Tricks That All Credit Card Users Must Know
Posted at by CreditWiz on category Credit Cards
A credit card can provide you with a lifeline if you ever find yourself in a difficult financial situation. Do you need to purchase something, but you do not have the cash on you? Not a problem! Just use the credit card and you’re fine. Do you need to boost your credit score? You can do it with a credit card! Continue perusing this piece to gain practical information about credit cards.
Know what interest rate your card has. It is essential that you find out before you ever sign up for the card. If you are unsure, over time you might pay much more than what items actually cost. If your interest rate is high, there is a good possibility that you won’t have enough money to pay your debt at the end of the month.
Just like you wish to avoid late fees, be sure to avoid the fee for being over the limit too. Both are costly, but you will pay not only the fees tied to these mistakes, but your credit score will dip as well. This is a very good reason to always be careful not to exceed your limit.
Credit Limit
Keep a close eye on your credit card balance. You also need to know how close you are to your credit limit. Going over your credit limit will raise your fees and your overall debt. It is going to take longer to pay down the balance if you keep exceeding your limit.
Outweigh the benefits of having a credit card against the costs of using it before making purchases. You might see that their payment schedule, fees, and interest rate are higher than what you thought. Carefully read over the fine print so that you can ensure you completely understand the policy.
Use caution when using your bank cards online. If you are using your credit card online, be sure the site you’re on is secure. You can set your browser to notify the security settings for each website you visit. Additionally, disregard any email requesting credit card info, as these are most often ploys to get at your valuable personal data.
Do not buy anything online with a credit card until you are certain that it is a legitimate business. Call the toll-free or other phone numbers on the website to see if they work, and avoid buying from merchants that do not list an address on their website.
Credit Score
Keep tabs on your credit score periodically. A score of 700 is what credit companies feel the limit should be when they consider it a good credit score. Use your credit wisely to maintain that level, or if you are not there, to reach that level. Keeping your score at 700 or better gives you the chance to take advantage of offers for the lowest interest rates.
Have a list of your credit card numbers as well as lender’s emergency phone numbers. Stash this is a safe place like a safe, and keep it separate from the bank cards. The list will prove invaluable if you lose your cards or if they are stolen.
Carefully scrutinize your monthly credit card statements. Look for inaccurate charges as well as charges you didn’t make in the first place. Call your credit card company’s dispute resolution hotline immediately if you find something wrong with your statement. This will help you to avoid paying more than you should, and this may help with your credit score as well.
As you can plainly see, a credit card is used for a number of things. They can be used to buy groceries, for the sole purpose of creating a strong credit profile, and for many other reasons. Make use of the tips above and learn to use your credit cards wisely.