Before You Buy On Credit, Read This!

Many people have despised credit cards since they were first invented. Credit card accounts, like many things, can be hard to maneuver if you do not have good information. You will find a great deal of advice here to help you learn about credit cards.

TIP! Always pay credit payments before they are due. This increases your credit score.

Do not close credit card accounts until you understand the impact it may have. Sometimes, closing a card can have a negative impact on your credit scoring and this is something nobody wants. Also, maintain cards that have most of your credit history.

To make sure you aren’t paying too much for a premium card, ensure the credit card does not require you to pay an annual fee. The annual fees for platinum and black cards range from one hundred to one thousand dollars, according to how exclusive the card is. Unless you have some specific need for exclusive charge cards, remember this tip and save yourself some money.

Credit Card

Be sure to read the fine print of the credit card terms carefully before you begin making purchases to your card initially. Most credit card companies consider the first use of your credit card to represent acceptance of the terms of the agreement. You should particularly go over the fine print, even though it may be difficult to read.

TIP! Know what interest rate your card comes with. It is crucial that you know the rate of interest prior to getting a credit card.

As you fill out a credit card receipt, make sure to put something in every space. Always fill up the signature line on your credit card tip receipt, so you don’t get charged extra. Also, check that your purchase amounts match the amounts on your statement.

You can save yourself money by asking for a lower interest rate. If you maintain a good history with your company and have always made payments on time, you should be able to come up with a better rate. A phone call could be all you need to do to get a good rate in which you would be able to save money.

TIP! Keep a close eye on your credit balance. In addition, you should ensure you know the limit your creditor has provided you.

Never keep a written copy of your password or pin number anywhere. Be sure to keep the password in your mind only, so you’re the only person who can access it. If you write it down and keep it near the card, it will be like giving someone an invitation to commit fraud.

Resist the temptation to loan credit cards to people. Though you may have a close associate who desperately needs help, it is still not advisable to lend out a card. It may lead to large fees if your friend spends more than you authorized.

Secured Card

Avoid prepaid cards when you are looking for a secured card. These are actually debit cards, and they do not report to the major credit bureaus. Oftentimes, there are extra fees charges for this. Instead of using a debit, your best bet is to put some money into an account and get yourself a secured card to use. This will help you beef up your credit score as an added bonus.

TIP! Always know who you are dealing with and make sure they are legitimate companies when you give out your credit card information online. Call phone numbers given on the website to ensure they’re working, and do not purchase from a seller that doesn’t have an actual address listed.

To protect your credit, never use a fax to send your credit card information. Not all fax machines are located in secure locations, so you have no idea who could read the fax and note down your credit card details. If any of those people is a thief, you are in trouble. Your credit card could then be used to fund criminal activity or to make unauthorized purchases by the theft.

Interest Rate

TIP! Talk to your bank about lowering interest rates. If they will not change it even after you talk to the retention team, start searching for a card with a lower interest rate.

You may have a good payment history, and a good credit score, but still be paying a high interest rate on your credit card. Ask your company to lower the interest rate. Often, they will agree. This results in real savings in the months you carry balances.

Look over your credit card purchases regularly, and keep any eye on your transactions. Subscribe to mobile alerts if your company offers them. This way, irregular activity can be questioned immediately. If you notice suspicious activity on your account, you should contact your bank immediately, and if you have to, get a hold of the police.

TIP! All people with credit cards should get a copy of their credit report at no cost each year and look to see that everything is right. Make sure that everything in the report matches up and that your credit history is being reported with a great level of accuracy.

Don’t give your child a credit card unless they prove to you that they are responsible first. It may be difficult to say no or hard to admit your child just isn’t mature enough, but holding back now will lead to better spending habits later and could very well avoid financial disaster.

Frequent flier rewards and bonuses are something to take advantage of if the card you have offers these types of benefits. Double check all the fine print. There may be blackout dates and other restrictions that make the rewards impossible for you to use. Companies have a reason for making these restrictions difficult to understand. It should be obvious, but credit card issuers really don’t want you to actually claim those shiny rewards. They use rewards as a catch to try to get you to apply for their card.

TIP! It is vital that you keep any credit card accounts open for a good amount of time. You should not switch credit accounts unless you find it completely unavoidable.

Keep an eye on your credit report to ensure you are properly handling your accounts. This also gives you an idea of how your creditors are managing your accounts. It is essential to be on the lookout for mistakes. If you find an error, contact the credit bureau as well as your credit card company.

Credit Card

TIP! While it is important to look at the interest rate of a credit card you are applying for, you should also look at any hidden fees that aren’t immediately apparent. Other fees like service charges and cash advance fees can quickly add up.

Never pay off credit card debt with a credit card. Some people have gotten cash advances from a card to use to make their monthly payments on the same card. However, fees and interest rates involved with this “trick” create an even larger financial disaster the next time a bill is due.

As aforementioned, managing a credit card can be challenging and frustrating. If you know how to use them, though, they do not have to cause you trouble. Use the advice that was presented in the above article to assist you in managing your credit cards better.