Things you Need to Know About Credit Cards

Thursday, 04 Nov 2010 12:50 PM

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Now that you have a credit card in your wallet, you should bear in mind a few things in order to derive maximum benefit from the card and ensure good credit history.

First, understand that your credit card’s interest rates can change dramatically. Your credit score, income, assets, payment history, and economic conditions are the factors that allow creditors to set your annual percentage rate (APR). If you have a better credit score, you can get your APR lowered just by making a small request. However, as interest rates fluctuate, the APRs for credit card companies also change. So, if you call and inquire for the availability of the better APRs for certain customer categories in that month, you may get a better deal. Moreover, if you happen to run a business, sound personal and business credit history can make you eligible for business credit cards that can provide a source of quick capital and ease business transactions.

Secondly, you can get your credit limit increased if required. While some companies automatically review your account for credit limit increases, there are some other companies that do not do so. You can just call and make a request. Business cards often command higher credit limits than personal cards. Most business credit cards do not carry spending limits at all, though such cards tend to carry annual fees.

You can try and get rid of your annual fee or late charges if you owe a balance and have a solid payment history. You can argue for an annual fee on a card on top of the interest on your balance.

There is also a provision for changing your billing due date if your credit card payments clash with your other due payments. Just call your credit card customer service number and request a new date. However, bear in mind that you can’t do this often, but when in a bind, it can save you late fees.

For business credit cards, issuers can tailor the payment terms by offering discounts for paying the balance early or the option of deferring payments if cash flow is slow. Some cards also offer an extended payment option, which permits business owners to finance large purchases over a period of time with different terms than those used for routine purchases.

If your business spends money on travel or entertainment, you should try and find a card that offers a reward program. You can earn points and use them on future purchases.

For those with poor or no credit, there are prepaid cards, where there is generally no credit check to qualify. With these cards, you can't spend beyond the loaded value, but they can keep you safe from accumulating debt.

© Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink

PLEASE NOTE: All information presented on Newsmax.com is for informational purposes only. It is not specific medical advice for any individual. All answers to reader questions are provided for informational purposes only. All information presented on our websites should not be construed as medical consultation or instruction. You should take no action solely on the basis of this publication’s contents. Readers are advised to consult a health professional about any issue regarding their health and well-being. While the information found on our websites is believed to be sensible and accurate based on the author’s best judgment, readers who fail to seek counsel from appropriate health professionals assume risk of any potential ill effects. The opinions expressed in Newsmaxhealth.com and Newsmax.com do not necessarily reflect those of Newsmax Media. Please note that this advice is generic and not specific to any individual. You should consult with your doctor before undertaking any medical or nutritional course of action.

Keeping you up to speed on Lifestyle, health, and money-saving tips
 
 
Get me on Fast Features
Keeping you up to speed on Lifestyle, health, and money-saving tips
 
Follow Newsmax
You May Also Like

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved