If used the right way, charge cards can garner some fantastic perks from the points you earn, or you can also have a stress-free wallet as well. Other people who fail to use credit cards smartly choose to charge expensive vacations and be faced will a stressful bill later. Keep reading to figure out what you can do to have and get the most from the use of your charge cards.
It is wise to have two to three different credit card accounts open. This can help you to build a credit history and improve your credit score, but remember these cards should be paid in full monthly. However, if you have over three, it will not be a positive for prospective lenders.
Never let anyone to borrow your credit card. Even if it's a good friend that needs something badly, it just isn't a smart idea to lend yours out. It may lead to over-limit charges if your friend should put more on the card than you had authorized them to.
Credit Score
Keep a close watch on your credit score periodically. Most credit card issuers consider 700 as the cut off limit for determining a good credit. Use your credit wisely to maintain that level, or if you're not there, to reach that level. Once you have a credit score of around 700 or more, you will get all the best offers of credit with the lowest interest rates.
Never reveal your credit card account number out over the phone. Scammers use this method for getting your number. Only give you credit card company when you contact them. Never give your credit information to anyone who calls you. No matter who a caller says they represent, you do not know who they are.
Have a list you keep of all your credit card accounts by number as well as the lender's emergency phone numbers. Keep it in a safe spot, like a safety deposit box, separate from all of your cards. The list will prove invaluable if you lose your cards or stolen card.
Credit Card Information
Be extra careful if you receive an unsolicited offers that ask for which credit card information is requested. There are numerous scams out there that all wish to obtain your credit card information. Be smart and keep yourself protected.
Some companies may charge application fees, excessive late charges, which may make you think twice about having the card.
Don't lie about your income when applying for credit than you can manage. Some companies don't bother to check income and they grant large limits, which may result in you charging more than you can afford to pay back.
Bank Cards
If you spend some time proving yourself responsible with secured bank cards, often the company will offer you an unsecured credit card once you've proven your credit is in good standing. You will probably also see new offers for bank cards. You will need to re-assess your use and circumstances after a thorough evaluation of the situation.
You should close any card accounts that you don't use.You are making yourself a likely victim of identity thieves if you choose to keep them open. You could be charged fees annually by having a credit card that would simply be a waste.
Check your old credit card accounts and consider closing any that you don't use. Closing unused accounts will protect you from getting used in a fraudulent manner. You may also close accounts that carry a balance.You are able to keep making payments until you get rid of the outstanding balance.
Card Company
Making large purchases and international traveling overseas are two situations when you should call the card company. This will allow the credit card company from blocking transactions due to suspected identity theft.
Make credit card bills on time. Missing just one payment can result in the imposition of higher interest rate to increase. Consider signing up for auto-payments online to take late payments.
You may also have to pay costly fees if you miss a late fee.
Be very careful with the dangerous allure of high charge cards. The thought that you can purchase many items just by swiping the card can build up your urge to do just that. This can cause you major financial problems. Limit impulse buys and give yourself 48 hour cooldown periods.
Review your credit card statements very carefully. Make sure the listed charges are accurate, that any credits due have been applied, and look out for fraudulent charges. The company will correct any legitimate errors if you notify them promptly before your next payment is received.
Credit Card
Use your credit card according to its terms that are set for them. If you have more than one credit card, try to determine which cards are best used in different situations.
Avoid signing up for a credit card that carries an annual fee, even if those cards appear to be great in other ways. It is very easy to find companies which charge no annual fee because of competition.In the longer term, these fees will end up costing you quite a bit.
There are still many beneficial aspects to cards that provide no reward programs or other perks. People who don't use their credit cards in a healthy manner will end up suffering high amounts of stress in the future. Use what you have went over here to learn how to properly use a card and get all its benefits.