Need Some Good Credit Tips? Try These Ideas!
Posted at by CreditWiz on category Credit CardsCredit cards make life difficult for many people. When you follow good advice, credit cards are less of a hassle. The piece that follows includes great ideas for making credit card usage a happier experience.
A lot of companies offer large bonuses for new customers. However, that incredibly fine print listed in your contract could come back to bite you hard. Make sure you read and understand the terms and conditions of any bonuses. For example, you may need to spend a specific amount within a certain period of time in order to qualify for the bonus. Be sure that you’ll be able to meet the requirements before you let the bonus offer tempt you.
To make sure you aren’t paying too much for a premium card, ensure the credit card does not require you to pay an annual fee. Annual fees for platinum or black cards could be in the range of $100 to $1,000 depending on the exclusivity of the card. Unless you have some specific need for exclusive credit cards, remember this tip and save yourself some money.
Know what interest rate your card has. It is extremely important before you sign on to getting that credit card that you must know the interest rate. If you do not know, you could end up paying much more than the original price. Paying more may keep you from having the ability to pay the debt off every month.
If you want a great credit card, be wary of your credit score. The credit card issuing agents use your credit score to determine the interest rates and incentives they will offer you in a card. Cards with more perks and lower interest rates are offered to people with higher credit scores.
Those that want a new card should only look at those without annual fees that have lower interest rates. There are many credit cards available with no annual fee, so choose one of these to save you money.
Don’t be scared to negotiate your interest rate with a credit company. If you have an established history with the company, and have made timely payments, you may be able to negotiate a better rate. A phone call might be all that is necessary to get a better rate and to save you a lot of money.
Do not allow anyone to use your cards. It could be a very good friend that is in need of one thing or another, but it is not a very good idea to lend it out. It may lead to large fees if your friend spends more than you authorized.
If you have a spotty credit record, think about getting a secured card. A secured credit card require a balance for collateral. Essentially, you’re borrowing your money and you pay interest on it. This is not an ideal situation; however, it may be necessary to help repair your credit. Just remember that you still need to ensure the company you’re dealing with is honest. They may offer you an unsecured card later, which will help your score even more.
As was mentioned earlier, people are often frustrated and upset by card companies. However, many of these frustrations can be prevented with a little due diligence in selecting the right card. Make the most of this article’s advice and make the most of your credit experiences.