If you use them wisely, charge cards can give you all sorts of benefits, from a good deal on a vacation package to simple peace of mind. Some users, however, tend to charge expensive things on a regular basis and worry about the bill later. You can be part of the first group by using the tips in this article to obtain the best cards and use those you already have wisely.
Consider closing unused credit card accounts. You are making yourself a likely victim of fraud if you choose to keep them open. If you are no longer using a credit card, it is wasteful to continue paying the annual fee to keep the account open.
Never use a credit card to make a credit card payment. Sometimes, in desperation, card owners will use cash advances to get themselves through a month that they cannot afford to make any credit card payments. The problem comes the next month when an even bigger bill arrives in the mail, complete with additional interest charges and fees.
If you want to avoid losing a credit card, you will have to use it on a regular basis. If you don’t use the card, it may be too unprofitable for the card company to maintain the account, and they may quickly shut it down. Use credit cards responsibly to buy things for which you have cash on hand, and pay off the bill in full each month.
It’s a great idea to let your credit card provider know in advance that you are going to make a type of purchase you don’t normally make. Making large purchases and international traveling are examples of scenarios where you need to give them advance notice. This can keep your company from raising the identity theft alarm and shutting off your card.
Request reduced fees and lower interest if you have a late or missed payment. If you are late with your payment, the credit companies can and will raise your rates and tack on extra fees. If this is a one-time occurrence, call the credit card, and a credit card representative will often be willing to eliminate the fee.
Pick just one credit card to use when purchasing things online to reduce your risk should your information be stolen. If you use several cards, you increase your exposure to potential fraudulent credit card activity.
Never pay upfront fees to get a new credit card, unless the money is being used for your secured credit card. Most credit card companies do not require any upfront fees. Also, do not pay anyone that claims to be able to assist you in getting a card. If you have suitable credit, you don’t need help with this.
Don’t be afraid to use one credit card to pay off another, if they one you are going to use has better interest rates and fees. Even if the interest rates are comparable, other cards might offer perks and points you can use towards rewards like airline tickets. Remember to take the time to evaluate the pluses and minuses before doing a balance transfer.
Larger credit card companies are usually the best to go with when getting a new credit card. They can give you more benefits and perks and they typically have higher-quality customer service and other business practices. In selecting a credit card, you should look to the major providers. The bottom line is that you must protect your credit report by choosing the right credit card.
Whenever you’re traveling, you should bring two credit cards along with you. If you have cards from different banks, it gives you a safety net. If you aren’t able to use one card, having another one that the same bank issued won’t really help much. You are going to be better able to get money if your cards are not from the same institution.
Even if your credit card does not give you tons of perks and bonuses, you can still benefit from using it well. People who don’t use their charge cards in a healthy manner will end up suffering high amounts of stress in the future. Apply what you have learned from this article to fall into the group you would rather be a member of.