|
|
| www.1001TopWords.com |
|
|
Choosing A New Credit Card
1. Choosing A new credit card There are many reasons for choosing a new credit card. It may be your first card or you may wish to reduce the amount of interest you're paying each month or if you're lucky enough to pay off your balance each month you may wish to take advantage of one of the many reward schemes around. To help you choose we have compiled a set of questions and answers. One thing to consider is that you need more than one new card. For example if you have an outstanding balanceand use still make purchases you should consider switching to a balance transfer card for the outstanding balance and a seperate card for the ongoing purchases. This is provided you pay off the ongoing purchases of course. 2. What To Ask - Standard Questions Scenario : You pay off your existing balance each monthSolution : Choose a reward scheme card. These will either pay be cash or may be points that can be used to purchase certain products. Scenario : You have an outstanding balance but still make ongoing purchases Solution : Transfer the existing balance to 0% balance transfer card and at the same time get an introductory purchase offer card. This way you can allow the introductory purchase card balance to build up, while you pay off the balance transfer card. You need to be very disciplined with approach though. If you have taken up a balance transfer then try to avoid new purchases on this card as repayments are weighted towards the lower interestpart of the balance. Scenario : You have a large purchase coming upSolution : Apply for an introductory purchase card and then pay off the balance over theperiod of the offer. Scenario : You have a poor credit historySolution : There are some high interest cards around for people with a poor credit history. If you do obtain one of these cards then make sure you always make your repayments. This way you will slowly build up your credit rating,which will eventually make the lower interest cards available to you. 3. Can your existing card be improved This is one option that most people completely ignore. It is entirely possible that you maybe able to negotiate a new rate on your card, especially if you have another card with a lowerrate. They can only say no, so what have you got to lose. 4. Should I close my existing card Not neccessarily is the answer. You may be able to use this card in the future for a balance transfer. Also, don't forget that you normally get around 58 days interest free credit. So you may be able to make the odd one-off purchase and spread the cost over a couple of months. 5. Finally ... Please remember the golden rule. Only borrow what you can avoid to borrow. If you are careful you can make thecredit cards work for you, but if the credit card companies make a lot of money out of people allowing thespending to get out of control. Don't allow yourself to be one of these people. Neil Brown is a freelance writer who makes regular contributions to Credit Card Applications, Loan Applications and Credit Card Companies.
|
|
|
|
RELATED ARTICLES
Bad Credit? No Credit? Yeah, Its a Problem. Many companies use the slogan "Bad Credit? No Credit? No Problem!" The truth is that it is in fact a problem and there is no easy way to correct it. It takes a lot of time and effort to obtain credit when you do not have any and even longer to fix bad credit. The first step to solving these credit problems is to understand what your credit score means. In doing this, you will have a better idea of how to fix it. Commercial Collections: Business Finance Booster Shot Commercial collections: fixture of the new B2B culture Credit Score - Reporting Your Financial Health Credit score is one of the most basic, determining factor while loan borrowing. Credit score is the criterion for the creditor to ascertain whether to give you credit or not. Credit score is a powerful tool, if you what it is. Credit score is a three digit number which is consequential enough to decide whether you can own a house or a car and has considerable influence on how much your pay on your credit, insurance and other necessities of life. Legislators Ponder New Credit Protection Laws Legislators in Washington, D.C. are considering several credit-related consumer protections as outlined in The Fair and Accurate Credit Transaction Act of 2003 (H.R. 2622). If approved, consumers could benefit from the most wide-ranging changes to the rules covering consumers and credit in decades. Some Truth About Credit Credit is currently and has been historically an integral component of our economy. Credit contribute a person's net worth, and financial power. No matter who you are or what type of business you are considering, credit is a vital component to be considered when developing your business idea and business plan. Credit Card Benefits and Drawbacks Credit cards have both benefits and drawbacks. It is wise to consider both before applying for a credit card. While they can be very useful, credit cards can also be risky. Even people who are usually good with their money get into trouble with credit cards. A