| |
| |
|
Credit Information |
|
|
|
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.
MORE RESOURCES:
Google News |
|
|
|
RELATED ARTICLES
Saving Money: Quick Cash, High Cost I didn't think it was possible. But it is. Good Credit -- Essential for the Prospective Home Buyer Credit is a funny thing. It can be a useful tool in the hands of an informed individual, or a weight of burden to the unsuspecting. 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. SuperCharged Secret 1 of 5 - Credit Card Utopia I AM THE CONSUMER. AND I HAVE LOW-RATE SUPER-POWERS!Note: The following is part 1 of a 5 part series. Clean Credit Report: Easily Raise Your Credit Score 100 points Clean Credit Reports, your credit report contains information about where you work, live and how you pay your bills (On time or not). It also may show whether you've been sued, arrested or have filed for bankruptcy with in the last 10 years. How To Eliminate Credit Card Debt There is almost nothing more troublesome than having too much debt to pay each month. Consumers incur debt for many different reasons. Four Tips How Homeowners Can Rebuild Their Life After a Foreclosure Let's face it, if you are facing the possibilities of losing your home due to a foreclosure and you think that you may never be able to purchase another home anytime soon. Keep reading. Understanding the Function of Credit What is Credit?Credit is the backbone and the engine behind the workings of the economy. Credit simply allows individuals and companies to borrow funds in good faith and pay it back over a specified time frame. Fair Isaac Corporation Credit or FICO Score As I am not from the US, I had no idea what FICO meant before researching it. FICO stands for Fair Isaac Corporation, a company based in California. Credit Scoring: What You Dont Know Can Hurt You You've probably heard the term credit scoring. You may have some idea that your credit score can have an effect on your life. Its Your Credit - Take Care of It! Thanks to the Fair and Accurate Credit Act, American consumers can receive a free annual credit report from each of the three major credit bureaus-Experian, TransUnion and Equifax. You can order your free credit report by visiting www. 7 Ways To Squash Identity Theft It is the scourge of our age: identity theft. Thieves learn an important part about your personal information, such as your credit card number, and they open accounts in your name and spend, spend, spend! Unfortunately, by the time you discover that you are a victim the damage is already done. Five Reasons to Repair Your Credit Score - You Can Do It Yourself There are multiple reasons that tell us why we should have a 700+ Credit Score, but these five facts will definitely give you the big picture and hopefully will drive you to want to fix your credit score starting today.Fact #1: Did you know that consumers with Credit Scores of 700+ are likely to get interest rates up to four points lower than those with scores under 640. Credit Problems? Heres How to Manage Your Creditors If you find that creditors are calling you almost daily or that one of more of your bills has been turned over to a collection agency, you should know how to manage your debts.First, prioritize then or rank them in terms of the ones that can give you the most trouble the soonest. The Next Person With Credit Problems Got Their First Credit Card Today! One of the focus areas of my information is the absolute necessity of changing the way a person thinks about money and debt while in the process of repairing their credit. I have seen cases where a couple will work really hard for months, and finally get their credit report to the place they can borrow again and go out and buy something on credit just because they can. Searching For A Low Interest Credit Card? These days, people need to very carefully consider whattype of credit card they will carry in their wallets. Thereare so many options out there, and each individual hasdifferent needs. 5 Surefire Ways To Eliminate Credit Card Debt Do you have enormous credit card debt? You are certainly not alone. According to research, the average family in the United States has $7000 in credit card debt and pays about $1000 in interest each year! Throw in a late payment or two, or an over-the-limit charge, and that number skyrockets. Beware of Bogus Credit Repair Companies! So-called "credit repair" companies claim they can remove negative information from credit reports. Advertising as "Credit Advisors," "Credit Rating Correction Services" or "Credit Consultants," they trumpet variations on this message: "Turned down because of bad credit? We can help!" Many of these companies charge hundreds if not thousands of dollars for the promise to "clean up" bad credit reports. Top 5 Credit Misconceptions We have all heard the rumors?from neighbors, relatives or friends. There are a wide variety of myths floating around about what you should and shouldn't do to improve your credit reports and credit scores. Credit Card Rates - Negotiating Rates with Your Credit Card Company Ok, let's face it, everybody hates high credit card rates, and they drain hard earned money out of your wallet. As a valued consumer, it is apparent that you learn how to negotiate to get the absolute best rate that you possibly can.
|
| Home | Site Map | |
| © 2007 |
