Don’t Be Confused About Charge Cards; Read This

We often receive lots of unsolicited credit card mail in our junk mail on a daily basis. Some of them have great rewards while others have lower interest. Which should you choose? The following information is just what you need to figure out which offers are worth pursuing and which should be shredded.

TIP! Before closing any credit card, understand the impact it will have on your credit score. There’s times when you close a card that can have negative affects on your next credit report.

Report any fraudulent charges on your bank cards right away. By doing so you give the credit card company the best chance of catching the thief. This will also limit the risk of you being held accountable for their charges. It usually just takes a brief email or phone call to report fraudulent charges.

Read every line of text! If you receive a pre-approved offer, look over the conditions and terms. Knowing the details is important. Be aware of how much interest you’ll pay and how long you have for paying it. Finding out about these details, including other details like grace periods and add-on fees, will help you stay out in front of your payments.

TIP! Check the details and fine print. If you receive an offer touting a pre-approved card, or a salesperson offers you help in getting the card, make sure you know all the details involved.

Always monitor your balance. Also be aware of what your credit card spending limit is and adhere to it. Going over that limit may equate to greater fees than you are prepared to pay. If you continue to go over your limit, you will have a difficult time paying down the balance.

Credit Card

TIP! Know the interest rate you are getting. If you are applying for a new credit card, make sure that you are aware of what the rate is on that card.

It is important to understand all credit terms before using your card. Credit card issuers will generally interpret the use of the credit card as an acceptance of the credit card agreement terms. Be aware of all of the “fine print” that comes with your credit card!

Don’t use charge cards to buy items that are too expensive for you to afford. Just because you want a new flat-screen TV, doesn’t mean a credit card is the best way to buy it. You will end up paying more for the product than it is worth! Slow down and think things over before deciding whether to buy an expensive item on credit. If it is still something you wish to purchase, check with the store, as their in-house financing may offer lower interest than your credit card.

TIP! Keep a close eye on your credit balance. Also make sure that you understand the limits placed on your credit cards.

There should not be any blank spaces left when you putting a signature on a credit slip in stores. Having a blank space on your receipt is literally leaving space for someone to add an amount where you don’t want it. Be sure to mark through the space with a straight line. Carefully check your statements to assure your purchases match the amount on your statement.

Don’t write down your password or pin number. The safest place for this information is in your memory, where nobody else can access it. If you write down these passwords or pins, you could potentially give someone who you do not want to have access to your accounts an open door to them.

Secured Credit

Secured credit cards could be the best option when your credit is less than stellar. A secured card will ensure that you do not spend above your limit. With a secured card, you are borrowing against your money and then paying interest to use it. Although this arrangement is less than ideal, it can help you repair your credit. Always using a known company for secured credit. As time goes by, you might even find that the company offers you an unsecured credit card.

TIP! Think wisely about how you use your credit cards. Limit your spending and only purchase things with your card that you can afford.

Often, people receive a huge amount of offers in their snail mail from credit card companies looking to gain their business. Understanding credit, and making the right choices, both become easier in time. Read this article’s advice to learn about good credit decisions.


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