credit card can be useful, but may also end up putting you in a difficult financial situation if misused. Fun with Credit Cards For those of us who know how to use them properly, credit cards can actually be quite fun and lucrative. To those who do not know how to use them properly, I would say that you should stop reading this column right about now, or at least I would advise you not to try any of this stuff at home. What I'm about to describe is not one of those illegal credit card schemes. Instead, I'm talking about taking full advantage of the benefits and offers that credit card companies and store chains offer their customers all the time. Bounced Checks - Straight Talk On Dealing With Bad Checks (NSF) A check can be considered bad if it is bogus or the NSF checks (non sufficient funds check), also referred as bounced check. Credit Counseling -- Why It Doesnt Work For Most Debtors "Cut Your Payments in Half!" the headline screams. "Consolidate Your Bills into One Low Monthly Payment!" What is Credit Card and Debit Card Blocking? Have you ever been told you were over your credit card limit, or had your debit card declined, even though you knew you had available credit or money in your bank account? If this happened shortly after you stayed in a hotel or rented a car, the problem could have been card "blocking." Have You Checked Your Permanent Record Lately? As a young student I feared getting bad grades because I didn't want any bad marks on my "permanent record." Get an "F" in fifth-grade science and it goes in your record. Act up in Mrs. Brown's class? Yep, it's in your record too. Get caught using a swear word and it's not only in your permanent record but it goes right at the top! When you go to a parochial school like I did, you come to believe that there really is some mysterious file that follows you for the rest of your life. What You Need to Know About Credit Reports You hear people talk about credit reports all the time but do you know what they are really all about? Well, if you have ever been turned down when applying for a credit card or a loan it is high time you learned all about your credit report and how you can get it working for you instead of against you. Credit Cards - The Top 3 Things You Need To Know Today there are so many different credit cards available, studentprepaid, low interest cards etc. that it has becomes a real hassle to find the right one that will suit your needs. Building Business Credit Most businesses want to be able to borrow money when they need it, without the owners having to guarantee the loans personally. This means less risk to the owners. But wanting to get credit for your business and actually getting it can be two different things. Credit Card Balance Transfers Can Help You Stop Putting Money Down The Drain As you probably know, interest rates are at all time lowright now and if you aren't getting the bestdeal from your credit card company then they owe it to youto either lower your rate, or you owe it to yourself to find a better deal. You see, credit cardcompanies need your business in order to succeedand if you refuse to pay a penny more than you have tothen you'll be doing yourself and others a bigfavour indeed. By doing this, you'll avoid paying morethan you should and the companies will stoptreating its clients inappropriately. Minimum Credit Card Payments to Rise For years, major credit card companies have allowed cardholders to make minimum payments of 2% of the outstanding balances on their credit cards. Having customers pay the minimum doesn't reduce the balance by very much, but when the 18-30% interest rates that many credit cards charge is applied, the result is a profitable ones for the banks that issue credit cards. A balance of $1000 can take nine years to pay off at 20% interest if the borrower only pays the minimum due each month. Useful Tips When Choosing Credit Cards Chances are you have received your share of "pre-approved" credit card offers in the mail, some with low introductory rates and other perks. Many of these solicitations urge you to accept "before the offer expires." Before you accept, shop around to get the best deal. How You Can Help Prevent Identity Theft How can I prevent Identity theft from happening to me? Never leave your receipt or slip in the ATM or gas pump. Pay attention to your habits, lock up or organize and file your bills, and bank statements. Shred them using a cross shredder before throwing them away. Credit Cards for Home Business It is wise for you to have a company credit card like a VISA card. How can you find the least expensive bank card for your business? You may decide to use a VISA card from your local bank. Check the interest rate on unpaid balances. It is excessively high? Is it in line with other cards? If you are not sure, write to: Compare Credit Card Offers and Reward Yourself Here's a simple system on how to pay zero interest and get tons of free stuff. Almost everyone uses credit cards. But only a few thousand people out there take advantage of what the credit card industry is really offering.
|
| © Athifea Distribution LLC - 2013 |