Effective Methods To Deal With All Sorts Of Credit Card Situations
Posted at by CreditWiz on category Credit CardsBy using a credit card, it is possible to improve credit scores and manage finances. You should understand the advantages and pitfalls of having access to easy credit. The following article discusses some of the best basic credit card information for consumers.
Keep a close watch on your balance. Also know your current credit limit so that you avoid exceeding it. The fees will really add up quickly if you spend over your limit. This will make it harder for you to reduce your debt if you continue to exceed your limit.
Read the terms of your credit card agreement carefully before you use your credit card for the first time. When you make your first purchase on a new credit card, the credit card company will usually consider your purchase as your acceptance to their terms. The agreement may have fine print, but it is critical for you to carefully read it.
Be sure not to leave any any portions blank when you sign a receipt at a store or restaurant. If you do not want to leave a tip make sure to write a zero or draw a line to indicate no tip is included and nobody can add an amount in. Carefully check your statements to assure your purchases match the amount on your statement.
Never make use of public computers for making purchases with a card. Your information will be stored on these public computers, such as those in coffee shops, and the public library. Using your cards on these types of computers is a recipe for disaster. Restrict your purchases to your own personal computer.
Online purchases should only be with trusted vendors whom you have checked out before divulging information. Call the company to be sure they are still in business, and never buy from a store that has no street address listed.
Avoid prepaid cards if you are looking to get a secured credit card. These are just another form of debit cards and they are not reported for credit purposes. Prepaid debit cards do little for you besides provide you with an additional checking account, and many prepaid debit companies charge high fees. In order to really improve your credit rating, use a secured credit card account with a company that requires a cash deposit and that reports to the major credit bureaus.
Never give out your card number over the phone unless you trust the company and you initiated the call. When receiving unsolicited requests for credit card numbers, be very cautious. There are many scams out there that want your credit card number. Be very careful, and protect yourself.
Avoid the low interest rate or annual percentage rate hype, and focus on the charges or fees that you will face when using the credit card. You may discover so many extra fees that you to switch credit cards altogether.
As was mentioned earlier, credit cards can be a great tool for managing finances. Knowing the terms and conditions of every credit card you have is essential. The devil is in the details. Once you understand the fundamentals of a credit card, then you can make better informed decisions.