In many ways, choosing a credit card is like buying a computer.
When shopping for a new computer it's easy to become overwhelmed with technical jargon and specifications. Most consumers only consider the CPU speed. "This computer is 2.1GHz, so it's clearly superior to this 2GHz model".
But the performance of a computer is determined by many properties (such as cache size, bus speed and memory), all carefully balanced and working harmoniously. It isn't enough to have just one part performing well, because a poorly-performing component will create a bottleneck.
Simply put, a computer is only as fast as its slowest part.
A good example is the Intel Celeron which, while it offered a good CPU speed, had a very small cache. Although the Celeron was an awful CPU, it was a sales success. Intel understood that for the layman, CPU speed was king.
It's the same with credit cards. There is really only one metric the average consumer looks for in a credit card: the interest rate. But like a computer, a good credit card is a balance of features. It should have a low rate, a good interest free period and a low annual fee.
The Suncorp Clear Options Standard is the credit card equivalent of the Intel Celeron. Sure, it delivers a low rate (11.24% on purchases) and the annual fee ($39) is lower than other comparable cards, but it doesn't have an interest free period.
At first glance, you might discount the significance of the interest free period, but like the cache on a CPU it's a critical component. Every other sub-12% card we've reviewed has an interest free period of 55 days. Let's say you make a $2,000 purchase. On a card with 55 days interest free you'll pay $0 interest in the first 55 days. On this card, you've paid almost $34 in the same period.
The card offers little else to sweeten the deal. There is a balance transfer offer of 2.9% for twelve months, which seems good, but after the expiry of the offer any remaining balance reverts to the cash rate of 16.99%.
The verdict: While the Suncorp Clear Options Standard offers a good annual fee, there are better options available. You're better off paying a few dollars more and getting a Bankwest Lite MasterCard or ANZ Low Rate MasterCard, each of which have a lower purchase rate and 55 days interest free.
