Many people are able to live the lives they live because of credit cards. Credit cards can make life easier and provide a sense of freedom in the financial realm. That said, you must be wise in your credit card choices and uses. This article contains lots of excellent consumer credit card advice.
If you have poor credit and want to repair it, consider a pre-paid credit card. This type of credit card can usually be found at your local bank. You can only use the money that you have loaded onto the card, but it is used as a real credit card, with payments and statements. By making regular payments, you will be repairing your credit and raising your credit score.
Keep a close eye on your balance. Make sure you know the amount of your credit card limit. If for some reason you exceed your limit, you will be liable for large fees that you might not know about. This will make it incredibly difficult to repay your balance.
Always read the terms and conditions of your card before using it. Many companies consider you have accepted the terms when you initially use the credit card. The print on the agreement may be small, but it is important to read it carefully.
Only take cash advances from your credit card when you absolutely have to. The finance charges for cash advances are very high, and very difficult to pay off. Only use them for situations in which you have no other option. But you must truly feel that you will be able to make considerable payments on your credit card, soon after.
Remember that you must pay back what you have charged on your credit cards. This is only a loan, and in many cases, it is a high interest loan. Carefully consider your purchases prior to charging them, to be sure that you will have the money to pay them off.
Almost everyone has had this happen. You get some annoying mailings from credit card companies asking you to consider their cards. Often times you won’t be interested in getting a new credit card right them. When you dispose of this mail, make sure to tear it up. Many of these offers contain your personal data, making trash a common source of information for identity thieves.
If you do a lot of traveling, use one card for all of your travel expenses. If it is for work, this allows you to easily keep track of deductible expenses, and if it is for personal use, you can quickly add up points towards airline travel, hotel stays or even restaurant bills.
Try to reduce your interest rate. Call your credit card company, and request that this be done. Before you call, be sure you know how long you have had the credit card, your overall payment record, and your credit score. If all of these show positively on you as a good customer, then use them as leverage to get that rate lowered.
Compare rewards programs before you choose a credit card company. If you plan to use your credit card for a large percentage of your purchases, a rewards program can save you a great deal of money. Every rewards programs is different, it would be best, to research each one before you make a decision.
Don’t place your credit card number on anything that is visible to the public. This includes on the backs of postcards, on the outside of envelopes, and on publicly visible (and unsecure) areas of social media sites like Facebook, LinkedIn and Twitter. Sharing your information on mail or on social media can lead to serious credit theft.
Pick one credit card with the best rewards program, and designate it to regular use. This card can be used to pay for gas, groceries, dining out, and shopping. Be sure to pay it off each month. Designate another card for charges like, vacations for the family to be sure you do not overdo it on the other card.
Keep multiple credit card accounts open. Having multiple credit cards will keep your credit score healthy, as long as you pay on them consistently. The key to keeping a healthy credit score with multiple credit cards is to use them responsibly. If you do not, you could end up hurting your credit score.
If you feel like your credit card balances are getting out of control then get before you get to far in debt. There are many helpful services which can help such as Consumer Credit Counseling Service. CCCS is a non-profit organization that provides cost effective services to consumers who need a plan to repay their debts and get their credit score higher.
There are many benefits to having a credit card, including increasing the amount that can be spent and changing a consumer’s overall life. Credit cards, when correctly used, provide many benefits. If used improperly, they can send a consumer into bankruptcy. The tips above have shown you valuable information on how you can make smarter credit decisions and enhance your life by avoiding credit problems.