Great Advice: Credit cards are essential in modern day society. They help individuals to build credit and purchase the things that they need. When it comes to accepting a credit card, making an educated decision is important. It is also important to use credit cards wisely, so as to avoid financial pitfalls.
Be safe when giving out your credit card information. If you like to order things online with it, then you have to be sure the website is secure. If you notice charges that you didn’t make, call the customer service number for the credit card company. They can help deactivate your card and make it unusable, until they mail you a new one with a new account number.
Don’t fall for the introductory rates on credit cards when opening a new one. Be sure to ask the creditor what the rate will go up to after, the introductory rate expires. Sometimes, the APR can go up to 20-30% on some cards, an interest rate you definitely don’t want to be paying once your introductory rate goes away.
Watch for new cards that offer a signing-up bonus if you are looking to add a credit card to you wallet. Make certain you completely understand fine print in the terms and conditions though, because a lot of the credit card companies have very particular terms for you to qualify for before you get the bonus. Some companies, for example, specify that you must charge a minimum amount on your card within a specific time period. Make sure you will truly be able to qualify for such bonuses.
If you have credit cards be sure to check your monthly statements thoroughly for errors. Everyone makes errors, and this applies to credit card companies as well. To prevent from paying for something you did not purchase you should save your receipts through the month and then compare them to your statement.
Keep an eye on your credit cards even if you don’t use them very often. If your identity is stolen, and you do not regularly monitor your credit card balances, you may not be aware of this. Check your balances at least once a month. If you see any unauthorized uses, report them to your card issuer immediately.
Always sign the back of any new credit card as soon as you receive them. A lot of people forget to sign the back of their credit cards and this can have bad consequences if a credit card is stolen. At some stores, cashiers will verify your signature on the card against the signature you sign to the receipt as an added security measure.
Do not make purchases with your credit card for things that you can not afford. Credit cards are for things that you purchase regularly or that fit into your budget. Making grandiose purchases with your credit card will make that item cost you a great deal more over time and will put you at risk for default.
Be sure you don’t order credit cards if your mailbox isn’t lockable. Credit card thieves have stated that they steal cards out of unlocked mailboxes.
Never, ever, under any circumstance lend out your credit card to someone. No matter who it is, it is never a good idea. That can lead to charges for over-limit spending, should your friend charge more than you’ve authorized.
Use a credit card to pay for a recurring monthly expense that you already have budgeted for. Then, pay that credit card off each and every month, as you pay the bill. Doing this will establish credit with the account, but you don’t have to pay any interest, if you pay the card off in full each month.
Credit Card ( Great Advice )
Don’t cancel a card before assessing the full credit impact. Depending on the situation, closing a credit card account might leave a negative mark on your credit history, something you should avoid at all costs. Choose to keep the accounts that you have had open the longest that make up your credit history.
Great Advice : Whenever possible, pay off the balance of your credit card every month. You should view credit cards as a convenience form of payment, and budget the full payoff each month. Using credit cards and paying the balance in full builds up your credit rating, and ensures no interest will be charged to your account.
Student Credit Cards
Great Advice: Students that are seeking credit cards need to be careful of all of the costs that tend to be associated with these types of cards. Many times, a student credit card carries high annual fees or big penalties, so do your homework to find the most advantageous card for you.
Cash Back Credit Cards
Great Advice: Look out for cash back credit cards. These types of credit cards give you cash back on every purchase that you make with the credit card. Cash back rates can range from 1% to 5%, so over the course of a year, you could actually earn a lot of cash back.
Secured Credit Cards
Great Advice: A lot of banks no longer issue secured credit cards, but it is common to find them being offered through credit unions. If you would like to sign up for a secured credit card, you can open an account with a credit union and take advantage of whatever cards they offer.
Prepaid Credit Cards
Using a credit card can help you save on bank fees and other hassles. Some credit cards have no fees at all if you pay the entire balance each month. On many checking accounts, debit card fees are unavoidable. Many people use prepaid credit cards for their direct deposits to save on bank fees.
Types Of Credit Cards
Look out for cash back credit cards. These types of credit cards give you cash back on every purchase that you make with the credit card. Cash back rates can range from 1% to 5%, so over the course of a year, you could actually earn a lot of cash back.
Credit is something that is on the minds of individuals everywhere, and the credit cards that help individuals to establish that credit are,ou as well. This article has provided some valuable tips that can help you to understand credit cards, and use them wisely. Using the information to your advantage will make you an informed consumer.