Are Credit Cards For You? Find Out Here!
Posted at by CreditWiz on category Credit CardsAdvice for consumers is a business in and of itself these days. Credit cards are often a focus for much of this business. The proper use of a credit card can help ensure you maintain a positive credit score. Consider that many individuals have cards and do not understand how to handle them correctly, this is how financial problems begin.
In addition to avoiding late fees, it is wise to avoid any fees for going over your limit. Both fees are steep, and going past the limit will affect both your pocketbook and your credit score. Pay attention and make sure you stay under your credit limit.
There are many credit cards that offer rewards programs for your spending. If you use credit cards on a regular basis, it is wise to find one with a loyalty or rewards program that you find personally useful. This can end up providing you with a source of extra income, if it is used wisely.
Read any communication about your credit cards, whether online or in the mail, right away. A credit card company, if it provides you with written notifications, can make changes to membership fees, interest rates and fees. If you object to said changes, you are always able to cancel your card.
Do not use credit cards to buy items that you cannot afford. Just because you want a new flat-screen TV, doesn’t mean a credit card is the best way to buy it. You will end up being charged lots of interest and you may be unable to keep up with the monthly repayments on your credit card. Go home and take a day or two to think it over before making your choice. If you decide that it is still worth purchasing, look into the retail store’s financing offers.
Don’t be scared to negotiate your interest rate with a credit company. As long as you have a good credit history, you should be able to get yourself a much better rate. A simple phone call may be all it takes in order to get a more competitive rate and save you money.
Everyone gets credit card offers in the mail. “You have been pre-approved for a credit card!” There are times where you’re in need of a new credit card, but usually you decide to let it pass. Always rip up any credit card mail that you plan on throwing away. Many of these offers contain your personal data, making trash a common source of information for identity thieves.
Maintain a list of all your credit card numbers and the emergency phone numbers for your lenders. Maintain it in a secure place, like a safe, and keep it separated from your cards. If you were to get robbed or lose your cards, this list can come in handy.
Don’t think that interest rates they offer you are written in stone and cannot be changed. Just like any other business, credit card companies are in competition with each other and have many interest rates available to them. If you are unhappy with your current interest rate, call the bank or company and ask for a lower one.
Ask your bank to change your interest rate if you do not like it. If they don’t want to work with you, look around for a more ideal interest rate. Once you find a company that is better for you, switch to them.
If you use credit cards poorly, it is easy to end up in dire straits. There are just so many cards and then you start buying things with them. After a while, you start to get into some trouble. This article should prepare you for avoiding these types of situations.