Credit card purchases can yield perks such as frequent flyer miles or other discounts, provided they are used with care and control. Other people who fail to use credit cards smartly choose to charge their vacation expenses and be faced will a stressful bill later. Keep on reading to figure out what you can do to have and maintain a good credit cards.
If you know that someone made a charge on your card without your permission, report it as soon as possible. By doing this, you will help the card company to catch the person responsible. In addition, this is the best method of ensuring you aren’t responsible for the charges. Most fraudulent charges can be reported with a quick phone call or email to your credit card company.
Always review the fine print. If you see ‘pre-approved’ or someone offers a card ‘on the spot’, make sure you understand the full picture. It’s very important to understand what your interest rates and will be in the future. You should also be sure to learn of grace periods and any fees that may be applied.
Interest Rate
If you have not yet established your own credit history, a co-signer can help you get your first credit card. A co-signer might be a friend, parent or sibling who has credit already. Of course, they are putting themselves on the line, by becoming responsible for your credit. This works great for getting a first credit card that you can use for building credit.
Make sure you know your card’s interest rate will be with a given credit card. You simply must understand the interest rate before agreeing to accept it.
Pay 100% of your whole card bill each month if you can afford it. In the ideal credit card situation, you would only charge what you could comfortably afford in cash.
If you are seeking a new card you should only consider those that have interest rates that are not very large and no annual fees. There are plenty of cards you can get that don’t have an annual fee associated with them, so they are pretty much a waste of your money.
Be wise with credit card use. Limit spending and only buy things you can afford with that are affordable to you. If you carry a balance, it is easy for debt to begin accumulating and your balance to grow even faster.
Credit card companies use those credit scores for determining the cards they will offer consumers. The best bank cards are usually reserved for those with great scores.
Do not be hesitant to inquire about getting a lower interest rate. You might be able to get a better interest rate if you are a loyal customer who has a history of paying on time. A phone call could be all you need to do to get a good rate in which you would be able to save money.
It doesn’t make sense to pay an annual fee when there are lots of credit card companies that don’t charge these fees.
Retain a sales receipt when you utilize your card. Keep these receipts and compare them with your statement to make sure the amounts match. File a dispute if there is any discrepancy.This can help you well and ensure that you never get overcharged for your purchases.
Review the statements you receive from the credit card company very carefully. In addition to unexpected account changes or charges you don’t remember making, check to make sure that all of the charges listed are for the correct amounts. Report any discrepancies to your creditors right away. This helps protect you from unfairly high payments as well as protecting your credit.
Do not let anyone borrow your credit card for any reason. Even if the friend is a very good one and they are really in need of the card, do not loan them your card. It can lead to over-limit charges if your friend spends more than you authorized.
There are still many beneficial aspects to cards that provide no reward programs or other perks. People who don’t use their cards in the responsible way laid out in this article will have instant gratification, but they will also have chronic stress from neverending bills. Apply what you have learned from this article to fall into the group you would rather be a member of.
Remember to have the necessary discipline when you are using your credit cards. Some people find it hard to resist temptation, and spend more on their cards than they can afford to pay back. These particular people do not need to own credit cards. When they decide to open a credit account, they’re making themselves prone to having a bad financial future.