highest credit limit.

4. Grace period: Almost all the credit card companies would let you enjoy a grace period, within which you can pay your bills comfortably without  late fees. However, the days given as grace period vary widely amongst the credit card providers. Hence, if you want to enjoy more interest free days on your card, you may consider one with the longest grace period.

5. Late fees: If you are a general late payer of your credit card bills, your search should also consider cards with lowest late fees along with the other factors.

6. Loyalty rewards: Consider the loyalty programs of the credit card, like air miles, cash backs and the such. Some sponsored cards would let you enjoy special discounts when you make purchases from the sponsoring company.

7. Charges: Credit card companies have charges like- activation fees, annual fees, inactivity fees and the like, which they may or may not disclose. Though the recent changes would require the credit card providers to reveal their charges, you may still read between the lines to learn what wasn't told to you by the creditor. Also, beware, as there could be other charges in disguise.

Always do your research before purchasing a credit card. You may approach to different banks or search online for the rates before making up your mind. Websites like- creditcards.com, bankrate.com and the like, would let you shop online by comparing the rates and offers of different credit card companies. Often a debt situation arises because of wrong decision involving credit cards. Also, it  is important to maintain a healthy credit repaying habit as the rate that you enjoy on the card would depend upon it.