... Advice Number 16 Of 305
As previously mentioned, people can be easily disappointed and frustrated by credit Online card companies. It is much easier to have realistic expectations if you thoroughly understand a credit card before applying. Use the advice featured in this article and start getting your credit cards to work for you, rather than against you.
If you have a credit card with high interest you should consider transferring the balance. Many credit card companies offer special rates, including 0% interest, when you transfer your balance to their credit card. Do the math to figure out if this is beneficial to you before you make the decision to transfer balances.
Do not use your credit cards to make emergency purchases. Many people believe that this is the best use of credit cards, but the best use is actually for things that you purchase on a regular basis, like groceries. The key is, to only charge things that you will be able to pay back in a timely manner.
Keep one low-limit card in your wallet for emergency expenses only. All other cards should be kept at home, to avoid impulse buys that you can't really afford. If you need a card for a large purchase, you will have to knowingly get it from your home and take it with you. This will give you extra time to think about what you are buying.
Every time you use a credit card, think about the extra expense that it will incur if you don't pay it off immediately. Remember, the price of an item can quickly double if you use credit without paying for it quickly. If you keep this in mind, you are more likely to pay off your credit quickly.
If you experience a time of financial difficulty in your life, be sure to communicate this with the credit card company to discuss options in your situation. If it is possible that you will miss your next payment, you may find that a card issuer will help by allowing you to pay less or pay in installments. This will also help prevent negative reporting to credit bureaus.
If have a missing or stolen credit card, report it as soon as possible to the card issuers. Several companies have a 24-hour service and toll free number on their statement for this reason. To protect yourself, after calling, write a letter to Online every issuer. The letter should provide your card's number, the date it went missing, and the date it was reported.
If you ever have a charge on your card that is an error on the credit card company's behalf, you can get the charges taken off. The way you do this is by sending them the date of the bill and what the charge is. You are protected from these things by the Fair Credit Billing Act.
Be safe when giving out your credit card information. If you like to order things online with it, then you have to be sure the website is secure. If you notice charges that you didn't make, call the customer service number for the credit card company. They can help deactivate your card and make it unusable, until they mail you a new one with a new account number.
Many companies advertise that you can transfer balances over to them and carry a lower interest rate. This sounds appealing, but you need to carefully consider your options. Think about it. If a company consolidates a higher amount of money onto one card and then the interest rate spikes, you are going to have a hard time making that payment. Know all the terms and conditions, and be careful.
Don't apply for a bunch of credit cards at one time. Applying for too much credit at once, makes you look desperate to creditors and can, therefore, harm your credit score. Apply for one credit card and use it sparingly, instead of applying for a lot of credit cards at one time.
Keep a close watch on your balance. Know what your limit is and how much you're spending, you don't want any surprises. If you go over that limit, you are going to pay more fees than you realize. Try contacting your credit card company for an increased limit if you consistently go over your current limit.
If you have more than one credit card, it is wise to pay at least one off each month. If you have revolving balances on other accounts, keeping one card active that is repaid monthly will have a positive impact on your credit score.
Do not lend your credit card to anyone. Credit cards are as valuable as cash, and lending them out can get you into trouble. If you lend them out, the person might overspend, making you responsible for a large bill at the end of the month. Even if the person is worthy of your trust, it is better to keep your credit cards to yourself.
Don't close an account without understanding the consequences. In some circumstances, closing credit card accounts can negatively affect the credit report, which is something that should be avoided. Choose to keep the accounts that you have had open the longest that make up your credit history.
Before you choose a credit card company, be sure that you compare interest rates. There is no standard when it comes to interest rates, even when it is based on your credit. Every company uses a different formula to figure what interest rate to charge. Be sure that you compare rates, to ensure that you get the best deal possible.