How To Manage Your Credit Cards And Stay Out Of Debt
A credit card with good interest rates is a lifesaver for you if you are in a financial jam. Do you need to purchase something, but lack the cash? This is not a problem. Just use your card. Are you trying to build your credit score? You can do it with a credit card! Read on to learn other ways credit cards can help you.
When it is time to make monthly payments on your credit cards, be sure that you pay more than the minimum amount that you are required to pay. If you only pay the small amount required, it will take you longer to pay your debts off and the interest will be steadily increasing.
Any fraudulent charges made using your credit should be reported immediately. This allows the credit card issuer the best opportunity to find the offender. Additionally, you will avoid being responsible for the charges themselves. It usually just takes a brief email or phone call to report fraudulent charges.
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.
Make friends with your credit card issuer. Most major credit card issuers have a Facebook page. They might offer perks for those that “friend” them. They also use the forum to address customer complaints, so it is to your advantage to add your credit card company to your friend list. This applies, even if you don’t like them very much!
If you have poor credit and want to repair it, consider a pre-paid credit card. This type of credit card can usually be found at your local bank. You can only use the money that you have loaded onto the card, but it is used as a real credit card, with payments and statements. By making regular payments, you will be repairing your credit and raising your credit score.
Keep a watchful eye on your balance. You also need to know how close you are to your credit limit. If you go over that limit, you are going to pay more fees than you realize. If you continually keep your balance over the limit, the fees will continue to add up and you will have difficulty getting your balance paid down.
If you can’t get a credit card because of a spotty credit record, then take heart. There are still some options that may be quite workable for you. A secured credit card is much easier to get and may help you rebuild your credit record very effectively. With a secured card, you deposit a set amount into a savings account with a bank or lending institution – often about $500. That amount becomes your collateral for the account, which makes the bank willing to work with you. You use the card as a normal credit card, keeping expenses under that limit. As you pay your monthly bills responsibly, the bank may decide to raise your limit and eventually convert the account to a traditional credit card.
Never apply for more credit cards than you actually need. It’s true that you need a few credit cards to help build your credit, but there is a point at which the amount of credit cards you have is actually detrimental to your credit score. Be mindful to find that happy medium.
It is not uncommon for people to avoid acquiring credit cards because they want to give the impression that they are debt-free. You should always have at least one card so you can establish credit. It is safe to use a card if you pay it off fully every month. When your credit is non-existent, your score will be lower and lenders are less likely to advance credit to an unknown risk.
Always try to find a credit card that does not charge an annual fee. Some credit cards that charge annual fees try to entice users with bonus offers or cash back incentives. While these types of rewards might be tempting, really think about whether or not they are worth the annual fee you will be forced to pay. In many cases, they are not.
Sometimes, people get excited about certain rewards programs, and they make a hasty decision to go with that particular company. First of all, check the fine print. Second of all, make sure you know what else is out there, before you jump into a relationship with a credit card company.
Be certain to read all the terms and fine print before agreeing to a credit card that is secured. Although you may only have to make a small deposit, there may be tons of hidden fees that will reduce your credit limit.
Make sure that you are aware of your available balance on your card and that you do not try to make purchases that end up getting declined. Many credit card companies see this as a bad things and they will be hesitant to raise your card limit if you ask them too later.
If you’re planning to travel outside of the country, tell your card company in advance. Credit card companies can shut down a card’s international operations if it is being used abroad in a suspicious manner. However, if your company knows where you are going in advance, you shouldn’t have any issues with using your cards when away.
Decide on the specific use of a credit card before deciding to get one. Applying for a credit card just to have one is a very bad idea. Be sure that you have a need for the credit card and will be able to make the payments on it before you get one.
As it has been indicated, credit cards have a variety of uses. They are a great convenience so you don’t have to carry cash and they can be a great tool for improving your credit score. Keep this advice in mind whenever you use your card.