Charge cards are often sounding boards for warnings of dangers of spending, borrowing and high interest rates. However, when credit is used responsibly, it offers peace of mind, convenience and even rewards and perks. To find the upside of credit cards, keep reading into this article for ideas you can use.
When looking over your statement, report any fraudulent charges as soon as possible. The earlier the credit card issuer knows, the better chance they have of stopping the thief. That is also the smartest way to ensure that you aren’t responsible for those charges. Most fraudulent charges can be reported with a quick phone call or email to your credit card company.
Only open retail store cards if you shop there on a regular basis. When you apply for store charge card, an inquiry is noted on your credit bureau report whether you are approved or not. If you have too many credit inquiries, your credit score may take a hit.
Lots of credit cards will offer bonuses simply for signing up. Make sure that you go over the fine print because a lot of these credit cards will have terms that are very specific on qualifying for bonuses. Some companies, for example, specify that you must charge a minimum amount on your card within a specific time period. Make sure you will truly be able to qualify for such bonuses.
Use credit cards intelligently. Don’t buy anything that you know you can’t afford. Prior to choosing a credit card for buying something, be sure to pay off that charge when you get your statement. Carrying over a balance can cause you to sink deep into debt since it will be harder to pay off.
You need to sign your credit cards the minute that they come in the mail. Many people fail to do this and as a result their cards are stolen and the cashiers are not aware of that. Many cashiers will check to make sure there are matching signatures before finalizing the sale.
When you receive any credit card correspondence, whether in the form of a letter or email, take the time to read it. Charge cards can make changes to your fees, interest rates or membership fees, provided they let you know in writing of the changes. You can cancel your account if you don’t agree with this.
Don’t use an easy pin for card, or you are setting yourself up for trouble. For instance, using a loved one’s birth date or your middle name could make it easy for someone to guess your password.
Avoid purchasing items out of your budget with your credit card. A credit card isn’t the magical solution to getting the flat screen TV or new computer that you have always wanted. You will wind up paying huge amounts of interest; additionally, the payments each month could be more than you can afford. Exit the store and mull over your purchase for a couple of days before making your final decision. If you still want to purchase the item, the store’s financing typically provides the lowest interest rates.
When signing a credit receipt at a store or restaurant, don’t leave anything blank. Always fill up the signature line on your credit card tip receipt, so you don’t get charged extra. When your monthly statement arrives, compare the charges with your receipts to ensure that everything matches.
If someone calls you up and asks you for credit card information out of the blue, don’t give it out. This is a common ploy for scammers. Only provide your number to the businesses that you fully trust and to the card company when you contact them. Never give your numbers to someone who calls you. Regardless of who they claim they are, you have no way of verifying it if you did not call them.
Charge cards offer great benefits when you learn to use them strategically and responsibly. From offering financial flexibility to repaying you with rewards, credit cards can be a helpful, enjoyable part of your life. Just use your credit wisely so that it benefits you, instead of increasing your financial challenges.