Credit Card Blog

When you apply for a credit card, you’ll want to take several factors into consideration.  Most credit cards promote their perks – things like transfer balance offers, introductory interest rates and rewards credit card programs; but you need to take a closer look at the whole picture to select the best credit card for your needs and not be swayed by the “perks”.
Credit Card Fees
The first thing you need to look at before you apply for a credit card is what kind of fees the card will charge you.  Is there an annual fee for using the card?  Is there an annual fee for participation in the rewards program?  What are the over-the-limit fees? How much does the card charge for late fees?… Read More →

Even consumers with the best of credit scores get turned down for low interest credit cards from time to time. When you apply for a credit card, the credit card issuer will look at more than your credit history to decide whether to approve your application. For example, your income and other debt obligations are also used to decide whether you should get the credit card you applied for.
Adverse Action Letter
If your credit card application is denied in person or online, you probably won’t find out immediately why you were turned down. Instead, you’ll receive a letter in the mail (even if you made the application by mail) that explains why you were denied.
There are two different Federal laws that require… Read More →

Your credit limit is the maximum amount you can charge on your credit card without receiving a penalty. After you apply for a credit card, the credit card issuer will let you know what your credit limit will be. It’s important that you keep your credit limit in mind as you use your credit card.
Choose Whether to Pay the Over-the-Limit Fee
Expect your credit card issuer to ask if you want to opt-in or opt-out of over-the-limit fees. This means you decide whether you want your card issuer to process over-the-limit transactions or not. If you decide to opt-out, your over-the-limit transactions will be declined. You’ll have to go without these purchases or choose another method of payment.
On the other hand, if you… Read More →

In a world where credit card fraud and scams are pretty common occurrences, people are adopting some of the own personal practices as added protection. One of the most popular methods of security credit cardholders are using these days is opting not to sign the back of the credit card. In theory it sounds like a good idea but you may actually be sabotaging your contract with the credit card company.
An Ineffective Security Measure
The purpose of people not signing their cards is used as a security measure. Essentially, cardholders don’t add their signature to the back of the card and instead write ‘SEE ID’. This is supposed to prompt cashiers to ask the cardholders for proper photo identification to confirm the right person… Read More →

If your credit card reports to the three major credit bureaus, as most credit cards do, then nearly everything you do with your credit card appears on your credit report. Your credit report is a compilation of your credit-based activity. It’s the basis of your credit score, the number that creditors, lenders, employers, insurance companies, and other businesses use to make decisions about you.
Your Payment Status
Each month, your credit card issuer updates your credit report to show whether that month’s payment was received on time. If you’re on time or less than 30 days late, your payment status is reported as “Ok.” However, if you’re more than 30 days late, your credit report is updated to show the late payment. Late payments progress… Read More →

Yes, the advice you see in books and on the internet is that you should pay off your credit card balance in full every month. It’s great advice. Paying off your balance keeps you from paying interest on your purchases. It keeps you from getting over your head in debt. It leaves your credit limit open for emergencies. (Not that emergencies belong on a credit card, but that’s another story.)
Knowing all the advantages of paying in full doesn’t mean you can actually afford to pay in full. So what do you do when that happens?
Always pay the minimum. Though it’s not ideal, sometimes it’s ok to pay the minimum, especially when that’s all you can afford to repay. Minimum payments are also fine… Read More →

With so much controversy surrounding the Internet and privacy concerns, it is understandable that consumers are afraid to apply for a credit card online these days. They wonder how safe it actually is and whether or not mailing in the application is the better option.
Fear of fraud and stolen identity prevents many consumers from taking advantage of the online services credit card companies provide for consumers. The ease and convenience of submitting an application online is overshadowed by the concern of being taken advantage of and risking a scam.
Here is what you need to know about online security and your credit card application:
Technology Works
The technology for e-commerce businesses like credit card companies does work and continues to advance all the time.… Read More →

How much thought do you give to your credit card purchases before you hand your credit card to the cashier? If you give any thought to it at all, it’s probably not enough. Considering you could be paying for your credit card purchases for months, even years to come, you should think about a few things before you make a charge on your credit card.
Do you have enough available credit?
Charging up your credit card comes with consequences. First, if you go over your credit limit, you could be charged a fee for it. Fortunately, you would know this ahead of time because credit card companies can’t charge over-the-limit fees unless you’ve opted-in. Otherwise, the other limit transaction would be declined. Either way,… Read More →

Great balance transfer deals used to be everywhere. Credit card companies were lining up to get you to move your balances to their credit card. In the current economic recession, these balance transfer offers aren’t so widespread, but they’re still out there. If you’ve come across a balance transfer and you’re wondering whether to apply for the credit card, here’s what you should consider.
Is the interest rate lower than the one you currently have?
Generally, the only reason you’d move your balance to another credit card is to take advantage of a lower interest rate. That way, you can save money on the finance charges you pay and manage to pay off your credit card balance sooner rather than later.
How long does the… Read More →

The best perk of a credit card with a frequent flier program is the free trips you can take. But, before you go apply for a credit card that gives you reward miles, know what differentiates good airline miles credit cards from the bad ones.
Miles With Your Preferred Airline
Most travel rewards credit cards are affiliated with one airline or another. Make sure you the credit card you choose lets you accumulate miles for the airline you like best. Some travel rewards credit cards will let you convert your miles to another frequent flier program, but it may not be a 1:1 conversion. Instead, you could end up losing miles when you convert.

More Miles for Your Dollars
When you’re… Read More →