Get Those Charge Cards Under Control With These Informative Tips
Posted at by CreditWiz on category Credit Cards
There is no doubt that charge cards are great for online shopping and for other types of purchases for which you do not wish to use cash. To find out how to use charge cards as a convenience and not let your spending get out of control, check out the helpful tips given in this article.
Make sure you can afford everything you buy with a credit card. It’s fine to use charge cards to stretch out the payments for an item you can afford, but refrain from making a major purchase that you couldn’t afford otherwise.
Annual Fees
Always make sure there is not a yearly fee attached to any credit card that offers rewards or perks. Premium bank cards can have annual fees anywhere from the $100’s to the $1000’s. If you don’t really need an exclusive card, then you can save money and avoid annual fees if you switch to a regular credit card.
If you have just turned eighteen, you might want to think twice before applying for a credit card. Although people love to spend and have credit cards, you should truly understand how credit works before you decide to establish it. Learn more about adult life and adult responsibilities before getting a credit card, rather than impulsively signing up for a card.
Interest Rate
The interest rate in the initial offer is not always the interest rate your card will have. The credit card business is a competition. Therefore, all card companies have varying interest rates they can utilize. Make a request to your bank to change your current interest rate if you don’t like it.
Make sure to get your credit report once per year to see if it is correct. Compare your statements with any debts you may have to be sure they’re a match.
Ask the credit card company if they would consider lowering your interest rate. Some credit card companies will reduce the interest rates for customers that have consistently maintained a positive relationship by making timely payments. It can end up saving you quite a bit and is not going to cost you anything to ask.
Always check all the extra fees that your credit card carries so you don’t have any surprises. Application fees, cash advance fees and service charges are sometimes involved that make having the credit card less worthwhile.
Always remember that interest rates are negotiable. You can often negotiate the rate down a percentage point or two if you contact the credit card issuer. If you’ve made your payments regularly and if you have proven that you are a good customer, they could give you a better APR.
You should destroy all credit cards for any closed accounts you have. Leaving an expired card or one for a closed account lying around exposes you to risk. If such cards wind up in the hands of someone unscrupulous, they provide all of the necessary information to reopen an account in your name and use your credit without authorization.
In this article, you should have learned some great advice for using your bank cards. The world of credit can be tricky, but a little advice can go a long way toward understanding your credit and making it work for you. Minimize the risk of getting into financial trouble by following the advice you just read.