Advice On How To Handle Your Charge Cards

Posted at by CreditWiz on category Credit Cards

A major advantage of using a credit card is that the purchase is instant but the payment is delayed. Before you get a new credit card, you need to be aware of the basics that could help you from having a lot of debts. Keep reading or useful tips about credit cards.

It is a good practice to have more then one credit card. Having two or three cards will help you to improve your credit rating. You should have no more than three open bank cards. If you have more than three credit cards, it may be more difficult to qualify for a loan.

Credit Report

Do not close any credit card accounts without finding out how it affects your credit report. It is possible to negatively impact your credit report by closing cards. It is also best to keep your oldest cards open as they show that you have a long credit history.

Speak with the credit card company right after you see a charge on your statement that you did not make. By doing this, you can help your credit card company catch the thief who is making these unauthorized charges. That is also the smartest way to ensure that you aren’t responsible for those charges. The minute you notice a charge that could be fraud, an email or phone call to the credit card provider can commence the dispute process.

You need to be careful not to overspend, so you should track every purchase you make with your credit card and keep a running total. It does not take much to let your spending get out of control, so commit to recording your spending in a spreadsheet or on paper.

Be sure to study your credit card terms closely prior to making your first purchase. Legally, using your card for the first time will probably mean that you accept the terms spelled out in that agreement. The fine print on the terms of the agreement is small, but it’s well worth the time and effort to read the agreement and understand it completely.

Credit Card

Understand the terms and conditions for any credit card prior to agreeing to the use of the card. You might see that their payment schedule, fees, and interest rate are higher than what you thought. Make sure to read each word of your credit card policy.

When looking for a new credit card, only review offers that charge low interest and have no annual fees. It is wasteful to get a credit card that levies an annual fee when so many other cards are available that are free.

When using your credit card online, you should always keep a sales receipt copy. Keep the receipt so that you can review your credit card bill, to ensure that the online company did not charge you the wrong amount. If it differs, file a dispute of charges with the company as soon as possible. This is an excellent way to avoid being overcharged for a cost you are not responsible for.

Secure Site

Always be careful when buying things online with a credit card. Prior to entering credit card information within the Internet, be sure you’re using a secure site. A secure site keeps your credit card information safe. Be very careful when replying to any emails you receive that ask for personal information: you should call the company or go to their website and do not reply to those emails.

Many experts believe that the limits on your bank cards should not be above 75% of your total monthly salary. If your limit is higher than this amount, it’s best you pay it off immediately. This is due to the fact that the interest paid will soon snowball to a point that it’s out of your control.

Never lie about your income to get a higher limit on a credit card. If the company does not confirm your income, the results may be a limit that is way too high for your needs, causing you to spend too much money, and getting into huge debt.

When used properly, credit cards are quite useful. The basics presented here have taught you how to buy things with your card while protecting your credit score and avoiding getting into debt.



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