Since their inception, there have been people who have had difficulties associated with credit cards. Credit card accounts, like many things, can be hard to maneuver if you do not have good information. Increase your knowledge about credit cards to stay in control of your finances.
It’s a smart practice to have 2 or 3 open credit cards in good standing. This will assist you in raising your credit rating if you pay all balances in full monthly. If you have more than 3 credit cards however, that might not look right to a lender who looks as your credit report.
Credit History
Before closing a credit account, be sure that you understand how that will affect your credit score. 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. If your card has been around awhile, you should probably hold on to it as it is responsible for your credit history.
Lots of cards give large bonuses simply for signing up. Read the fine print before signing up, however, because there are often many ways you could be disqualified from the bonus. The one that comes up the most is that you’re supposed to spend a very certain amount in the next few months to qualify for the bonus offer.
You know that paying your credit card bill late will incur a penalty, but you should remember that there is a penalty for running your balance over your credit limit, too. Both of these are pretty large fees and going over your limit can put a blemish on your credit report. Watch your spending so you don’t exceed the credit limit.
Be sure you go over the terms that come with your credit card as carefully as possible prior to using it. A majority of companies consider your first use of the card to be an acceptance of its terms and conditions. Even though the agreement’s print is tiny, read it as carefully as you can.
It is important that you have a good credit score if you desire a good credit card. Companies offer different cards to people with different credit scores. The ones that have the lowest rates, best incentives and the highest points are only given to people with excellent credit.
Credit Cards
It may not be a great idea for someone to get credit cards when they turn 18. Although people love to spend and have credit cards, you should truly understand how credit works before you decide to establish it. Spend a few months just being an adult before applying for your very first credit card.
Never leave a space blank on your credit card receipt when you make a purchase. Always cross out the tipping line, so an amount that you did not authorize is not added in later. You should also check your statements to ensure your purchases actually match the ones that are on your monthly statement.
Never use passwords or pin codes on charge cards that are easy to figure out. Never use your middle name, one of your children’s names or dates of birth as a password because the information is easily obtained by someone who sets their mind to it.
If you are called and asked for the number of your credit card, refuse to divulge it. Many dishonest people use this ploy to get credit card information from unsuspecting people. Make it a point to only give your credit account number to trusted businesses when you have originated the call. Do not give them to people who call you. There is simply no way you can safely verify the identity of an unsolicited caller.
Do not give your card information over the phone unless you know and trust the company involved. The same goes for using credit online. If you are getting odd offers that want the number of your credit card, be very careful. There are many dishonest people in the world who want your information. Protect yourself by being cautious and staying diligent.
In conclusion, it can be frustrating and confusing to deal with bank cards. However, with the right tips and advice, dealing with them could be easier than what you’ve expected. Follow this article to have better credit card luck.
